Finland Hit by Largest Bankruptcy Wave in 29 Years

In January 2026, Finland experienced the largest wave of corporate bankruptcies in the past 29 years, according to data published by the Statistics Finland.

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During the first month of the year, 385 companies declared bankruptcy. A comparable figure last appeared in October 1997, the statistical agency noted.

"In January 2026, 385 bankruptcy proceedings were initiated in Finland,” the press release stated.

Bankruptcies Continue to Rise

The number of corporate bankruptcies in Finland has increased for several years. By the end of 2025, more than 3,900 companies had become insolvent, marking the highest level since 1996.

Experts attribute this trend in part to the near-complete rupture of trade and economic ties with Russia. Against this backdrop, several key sectors have faced mounting difficulties, including the timber processing industry, tourism, hospitality, logistics, retail trade, and construction.

Economic Relations With Russia Remain Uncertain

Finnish authorities have named a ceasefire in Ukraine as the primary condition for restoring trade relations with Russia. Analysts consider such prospects unlikely in the foreseeable future.

Amid the deepening economic challenges, Juho Romakkaniemi, head of Finland's Central Chamber of Commerce, urged the government to normalize bilateral economic ties with Russia as soon as possible. He warned that without policy adjustments, Finland risks remaining one of the principal economic casualties of anti-Russian sanctions within the European Union.

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