Wednesday 5/12/21
CORONAVIRUS CRISIS

Small companies received an average of € 50,000 in business subsidies

Finland paid 1.75 billion euros in business subsidies in 2020. The majority of the subsidy recipients were micro and small enterprises.

A general view of the headquarters of Business Finland, whose aid to companies caused a bitter controversy in 2020. Photo: Foreigner.fi.
A general view of the headquarters of Business Finland, whose grants to companies caused a bitter controversy in 2020. Photo: Foreigner.fi.

Finland distributed 1,750 million euros in business subsidies in 2020, which is 268% more than one year earlier, according to Statistics Finland's data.

Of direct subsidies, 1,278 million euros were paid as a result of the economic downturn caused by the coronavirus epidemic and 471 million euros as ordinary subsidies.

Business subsidies covered 63,767 enterprises, of which 57,875 received direct subsidies in 2020. The majority of the subsidy recipients were micro (69%) and small enterprises (28%), the data shows.

The enterprise size had a strong effect on the size of the subsidy paid to the enterprise.

Micro enterprises received, on average, 14,700 euros in direct subsidies per enterprise, small enterprises 49,900 euros, medium-size enterprises 136,700 euros and large enterprises 300,800 euros.

Manufacturing industries received subsidies to the tune of 66,600 euros per enterprise and other industries 26,200 euros.

Examined by industry, the highest numbers of recipients were found in service industries (47%) and trade (15%). In euros, subsidies were received most by small enterprises, whose sum of subsidies also grew most in relative terms compared to 2019.

Construction, services

Among the industries, service industries received most direct subsidies, but compared with the previous year, the amount of subsidies grew most in relative terms in the construction industry.

Due to the economic downturn, subsidies were paid most to service industries. Of the direct subsidies of 832 million in service industries, 83% were paid due to the economic downturn.

The statistics are composed of loans and guarantees granted by Finnvera, subsidies and loans paid by Business Finland, cost support paid by the State Treasury, subsidies paid by the Development and Administration Centre to food service enterprises and direct subsidies paid by the Ministry of Economic Affairs and Employment , ELY Centres and the Ministry of Agriculture and Forestry.

The statistics do not include agricultural subsidies or various tax subsidies.

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