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Rethinking institutions in an era of demographic transition

Report by Sitra and TIAL: “…As demographic pressures intensify, achieving societal goals, such as quality care for all, meaningful employment, and inclusive economic growth, will become increasingly difficult. Thus, Finland needs to rethink its institutional arrangements; not doing so would force Finland into a vicious cycle of reactive, short-term measures and block coordinated efforts for a more anticipatory, integrated approach.

Additionally, demographic change should not be seen solely as a burden to manage. If addressed proactively, it can become a powerful lever for societal transformation. Countries like Sweden, Singapore, and New Zealand show valuable lessons in how demographic transition can be leveraged as a strategic opportunity to build equitable, responsive, and future-proof public institutions.

Possible entry points

This report outlines approaches for rethinking institutions along five strategic priorities. These areas represent critical leverage points where new institutional designs can support demographic resilience, improve equity, and unlock societal potential.

  • Governance of transversal issues: Establish institutions that can synthesise demographic trends across sectors, facilitate coordinated action, and harness collective intelligence.
  • Organisation of care: Innovate care models by focusing on integrated, person-centred, community-based systems.
  • Developing the silver economy: Develop institutional frameworks that coordinate efforts across government, industry, and communities to support innovation and growth in age-related sectors.
  • Workforce adaptation: Support inclusive workplace practices through strategic platforms for age-diverse workforce planning and lifelong learning.
  • Governance for future generations: Institutionalise long-term responsibility, integrating intergenerational fairness into governance structures…(More)”.
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