Finland
Republic of Finland | |
|---|---|
| Anthem: | |
| Demonym(s) | |
| Government | Unitary parliamentary republic[4] |
| Sauli Niinistö | |
| Sanna Marin | |
| Matti Vanhanen | |
| Legislature | Parliament |
| Independence from Russia | |
| 29 March 1809 | |
| 6 December 1917 | |
| January – May 1918 | |
| 17 July 1919 | |
| 30 November 1939 – 13 March 1940 | |
| 25 June 1941 – 19 September 1944 | |
| 1 January 1995 | |
| Area | |
• Total | 338,455 km2 (130,678 sq mi) (65th) |
• Water (%) | 9.71 (2015)[5] |
| Population | |
• 2022 estimate |  5,566,000[6] (116th) |
• Density | 16.4/km2 (42.5/sq mi) (213th) |
| GDP (PPP) | 2022 estimate |
• Total |  $321.2 billion[7] (60th) |
• Per capita | $58,010[7] (21st) |
| GDP (nominal) | 2022 estimate |
• Total | $267.61 billion[7] (46th) |
• Per capita | $53,745[7] (16th) |
| Gini (2021) |  25.7[8]low |
| HDI (2021) | 0.940[9] very high · 11th |
| Currency | Euro (€) (EUR) |
| Time zone | UTC+2 (EET) |
• Summer (DST) | UTC+3 (EEST) |
| Date format | dd.mm.yyyy[10] |
| Driving side | right |
| Calling code | +358 |
| ISO 3166 code | FI |
| Internet TLD | .fi, .axa |
| |
Finland (
Finland was first inhabited around 9000 BC after the Last Glacial Period.[13] The Stone Age introduced several different ceramic styles and cultures. The Bronze Age and Iron Age were characterized by contacts with other cultures in Fennoscandia and the Baltic region.[14] From the late 13th century, Finland became a part of Sweden as a consequence of the Northern Crusades. In 1809, as a result of the Finnish War, Finland became part of the Russian Empire as the autonomous Grand Duchy of Finland, during which Finnish art flourished and the idea of independence began to take hold. In 1906, Finland became the first European state to grant universal suffrage, and the first in the world to give all adult citizens the right to run for public office.[15][note 3] After the 1917 Russian Revolution, Finland declared independence from Russia. In 1918, the fledgling state was divided by the Finnish Civil War. During World War II, Finland fought the Soviet Union in the Winter War and the Continuation War, and Nazi Germany in the Lapland War. It subsequently lost parts of its territory, but maintained its independence.
Finland largely remained an agrarian country until the 1950s. After World War II, it rapidly industrialized and developed an advanced economy, while building an extensive welfare state based on the Nordic model; the country soon enjoyed widespread prosperity and a high per capita income.[16] During the Cold War, Finland adopted an official policy of neutrality. Finland joined the European Union in 1995 and the Eurozone at its inception in 1999. Finland is a top performer in numerous metrics of national performance, including education, economic competitiveness, civil liberties, quality of life and human development.[17][18][19][20] In 2015, Finland ranked first in the World Human Capital,[21] topped the Press Freedom Index, and was the most stable country in the world during 2011–2016, according to the Fragile States Index;[22] it is second in the Global Gender Gap Report,[23] and has ranked first in every annual World Happiness Report since 2018.[24][25][26]
History
Prehistory
If the
The first pottery appeared in 5200 BC, when the Comb Ceramic culture was introduced.[32] The arrival of the Corded Ware culture in Southern coastal Finland between 3000 and 2500 BC may have coincided with the start of agriculture.[33] Even with the introduction of agriculture, hunting and fishing continued to be important parts of the subsistence economy.
