US—Ambassador John G. WEINMANN; Embassy at Itainen Puistotie 14A, SF-00140, Helsinki (mailing address is APO New York 09664); telephone [358] (0) 171931
_#_Flag: white with a blue cross that extends to the edges of the flag; the vertical part of the cross is shifted to the hoist side in the style of the Dannebrog (Danish flag)
_*Economy #_Overview: Finland has a highly industrialized, largely free market economy, with per capita output nearly three-fourths the US figure. Its main economic force is the manufacturing sector—principally the wood, metals, and engineering industries. Trade is important, with the export of goods representing about 30% of GDP. Except for timber and several minerals, Finland depends on imported raw materials, energy, and some components of manufactured goods. Because of the climate, agricultural development is limited to maintaining self-sufficiency in basic commodities. The economy, which experienced an average of 4.9% annual growth between 1987 and 1989, leveled off in 1990 and is now in a recession facing negative growth in 1991. The clearing account system between Finland and the Soviet Union in the postwar period—mainly Soviet oil and gas for Finnish manufactured goods—had kept Finland isolated from world recessions; the system, however, was dismantled on 1 January 1991 in favor of hard currency trade. As a result, Finland must increase its competitiveness in certain sectors, for example, textiles, foodstuffs, paper, and metals, and has already begun to shift trade westward. Finland, as a member of EFTA, is negotiating a European Economic Area arrangement with the EC which would allow for free movement of capital, goods, services, and labor within the organization.
_#_GDP: $77.3 billion, per capita $15,500; real growth rate - 0.1% (1990)
_#_Inflation rate (consumer prices): 5.0% (1991 est.)
_#_Unemployment rate: 5.7% (1991 est.)
_#_Budget: revenues $35.1 billion; expenditures $33.1 billion, including capital expenditures of $1.4 billion (1990)
_#_Exports: $23.3 billion (f.o.b., 1989);
commodities—timber, paper and pulp, ships, machinery, clothing and footwear;
partners—EC 44.0% (UK 12.0%, FRG 10.8%), USSR 14.5%, Sweden 14.3%, US 6.4%