Published: Sun, March 10, 2019
Medical | By Vicki Mclaughlin

Finland's entire government resigns after breakdown of agreement on welfare state reform

Finland's entire government resigns after breakdown of agreement on welfare state reform

Observers said it will not make much difference as its term in office is almost over and the parliamentary election is due in April.

Finnish Prime Minister Juha Sipila has tendered the resignation of his government for failing to push through a social and health care reform.

Sipila, a former businessman who earned millions as an IT entrepreneur before becoming prime minister in 2015, has made health and social reform one of his top priorities in office, seeing a shake-up as necessary to cut the ballooning costs of treating a rapidly aging population.

President Sauli Niinistö accepted the resignation and asked Mr Sipila's government to continue in office until the elections.

"Prime Minister Sipilä will request to resign because the health care reform can not be accomplished during this government term", Kaikkonen tweeted.

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Speaking to journalists at a news conference on Friday morning, Sipilä noted that the social and health care reform package and its related system of regional government was his administration's central goal.

Several governments have tried to push through reforms in different forms over the past 12 years. The government's resignation would not change the timetable for next month's elections, the justice ministry said.

The government of Finland resigned on Friday, a month before parliamentary elections, citing a failure of the plan to reform the public healthcare system.

Jan von Gerich, chief strategist at Nordea Bank Abp in Helsinki, said the news "doesn't really affect the outlook for Finnish politics or policies", although "the headlines might still raise questions among some foreign investors".

Democratic forces of Europe will win back the trust of the people by making decisions and by implementing them, at home and here in Brussels, Finland's Juha Sipilä on Thursday (31 January) told European Union lawmakers in Brussels.

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