Government grants EUR 3 million in business financing for managing structural change in Jämsä

On 27 October 2022, the Government decided to grant EUR 3 million to the Centre for Economic Development, Transport and the Environment of Central Finland for managing the sudden structural change in Jämsä. The funding will be especially allocated to investment and development projects of SMEs that create new jobs and support business renewal.

The Jämsä region has already received EUR 8.5 million to manage the structural change caused by the closure of the UPM Kymmene Kaipola paper mill. Of this sum, EUR 2.8 million was business financing.

Jämsä means to recreate the former paper mill site as a production and innovation centre for renewable energy, recyclable materials and innovative foods. Both confirmed and prospective operators on the site must be able to deploy the strong industrial infrastructure existing in the area.

“The earlier business financing granted to the area has been used to launch a number of good investment and development projects among SMEs. The financing now granted is intended to further mobilise new development projects and thereby create new jobs,” says Minister of Economic Affairs Mika Lintilä.

Sudden structural change refers to a situation where an employer or sector of regional or national significance makes redundant a large number of employees at once, as a result of bankruptcy or extensive adjustment measures.

Various employment, economic and regional development measures that are specific to the situation aim to prevent a recession of the regional economy. These measures help create new jobs, renew old ones and promote re-employment of those made redundant as quickly as possible.

Inquiries:
Sonja Hällfors, Special Adviser to the Minister of Economic Affairs, tel. +358 29 504 7380
Sirpa Hautala, Ministerial Adviser, Ministry of Economic Affairs and Employment, tel. +358 295 063 684