Finland’s Success In Climate Solutions Offers Valuable Lessons For Malaysia

From Zufazlin Baharuddin

HELSINKI, Nov 9 (Bernama) -- Finland’s leadership and success in climate solutions through the implementation of a circular economy is nothing short of remarkable and offers valuable lessons for Malaysia, which has embraced similar ideals in promoting sustainability.

Taking a leaf from the northern European Nordic country, it has been shown that coordinated policies, innovation and societal engagement not only drive effective climate solutions but also create additional economic value.

Over the past eight years, Finland has adopted a multi-pronged approach to implementing circular economy strategies in recycling and reducing wastage from existing materials and products.

Finnish climate solutions also include significant investments in sustainable energy sources such as wind and solar power.

In so doing, the country has set a high green standard, emerging as a global forerunner in climate change mitigation.

By definition, a circular economy is a model for sustainable production and consumption that aims to eliminate waste by keeping products and materials in use for as long as possible.

Notably, Finland is the first country to establish a circular economy roadmap and is among the most ambitious nations in targeting carbon neutrality by 2035.

Malaysia can draw much from Finland, having already laid important groundwork through the Circular Economy Blueprint for Solid Waste (2025–2035) and several other initiatives.

Against this backdrop, a week-long media programme on “Climate Solutions from Finland” for journalists, organised by the Finnish Ministry of Foreign Affairs, was certainly an eye-opener.

Mainly concentrated in the capital city of Helsinki, where it was late autumn, the programme offered Malaysia valuable economic lessons from the European nation’s green transition.

What stands out most is that political will at the highest level is paramount to making the circular economy and sustainability work while fostering economic growth.

To date, Malaysia is taking the right steps, having initiated a Circular Economy Policy Framework for the Manufacturing Sector and the National Energy Transition Roadmap (NETR) to promote resource efficiency, low-carbon industries and cleaner energy growth.

This is in line with its global sustainability and climate goals, including achieving net zero emissions by 2050 and reducing carbon intensity by 45 per cent by 2030 compared with 2005 levels.

Finland’s green transition offers economic lessons for Malaysia

It also illustrates how the country translates its climate ambitions into action through effective policy implementation, forward-looking initiatives and a strong education system.

All these factors combine to foster awareness of the circular economy from an early age, ultimately shaping the entire societal and environmental ecosystem. Undoubtedly, it is a whole-of-country initiative.

This was clearly demonstrated by Finland’s low-carbon transition and comprehensive circular economy framework, showing that coordinated government policies together with proactive societal participation can drive sustainable economic growth.

It also enhances resource efficiency and promotes low-carbon innovation.

Environment Ministry Director for Climate and Chemicals, Outi Honkatukia, said that aligning climate goals with economic planning requires strong commitment at the highest political level to ensure effective coordination across government.

“Aligning climate goals with economic planning is not easy. The key is to implement a whole-of-government approach and ensure strong cross-ministerial coordination structures. Alignment of sectoral policies is important too,” she told Bernama during the programme.

Finland also shares its experiences bilaterally through its embassies in developing countries, as well as through various international and multilateral processes, including the United Nations Framework Convention on Climate Change (UNFCCC).

“We have also contributed to Organisation for Economic Co-operation and Development (OECD) initiatives, such as the Global Forum of the Climate Change Expert Group,” she added.

Meanwhile, Sitra—the Finnish Innovation Fund under the supervision of the Finnish Parliament—acts to accelerate well-being and economic growth.

It also helps shape initiatives that address critical societal and environmental challenges.

The fund has an annual budget of around 30 million euros, available to support initiatives that benefit Finland.

These mainly include key societal challenges such as the sustainability transition, economic growth, data and artificial intelligence.

"Our mission is to accelerate well-being and economic growth within the limits of nature’s carrying capacity. 

"We seek new solutions and support societal innovations with our partners,” said Sitra’s Senior Lead for Media Communications and Public Affairs, Samuli Laita.

On the Ground: Circular Economy in Practice

A series of visits to key Finnish institutions and companies provided practical insights into how climate and circular economy solutions are implemented on the ground.

At the energy company Vantaan Energia, the media observed how waste-to-energy processes are combined with carbon capture technologies to reduce emissions and promote resource efficiency.

Furthermore, a visit to Solar Foods showcased innovations in sustainable protein production called ‘Solein’.

Another visit to the return system for beverage packages at Shopping Centre Ainoa offered valuable lessons on effective consumer-level recycling practices.

The return system for beverage packages is a deposit-return scheme that uses a small, refundable deposit to incentivise consumers to return empty containers for recycling.

The group also visited Viikki Primary School, where circular economy principles are integrated into early education.

To take this further, a visit to Aalto University provided insights into how higher-level students apply circular economy concepts creatively in their projects and assignments.

Collectively, these visits demonstrated how policies, technology and education work together to create a real impact on both society and the environment.

Insights for Malaysia  

Finland’s experience certainly offers valuable lessons for Malaysia, which is only now developing its circular economy.

Throughout the programme, it was evident that coordinated policies, innovation and societal engagement can drive effective climate solutions, while strengthening economic growth within a circular economy framework.

Like in Finland, Malaysia’s sustainable goals can be achieved through a collective approach, with all segments of society and government pulling in the same direction.

Public awareness and the education system—particularly on the principles of “Reduce, Reuse, Recycle”—must be strengthened to achieve this goal, embedding circular economy values from an early age through practical and continuous implementation.

Participation from various industries and stakeholders also plays a vital role in driving economic growth while supporting Malaysia’s collective efforts to achieve its 2050 low-carbon and circular economy targets.

Malaysia’s Chargé d’Affaires ad interim in Helsinki, Al-Fadil Adam, said that by adopting Finland’s approach in strategic policy planning, circular business models and integrated value chains, Malaysia could accelerate its green transition while aligning with international trade and sustainability standards.

“Finland is a global leader in circular economy practices, driven by strong national strategies, public-private innovation and sectoral expertise in bio-economy, sustainable forestry and waste management. Malaysia can benefit greatly by tapping into this expertise, particularly as it works to modernise key sectors like palm oil, forestry and manufacturing,” he said.

By drawing on Finland’s experience, Malaysia can further strengthen its circular economy and climate strategies to ensure sustainable development and long-term societal benefits.

By being an early mover, it could drive the transition to a circular economy in Southeast Asia, according to the European Union Circular Economy Resource Centre (EU CERC).

Malaysia is already taking the first steps towards sustainability, which, while growing the economy, will pave the way for successful climate solutions similar to Finland, for the benefit of future generations.

-- BERNAMA