Pekka Soini: Economic reform now requires all available resources

9/2/2014

The end of August brought with it good news for Finnish companies and society. The additional cuts to allocations for Tekes funding announced earlier have been called off.

We at Tekes wanted our clients to be heard in this discussion. This is why we collected a list of those executives, who wanted to voice their stance on the importance of Tekes funding.

In just over 24 hours, 70 executives representing companies from swiftly growing start-ups to large public companies expressed their backing for our effort. I want to thank all them for their valuable support. It is fantastic to see that our clients share our understanding of Tekes's importance as a force for social and economic reform.

If realised, the 30 million euro cut to the sum allocated for Tekes funding would have resulted in a direct cut in Finnish innovations, as research has shown that Tekes funding is a key factor in their realisation.

Right now, Finland needs income from exports, thus, we have been pleased to note that exports have grown by 20 per cent annually for Tekes's small and medium-sized client companies.

Growth companies play a significant role in economic reform. Tekes funding has helped growth companies onto the international market and helped companies receive further funding.

Paul Heydon, of London Venture Partners, who has invested a great deal in Finland acknowledged the importance of Tekes funding in online journal TechCrunch. According to Heydon, the Finnish system for funding companies is the best he knows.

Reform of a large corporation is a massive engine, which pulls a great many smaller companies along in its wake into new markets. Tekes funding for large corporations sets projects in motion that would have otherwise remained unrealised.

Public funding for companies results in acceleration of the economy nearly everywhere world-wide. We often forget that in relation to its gross national product the public funding provided for corporate research and development activities by the United States is manifold that of what Finland provides. As the significance of information and expertise as part of economic growth grows, Finland must ensure that we feed our economy's innovativeness with sufficient funding.

At Tekes, we understand our role and responsibility as a force for social reform. We are working harder than ever, so that every euro we grant to companies, research and organisations produces more turnover, jobs, expertise and wellbeing than ever before for all Finns. Success in international competition requires constant reform and risk taking.

Pekka Soini
Director General


More facts on the results and impact of Tekes funding

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