The Total Non-Performing Loans (NPL) Net of Provisions to Capital in Finland exhibited fluctuations from 2013 to 2023. Marking its lowest at 5.32 in 2013, the NPL ratio peaked at 11.21 in 2014 before settling around 10.44 in 2023. Notably, the year-on-year increase from 2022 to 2023 was roughly 2.65%, reflecting a persistent upward trend since 2018. Over the last five years, the Compound Annual Growth Rate (CAGR) stood at 1.82%, with an overall growth rate of 9.45% from 2024 to 2028.
Looking ahead, the NPL ratio is projected to continue rising, reaching approximately 11.72 by 2028. Key trends to monitor include economic stability, regulatory changes, and banks’ risk management practices, as these will significantly impact the trajectory of non-performing loans in Finland’s financial sector.
