The flow of foreign direct investments to Helsinki continued to increase in 2012
Press release June 6th, 2013
The Helsinki region attracted more foreign direct investments (greenfield investments) in 2012 than the year before. The growth rate was 13 per cent. Helsinki has experienced a steady increase in foreign direct investments despite the challenging global economic situation. One key reason behind Helsinki’s success is the availability of highly-skilled and knowledge-driven workforce.
Helsinki, the capital of Finland, continued to attract foreign direct investments in 2012 even though Europe experienced an overall decline in deal flows. The number of organic or greenfield investments to Helsinki increased from 54 in 2011 to 61 in 2012. The number of growth-capital deals and cross-border mergers and acquisitions (M&A’s) remained on the same level as in 2011.
- One of the key drivers to successful attraction of knowledge-driven companies is the access to a highly-skilled and knowledge-driven workforce – and the availability of that workforce. This specific driver has consistently grown in importance to international companies. The presence of internationally recognised and home-grown names such as Rovio and Nokia encourage investors. Likewise the strength of Helsinki and Finland in international benchmark terms – for example, in education levels, enable it to be competitive with other locations. As such this skills base is one of the reasons Helsinki has prospered in difficult times, describes Peter Lemagnen, CEO of UK-based FDI consultancy Oxford Intelligence Ltd.
- Another way in which Helsinki has successfully differentiated itself from other capitals in the region has been its success in attracting investment from other parts of the neighboring region. 38 per cent of investors come from other parts of the Baltic region, quite different to Stockholm and Copenhagen. Helsinki therefore has a much more balanced position, continues Lemagnen.
Europe in general suffered a slight decrease in cross-border investments even though cross-border growth capital investments increased significantly. The Nordics continued to increase their share – nine per cent of all European cross-border investments came to this area.
- Helsinki offers an innovative operating environment and has excellent connections to different parts of the world. This all makes Helsinki an ideal place for research and development activities as well as for transnational business activities. Furthermore, we warmly welcome all growth capital investors to take a look at the vibrant start-up scene in the region, says Micah Gland, CEO of Greater Helsinki Promotion, the invest in-organisation of the Helsinki region.
The data on cross-border investments is based on two independent sources: Ernst & Young's European Investment Monitor (EIM) and the Zephyr database by Bureau van Dijk. These sources are internationally respected and used by companies, the investment finance community, international agencies, and by national, regional and city governments.
Additional information:
CEO Micah Gland
Greater Helsinki Promotion Ltd
Tel: +358-50-373 1442
E-mail: micah.gland@helsinkibusinesshub.fi
Link to Ernst&Young's European Attractiveness Survey:
http://www.eyeim.com/pdf/E&Y%20European%20Attractiveness%20Survey%202013.pdf
Greater Helsinki Promotion Ltd
Greater Helsinki Promotion Ltd (GHP) is the invest in organisation of the greater Helsinki area. GHP is owned by the cities of Helsinki, Espoo, Vantaa, Kauniainen and the Uusimaa Regional Council. Helsinki Business Hub is the brand of GHP. www.helsinkibusinesshub.fi