In its annual review of the member states' economies, the European Commission is now proposing that a so-called excessive deficit procedure be initiated against Finland.
This means that the country must now develop a plan for how and when to reduce its budget deficit to an acceptable level.
Finland's deficit is estimated at 4.5 percent this year – well above the 3 percent that is the formal limit. Several other Finnish figures are also red: Unemployment is the second highest in the EU at 9.5 percent, growth is currently the lowest in the EU at just 0.1 percent and the national debt has quickly climbed to become the EU's seventh largest, at 88 percent of GDP.
Finland is far from alone in having a tough time. Deficit procedures also apply to nine other EU countries, including both France and Italy.