In the Bronze Age permanent all-year-round cultivation and animal husbandry spread, but the cold climate phase slowed the change.[34] The Seima-Turbino phenomenon brought the first bronze artefacts to the region and possibly also the Finno-Ugric languages.[34][35] Commercial contacts that had so far mostly been to Estonia started to extend to Scandinavia. Domestic manufacture of bronze artefacts started 1300 BC.[36]
In the Iron Age population grew. Finland proper was the most densely populated area. Commercial contacts in the Baltic Sea region grew and extended during the eighth and ninth centuries. Main exports from Finland were furs, slaves, castoreum, and falcons to European courts. Imports included silk and other fabrics, jewelry, Ulfberht swords, and, in lesser extent, glass. Production of iron started approximately in 500 BC.[37] At the end of the ninth century, indigenous artefact culture, especially weapons and women's jewelry, had more common local features than ever before. This has been interpreted to be expressing common Finnish identity.[38]
An early form of
The name Suomi (Finnish for 'Finland') has uncertain origins, but a common etymology with saame (the Sami) has been suggested.[40][41] In the earliest historical sources, from the 12th and 13th centuries, the term Finland refers to the coastal region around Turku. This region later became known as Finland Proper in distinction from the country name Finland.[42] See also Etymology of Finns.
Swedish era
The 12th and 13th centuries were a violent time in the northern Baltic Sea. The
Dark green: Sweden proper, as represented in the Riksdag of the Estates. Other greens: Swedish dominions and possessions
As a result of the crusades (mostly with the second crusade led by Birger Jarl) and the colonization of some Finnish coastal areas with Christian Swedish population during the Middle Ages,[47] Finland gradually became part of the kingdom of Sweden and the sphere of influence of the Catholic Church.[48]
In the 16th century, a bishop and Lutheran Reformer
The Finns reaped a reputation in the
consisting of an inhabited 18th-century sea fortress built on six islands. It is one of Finland's most popular tourist attractions.In the 18th century, wars between Sweden and Russia twice led to the occupation of Finland by Russian forces, times known to the Finns as the
The devastation of Finland during the wars served as reminders to the Finnish people of the precarious position between Sweden and Russia.
Russian era
, trying to steal her book of laws.On 29 March 1809, having been taken over by the armies of
The Finnish famine of 1866–1868 occurred after freezing temperatures in early September ravaged crops,[64] and it killed approximately 15% of the population, making it one of the worst famines in European history. The famine led the Russian Empire to ease financial regulations, and investment rose in the following decades. Economic and political development was rapid.[65] The gross domestic product (GDP) per capita was still half of that of the United States and a third of that of Britain.[65]
From 1869 until 1917, the Russian Empire pursued a policy known as the "Russification of Finland". This policy was interrupted between 1905 and 1908. In 1906, universal suffrage was adopted in the Grand Duchy of Finland. However, the relationship between the Grand Duchy and the Russian Empire soured when the Russian government made moves to restrict Finnish autonomy. For example, universal suffrage was, in practice, virtually meaningless, since the tsar did not have to approve any of the laws adopted by the Finnish parliament. The desire for independence gained ground, first among radical liberals[66] and socialists, driven in part by a declaration called the February Manifesto by the last tsar of the Russian Empire, Nicholas II, on 15 February 1899.[67]
Civil war and early independence
After the 1917 February Revolution, the position of Finland as part of the Russian Empire was questioned, mainly by Social Democrats. The Parliament, controlled by social democrats, passed the so-called Power Act to give the highest authority to the Parliament. This was rejected by the Russian Provisional Government which decided to dissolve the Parliament.[68] New elections were conducted, in which right-wing parties won with a slim majority. Some social democrats refused to accept the result and still claimed that the dissolution of the parliament (and thus the ensuing elections) were extralegal. The two nearly equally powerful political blocs, the right-wing parties, and the social-democratic party were highly antagonized.
