Economic indicators

Finland's software sector is sending a notably different signal than much of the broader economy.

More than 76 percent of software companies expect revenue growth over the next six months, according to the findings of the latest Sykemittari survey from the Software Finland Association. More than half plan to recruit new employees during the same period, based on the poll conducted among the organization’s over 600 members, including software companies and their leaders. 

The contrast with the wider SME market is striking. In the Spring 2026 SME Barometer from the Federation of Finnish Enterprises, only 41 percent of companies expected growth. Software companies appear to be operating on a different trajectory.

Software Finland CEO Rasmus Roiha sees the results as evidence that investment appetite is returning despite continued economic uncertainty. "Year 2023 was marked by a focus on improving profitability, but since then, we have been on an upward growth path. This year's results show that the positive development is continuing and strengthening," Roiha said.

Artificial intelligence is emerging as a key driver. Earlier member research conducted by the association found that more than 80 percent of companies had already acquired AI expertise through hiring or external services. More than one-quarter said they expect to recruit specifically for AI roles.

Restructuring gives way to expansion

The hiring outlook also contrasts with recent workforce restructuring among Finland's listed technology companies. 

During the first quarter of 2026, several publicly listed companies in the information technology & services sector, such as Digia, Vincit, Solteq, and Netum, announced change negotiations covering a potential 195 positions, based on Listeds data. The final outcome was considerably smaller: 94 confirmed reductions, with three of the four negotiations concluded within the same quarter. The figures suggest the sector's adjustment cycle may have been shorter and less severe than many feared.

The latest survey results point to a different phase. More than half of software companies now expect to recruit during the next six months, while over three-quarters anticipate revenue growth. If those expectations materialize, the sector could move from workforce optimization back to net job creation faster than many other parts of the Finnish economy.

Nordea has lowered its growth outlook for Finland next year, warning that higher energy prices and rising interest rates are beginning to weigh on the recovery that appeared to strengthen earlier this year.

In January, the bank forecast Finnish GDP growth of 1 percent for 2026 and 2 percent for 2027, supported by recovering exports and stronger household consumption. In its updated outlook published yesterday, Nordea kept this year’s growth forecast unchanged at 1 percent but lowered next year’s estimate to 1.5 percent as geopolitical tensions and energy market disruptions cloud the outlook.

The revised forecast comes despite stronger than expected economic data in recent months. Finland’s economy expanded at the end of last year and continued growing during the first quarter as private consumption, industrial production, and investments improved.

“Card data from March and April suggest consumption has remained strong despite rising fuel prices and interest rates,” Nordea Economist Juho Kostiainen said in the bank’s related press release today.

Finland’s economic recovery is losing momentum after Swedbank lowered its 2026 GDP forecast from 1.2 percent to 0.9 percent, citing higher energy prices and weaker consumer confidence tied to the conflict in the Middle East.

The downgrade reflects what the bank describes as “a temporary interruption in the recovery” in its report published today. Inflation is now expected to reach 1.9 percent this year, 0.6 percentage points higher than Swedbank’s January forecast, as rising fuel and raw material costs spread through the economy. Consumer confidence weakened sharply in March and April, although sentiment among companies has remained relatively stable.

Despite the weaker outlook, Finland’s economy began the year on firmer footing than expected. Preliminary data showed GDP growing 0.9 percent in the first quarter compared with the previous quarter. Swedbank still expects domestic demand to support growth through 2026 and 2027.

Households are expected to regain some purchasing power as wages rise faster than inflation. Swedbank forecasts wage growth of 3.5 percent this year, helping offset higher living costs and supporting private consumption over time.

Four out of five Finnish companies expect their revenue to either grow or remain stable during the next six months, according to a new business survey by the Finland Chamber of Commerce.

The survey, conducted in April among 1,310 companies across Finland, found that 36 percent expect revenue growth while 45 percent expect turnover to remain unchanged. About 19 percent anticipate a decline, the business organization that represents Finnish companies wrote in a report published yesterday.

The findings were slightly weaker than in January’s survey, but still point to largely positive business expectations.

“The recovery has not been canceled,” said Jukka Appelqvist, chief economist at the central body for Finland’s regional chambers of commerce.

Companies also reported relatively positive expectations for order books and exports. Around 31 percent expect order volumes to increase over the next six months, while fewer than 19 percent foresee a decline.

Export expectations weakened somewhat compared with January, but remained strong overall. Nearly 32 percent of exporting companies expect exports to grow this year, while 13.5 percent predict a decline.