According to the Finnish Government, Finland as a whole is falling behind in fully harnessing the circular economy within the business world. In 2018, only 7 percent of Finland’s total production consisted of recycled materials, while the EU average stood at around 11 percent (Finnish Government 2021a). This statistic is disheartening, especially considering the abundance of circular economy expertise in Finland.

Eurostat indicators measuring resource use and material recycling rates reveal that Finland trails behind many EU countries in the circular economy (Finnish Government 2021b; Ministry of Economic Affairs and Employment 2022). Achieving Finland’s aspirations for a carbon-neutral circular economy will require a comprehensive change not only in societal decision-making and planning but also in the attitudes and behaviors of companies, households, and consumers.

Nevertheless, Finland ranks among the top in Europe in terms of competitiveness and eco-innovations that contribute to environmental preservation in innovative ways. With all the necessary prerequisites for success in place, Finland is unlikely to settle for a passive role as the world undergoes transformation.

Recognizing that the circular economy transition offers new avenues for strengthening the country’s export-driven economy and improving employment, Finland has taken steps to accelerate transition efforts. These include various support measures, as well as numerous circular economy projects and initiatives facilitated by organizations such as Business Finland, Sitra, and regional councils.

Doubts and hopes persist among the Finnish population

Despite the existence of support measures and projects, many Finns remain skeptical about the EU’s green transition and related directives. A 2022 survey conducted by the European Investment Bank revealed that 56% of Finns believe that climate policy actions will negatively impact their quality of life, compared to 39% across the EU (European Investment Bank 2022).

Over half of Finns believe that climate policy actions will hinder the country’s economic growth. However, approximately half of the population also believes that political actions aimed at combating climate change will ultimately generate more jobs than they eliminate (European Investment Bank 2022). Despite the doubts, the circular economy is seen as an opportunity worth seizing.

According to UN estimates, achieving the Sustainable Development Goals by 2030 will create approximately 380 million new jobs and unlock around 10 trillion euros in new business opportunities, reshaping the entire economic system as we know it (AlphaBeta 2017; Business and Sustainable Development Commission 2017). These opportunities will also manifest in the Finnish economy, further emphasizing the significance of embracing the circular economy.

References

AlphaBeta 2017. Valuing the SDG prize: Unlocking business opportunities to accelerate sustainable and inclusive. Business and Sustainable Development Commission. London.

Business and Sustainable Development Commission 2017. Better Business, Better World: The report of the Business & Sustainable Development Commission. Business and Sustainable Development Commission. London.

European Investment Bank 2022. Suurin osa suomalaisista ei usko vihreän siirtymän parantavan elämänlaatua.

Ministry of Economic Affairs and Employment of Finland. 2022. Hiilineutraali Suomi 2035 – kansallinen ilmasto- ja energiastrategia. Työ- ja elinkeinoministeriön julkaisuja. 2022:53. Helsinki.

Finnish Government. 2021a. Uusi suunta: Ehdotus kiertotalouden strategiseksi ohjelmaksi. Valtioneuvoston julkaisuja. 2021:1. Helsinki.

Finnish Government. 2021b. Valtioneuvoston periaatepäätös kiertotalouden strategisesta ohjelmasta. Helsinki.