The Finnish financial sector has been rather well insulated from the instability experienced in some other member countries. Three Bank of Finland economists, Adam Gulan, Markus Haavio and Juha Kilponen, have presented a decomposition of the fluctuations of the Finnish GDP since the 1980s. They analyzed which factors – financial or real, domestic or external – have moved the Finnish GDP.
According to their results, the era of monetary union has been characterized by relatively stable domestic financial markets. Loan supply had a moderate stimulating impact on the economy in the mid- 2000s, but we cannot blame domestic financial instability for the deep recession that hit our economy in 2009.