Finland's building industry faces worst year since 2003

Finland's building industry faces worst year since 2003

Helsingin Sanomat highlighted last week that the monthly number of bankruptcy petitions has been as high only seven times since 2003, with the record of 53 in February 2009.

Over the past few months, bankruptcy proceedings have been instituted against 294 building construction firms, leaving the sector on track to experience its worst year since the early 2010s.

The difficulties in building construction have also impacted staffing agencies providing workers for the sector. For example, Selekta Rakennus reported last week that it has entered corporate restructuring after seeing revenue plummet in the first six months of the year because of the construction slowdown, with no indications of a quick recovery on the horizon.

The staffing agency said it expects to report around 4.5 million euros in annual revenue, a decline of almost six million euros from 2022.

On Wednesday, statistics Finland revealed that the number of new bankruptcy cases rose by more than 20 percent year-on-year to 283 in August, marking a new record high since the eurozone crisis of 2013-2014.