The
On 27 January 1918 the government's began to disarm the Russian forces in Pohjanmaa. The socialists gained control of southern Finland and Helsinki, but the White government continued in exile from Vaasa.[70][71] This sparked the brief but bitter civil war. The Whites, who were supported by Imperial Germany, prevailed over the Reds,[72] which were guided by Kullervo Manner's desire to make the newly independent country a Finnish Socialist Workers' Republic (also known as "Red Finland") and part of the RSFSR.[73] After the war, tens of thousands of Reds and suspected sympathizers were interned in camps, where thousands were executed or died from malnutrition and disease. Deep social and political enmity was sown between the Reds and Whites and would last until the Winter War and even beyond.[74][75] The civil war and the 1918–1920 activist expeditions called "Kinship Wars" into Soviet Russia strained Eastern relations.[76][77]
in 1938.After
In 1917, the population was three million. Credit-based land reform was enacted after the civil war, increasing the proportion of the capital-owning population.[65] About 70% of workers were occupied in agriculture and 10% in industry.[80]
World War II
The Soviet Union launched the Winter War on 30 November 1939 in an effort to annex Finland.[81] The Finnish Democratic Republic was established by Joseph Stalin at the beginning of the war to govern Finland after Soviet conquest.[82] The Red Army was defeated in numerous battles, notably at the Battle of Suomussalmi. After two months of negligible progress on the battlefield, as well as severe losses of men and materiel, the Soviets put an end to the Finnish Democratic Republic in late January 1940 and recognized the legal Finnish government as the legitimate government of Finland.[83] Soviet forces began to make progress in February and reached Vyborg in March. The fighting came to an end on 13 March 1940 with the signing of the Moscow Peace Treaty. Finland had successfully defended its independence, but ceded 9% of its territory to the Soviet Union.
Hostilities resumed in June 1941 with the Continuation War, when Finland aligned with Germany following the latter's invasion of the Soviet Union; the primary aim was to recapture the territory lost to the Soviets scarcely one year before.[84] Finnish forces occupied East Karelia from 1941 to 1944. Finnish resistance to the Vyborg–Petrozavodsk offensive in the summer of 1944 led to a standstill, and the two sides reached an armistice. This was followed by the Lapland War of 1944–1945, when Finland fought retreating German forces in northern Finland. Famous war heroes of the aforementioned wars include Simo Häyhä,[85][86] Aarne Juutilainen,[87] and Lauri Törni.[88]
Finland rejected Marshall aid, in apparent deference to Soviet desires. However, in the hope of preserving Finland's independence, the United States provided secret development aid and helped the Social Democratic Party.[89]
After the war
was Finland's longest-serving president in 1956–1982.Establishing trade with the Western powers, such as the United Kingdom, and paying reparations to the Soviet Union produced a transformation of Finland from a primarily
In 1950, 46% of Finnish workers worked in agriculture and a third lived in urban areas.[90] The new jobs in manufacturing, services, and trade quickly attracted people to the towns. The average number of births per woman declined from a baby boom peak of 3.5 in 1947 to 1.5 in 1973.[90] When baby boomers entered the workforce, the economy did not generate jobs quickly enough, and hundreds of thousands emigrated to the more industrialized Sweden, with emigration peaking in 1969 and 1970.[90] Finland took part in trade liberalization in the World Bank, the International Monetary Fund, and the General Agreement on Tariffs and Trade.
Officially claiming to be neutral, Finland lay in the grey zone between the Western countries and the Soviet bloc during the Cold War. The military YYA Treaty (Finno-Soviet Pact of Friendship, Cooperation and Mutual Assistance) gave the Soviet Union some leverage in Finnish domestic politics. This was extensively exploited by president Urho Kekkonen against his opponents. He maintained an effective monopoly on Soviet relations from 1956 on, which was crucial for his continued popularity. In politics, there was a tendency to avoid any policies and statements that could be interpreted as anti-Soviet. This phenomenon was given the name "Finlandization" by the West German press.[91]
Finland maintained a market economy. Various industries benefited from trade privileges with the Soviets. Economic growth was rapid in the postwar era, and by 1975 Finland's GDP per capita was the 15th-highest in the world. In the 1970s and 1980s, Finland built one of the most extensive welfare states in the world. Finland negotiated with the European Economic Community (EEC, a predecessor of the European Union) a treaty that mostly abolished customs duties towards the EEC starting from 1977. In 1981, President Urho Kekkonen's failing health forced him to retire after holding office for 25 years.
