Finland’s startup community is closing out 2025 with something rare in today’s uncertain economic climate: momentum, optimism, and a record-breaking wave of investment that has lifted the entire ecosystem.
According to new figures from the Finnish Venture Capital Association (FVCA), Finnish startups raised €400 million during the first half of the year. By autumn, a series of major rounds—led by Oura’s historic €777 million raise and IQM’s €275 million—pushed the annual total past €1.5 billion, marking one of the strongest years the Finnish tech scene has ever seen.
Behind the numbers lies a bigger story: an ecosystem maturing in real time. Early-stage founders continue to attract strong domestic support, while scaleups are drawing some of the world’s biggest investors to Finland. The energy is palpable across sectors—health tech, quantum computing, AI, climate tech, and next-generation industrial solutions are all playing a role in pulling the country forward.
Investors Are Showing Trust in Finland’s Future
Finnish venture capital firms have kept their foot on the pedal, investing €226 million in the first half alone—one of their highest performances to date. Public-sector participation also rose significantly, demonstrating a shared belief that young, fast-growing companies are critical to Finland’s long-term growth story.
“Finnish venture capital funds are heavily involved in startups’ early stages, but their share tends to shrink in larger growth rounds. It would be in Finland’s best interest for Finnish ownership to continue as long as possible,” says Jonne Kuittinen, FVCA’s Deputy Managing Director.
A Challenging Fundraising Environment—But a Strong Finish
The only cloud hanging over an otherwise bright year is fundraising for new venture funds, which slowed under global economic uncertainty. Finnish VCs raised just €106 million in fresh capital during the first half of the year, one of the lowest figures in recent years. Yet even here, the story is shifting: Lifeline Ventures’ announcement of a record €400 million fund later in the year is expected to lift annual fundraising to new heights.
As FVCA’s Chair, Riku Asikainen, notes, Finland’s most promising growth currently comes from “professionally owned unlisted companies”—a clear signal that private-sector innovation remains one of the country’s strongest engines.
A Year to Remember
Record-breaking deals, renewed public-sector involvement, and a surge in global interest have made 2025 a defining year for Finnish startups. Whether you’re a founder, investor, policymaker, or simply someone who believes in innovation, the message is clear: Finland’s startup engine is running stronger than ever.
If you’d like to explore the data, insights, and trends in full detail, you can read the complete Finnish Venture Capital Association report here.
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Read the orginal article: https://arcticstartup.com/finnish-venture-capital-association-2025-latest-data/
