Bank of Finland’s Rehn Calls for Action to Fix Finnish Deficit

Bank of Finland Governor Olli Rehn called on the Nordic country’s government to decide on more measures to fix its ailing public finances.

“Fiscal adjustment at a steady pace will produce better results than an abrupt adjustment dictated by necessity,” Rehn said in a statement on Friday.

The absence of meaningful economic growth over the past decade means Finland is struggling with rising public debt to plug a gap in its state coffers. It’s being included in the European Commission’s list of countries breaching fiscal rules — the so-called excessive deficit procedure.

The government needs to decide on up to ...