Finland’s economy contracted by 0.3% quarter-on-quarter in the third quarter of 2025, a deeper decline than the preliminary estimate of 0.1%, albeit easing from a 0.4% drop in the previous period. Household consumption (0.2% vs -0.7% in Q2) rebounded, while government spending declined at a softer pace (-0.2% vs -1.2%). Moreover, net external demand supported GDP, as exports climbed to 2% from 0.1%, while imports slowed to 2.1% from 2.8%. In contrast, gross fixed capital formation slipped to 0.4% after a 1.9% rise in the previous quarter. On a yearly basis, GDP contracted 0.6% in the third quarter of 2025, reversing an upwardly revised 0.2% expansion in the preceding quarter.
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