In the past few years, Finnish enterprises have exported more capital than in the years prior to the crisis. The increase in outward capital flows is due to internationalisation of funding of foreign direct investment enterprises since the financial crisis of 2008. Finnish companies increasingly finance their foreign entities directly, which has reduced investment enterprises' need to acquire funding independently from the financial markets. According to the Bank of Finland's estimations, foreign direct investment (FDI) from Finland, adjusted for data on pass-through investment, was over EUR 3 bn in 2012. Pass-through funds refer to a group's internal capital flows that pass through an investment enterprise to the group's other entities resident in another economy. 

FDI into Finland has remained at a much lower level than before the financial crisis, and pass-through investment has also become more important. Adjusted for pass-throughs, inward FDI was close to zero in 2012.

Interpreting Finnish FDI statistics has become more difficult on account of internationalisation of companies due to globalisation and more complex financing structures. In order to better address analysis needs arising from increased internationalisation, the international standards on compilation of FDI statistics have been revised. Publication of statistics in compliance with the revised standards begins in 2014. The new statistics enable country-specific analysis of FDI according to residence of the ultimate parent company and of the ultimate investor. Traditionally, FDI statistics have been compiled only on the basis of residence of the immediate investor.

FDI developments and the implications of the new statistical methodology are discussed in the newest annual balance of payments review. The review also discusses current account and portfolio investment developments in the first half of 2013 and analyses challenges relating to balance of payments net errors and omissions and statistical revisions.

The entire annual review in Finnish can be found at:

The annual balance of payments review will be published in English on 25 October 2013.

For more information, please contact Anne Turkkila, Economist, tel. +358 10 831 2175,