The year 2025 was better than expected financially for the City of Kankaanpää, but at the same time still a structurally demanding year. The city's economy strengthened for the sixth year in a row and the financial position improved clearly. 

The result for the financial year was a surplus of approximately EUR 2,2 million, which clearly exceeded the budget. The surplus accumulated in the balance sheet grew to approximately EUR 13,3 million, which provides financial room for manoeuvre also for the coming years. The strengthening of the economy was mainly due to larger than expected government transfers and moderate expenditure developments.  

-The financial statements for 2025 are clearly positive for Kankaanpää. The surplus result, strong annual margin and the reduction in the loan portfolio indicate that the finances have been managed responsibly. The financial statements also show that Kankaanpää has the ability to adapt to a changing operating environment. Although there are still uncertainties regarding the municipal finances, the city's current financial position is stable, the mayor says. Mika Hatanpaa toteaa. 

Investments at a moderate level – debt decreased 

The city's investment level remained moderate in line with the balancing program. A total of approximately 2,45 million euros were spent on investments, which is clearly less than in the previous year. The largest investments were in traffic routes (€757,000) and water supply (€698,000). 

Thanks to the strong result, the city's loan stock decreased by approximately 5 million euros and was approximately 100 million euros at the end of the year. EUR 47,7 million. The number of loans per inhabitant also decreased clearly. The equity ratio strengthened and the relative debt ratio decreased, which indicates a strengthening of the city's financial position. 

The 2025 financial statements were strong, but the outlook for the financial plan period is still in deficit. Some of the 2025 revenue will be non-recurring, and expenses will increase in the coming years due to, among other things, salary settlements, changes in education financing, and employment management costs. The year 2027 is expected to be particularly financially challenging. 

-Another positive thing in 2025 was that the city's demographic development remained slightly positive and the vitality work could be continued with determination. Kankaanpää still has strong potential for growth, investments and the creation of new opportunities, Hatanpää emphasizes. 

Mayor Hatanpää would like to express his warm thanks to the entire city staff and decision-makers for their excellent work for the benefit of the people of Kankaanpää.  

-A positive overall financial statement does not happen by itself, but is based on competent decision-makers and personnel who do their work responsibly and with great professionalism every day. 

 

Additional information: 

Mayor Mika Hatanpää, City of Kankaanpää, 044 577 2210, [email protected] 

Financial Director Ari Virolainen, City of Kankaanpää, 044 577 2241, [email protected]