Finland Must Do More to Rein in Public Deficit, OECD Says

Finland’s government needs to do more to plug a gap in its public finances that are pressured by higher defense spending and recently announced tax cuts, the Organization for Economic Cooperation and Development says on Friday.

• The government “will need to reinforce its fiscal consolidation efforts” as decisions already taken reduce its fiscal deficit by about 0.5% of GDP a year in 2025 and 2026, the organization says in a report
  • The figure excludes the potential growth-enhancing impact of tax cuts “the size of which is uncertain,” the OECD says
  • An increase in defense spending to 3% of GDP by ...