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Finance Minister: No consumer debt ceiling plans in the works

Saarikko intends to promote other means proposed by the Ministry of Finance instead.

Annika Saarikko kesk , eduskunnassa 18.2.2021
Minister of Finance Annika Saarikko Image: Pekka Tynell / Yle
  • Yle News

Minister of Finance, Annika Saarikko (Centre), said on Friday that she does not support the household debt cap plans prepared by a finance ministry working group, according to news agency STT.

Saarikko noted that excessive household debt should be addressed by other means.

In May, the Bank of Finland said debt-to-income caps were needed to ensure the country was prepared to face future economic crises.

On Friday, Saarikko said there were other proposed means towards preventing household debt that should be promoted.

For instance, in the autumn of 2019, the ministry proposed that the repayment period of mortgages should not exceed 25 years and that the length and amount of housing loans should be limited.

The ministry's housing loan guidelines are to be finalised in the early autumn, Saarikko said.