BOFIT Viikkokatsaus / BOFIT Weekly 2017/22

In the first quarter of this year, the value of goods exported to Russia increased by nearly 30 % y-o-y. Russia's total goods imports grew at roughly the same pace supported by gradually recovering demand and significant ruble appreciation. Finnish exports to Russia were up in nearly all product groups. Exports of machinery & equipment rose by 50 % y-o-y and food exports by 12 %. Finland's goods exports to Russia, however, were still down nearly 40 % from their 2012–13 peak. Growth in goods exports should continue in coming months, albeit probably at a slower pace than in the first quarter.

The value of goods imports doubled in the first quarter compared to a year earlier. Much of the powerful growth came from higher oil prices and imports of pipelines apparently reflecting supplies for the Nordstream 2 gas pipeline project.

Services exports also appear to be recovering strongly this year led by tourism services. The number of Russian overnight stays in Finnish hotels and lodging during 1Q17 was up 23 % y-o-y. Even more dramatic growth figures seem to have been posted for purchases of Russians visiting Finland.