``The EMU discussion can hardly be postponed in Sweden. EMU is a reality to which Sweden has to adjust,'' Lipponen told Finnish radio.

Asked if Sweden would adopt the single currency during the term of the newly elected parliament he said: ``Yes, I believe so.''

The Swedish vote seemed to have returned a weakened prime minister Goran Persson to power, raising the prospect of compromises with successful ex-communists, who oppose Sweden's membership in the European Union.

Finland's economy is closely linked with Sweden's and their forestry and electronics industries are in direct competition.

Prospects of a weaker Swedish crown in the wake of the election putting competitive pressure on Finnish exporters have worried Finland, which will be prevented by EMU from either competitive devaluationsor independent monetary loosening.

The Finnish opposition, which is against joining EMU, was quick to point out the increased risk of economic divergence with Sweden.

``It would be much better if we and Sweden were on the same side,'' said former prime minister and leader of the Centre Party, Esko Aho.