The Bank of Finland’s audited profit for the financial year 2018 totals EUR 230 million. According to the Act on the Bank of Finland, half of the Bank’s profit should be transferred to the reserve fund and the remaining profit made available for the use by the State. However, the law allows for an exceptional profit distribution if justified by the Bank’s financial condition or the size of the reserve fund.

The Bank of Finland’s income consists primarily of interest income on banknotes and the Eurosystem’s monetary policy items as well as investment income on foreign reserves and other financial assets of the Bank. In 2018, net interest income amounted to EUR 697 million (2017: EUR 567 million). Net purchases under the monetary policy asset purchase programmes continued until the end of 2018, and liquidity in the banking system increased. Net interest income was mainly boosted by commercial banks’ deposits with the Bank of Finland, for which the banks are charged a negative interest rate. Foreign currency-denominated interest income pushed up interest income on financial assets, while euro-denominated interest income was down on the previous year.

The Bank of Finland’s income covers its operating expenses and provisions. Operating expenses net of banknote production services and an additional pension fund contribution amounted to EUR 97 million (2017: EUR 90 million).