Miscalculated macroeconomic decisions, a banking crisis, the collapse of its largest trading partner (the Soviet Union), and a global economic downturn caused a deep early 1990s recession in Finland. The depression bottomed out in 1993, and Finland saw steady economic growth for more than ten years.[92] After the collapse of the Soviet Union, Finland began increasing integration with the West.[93] Finland joined the European Union in 1995, and the Eurozone in 1999. Much of the late 1990s economic growth was fueled by the success of the mobile phone manufacturer Nokia.
21st century
at the press conference announcing Finland's intent to apply to NATO on 15 May 2022.The Finnish population elected
Finland's
Geography
in winter timeLying approximately between latitudes 60° and 70° N, and longitudes 20° and 32° E, Finland is one of the world's northernmost countries. Of world capitals, only Reykjavík lies more to the north than Helsinki. The distance from the southernmost point – Hanko in Uusimaa – to the northernmost – Nuorgam in Lapland – is 1,160 kilometres (720 mi).
Finland has about 168,000 lakes (of area larger than 500 m2 or 0.12 acres) and 179,000 islands.[106] Its largest lake, Saimaa, is the fourth largest in Europe. The Finnish Lakeland is the area with the most lakes in the country; many of the major cities in the area, most notably Tampere, Jyväskylä and Kuopio, are located near the large lakes. The greatest concentration of islands is found in the southwest, in the Archipelago Sea between continental Finland and the main island of Åland.
Much of the geography of Finland is a result of the Ice Age. The glaciers were thicker and lasted longer in Fennoscandia compared with the rest of Europe. Their eroding effects have left the Finnish landscape mostly flat with few hills and fewer mountains. Its highest point, the Halti at 1,324 metres (4,344 ft), is found in the extreme north of Lapland at the border between Finland and Norway. The highest mountain whose peak is entirely in Finland is Ridnitšohkka at 1,316 m (4,318 ft), directly adjacent to Halti.
The retreating glaciers have left the land with morainic deposits in formations of eskers. These are ridges of stratified gravel and sand, running northwest to southeast, where the ancient edge of the glacier once lay. Among the biggest of these are the three Salpausselkä ridges that run across southern Finland.
Having been compressed under the enormous weight of the glaciers, terrain in Finland is rising due to the post-glacial rebound. The effect is strongest around the Gulf of Bothnia, where land steadily rises about 1 cm (0.4 in) a year. As a result, the old sea bottom turns little by little into dry land: the surface area of the country is expanding by about 7 square kilometres (2.7 sq mi) annually.[107] Relatively speaking, Finland is rising from the sea.[108]
The landscape is covered mostly by coniferous taiga forests and fens, with little cultivated land. Of the total area, 10% is lakes, rivers, and ponds, and 78% is forest. The forest consists of pine, spruce, birch, and other species.[109] Finland is the largest producer of wood in Europe and among the largest in the world. The most common type of rock is granite. It is a ubiquitous part of the scenery, visible wherever there is no soil cover. Moraine or till is the most common type of soil, covered by a thin layer of humus of biological origin. Podzol profile development is seen in most forest soils except where drainage is poor. Gleysols and peat bogs occupy poorly drained areas.
Biodiversity
in Finland.
Similarly, Finland has a diverse and extensive range of fauna. There are at least sixty native mammalian species, 248 breeding bird species, over 70 fish species, and 11 reptile and frog species present today, many migrating from neighbouring countries thousands of years ago. Large and widely recognized wildlife mammals found in Finland are the
The endangered Saimaa ringed seal, one of only three lake seal species in the world, exists only in the Saimaa lake system of southeastern Finland, down to only 390 seals today.[115][116] The species has become the emblem of the Finnish Association for Nature Conservation.[117]
A third of Finland's land area originally consisted of moorland, about half of this area has been drained for cultivation over the past centuries.[118]
Climate
types of FinlandThe main factor influencing Finland's climate is the country's geographical position between the 60th and 70th northern parallels in the
Winters in southern Finland (when mean daily temperature remains below 0 °C or 32 °F) are usually about 100 days long, and in the inland the snow typically covers the land from about late November to April, and on the coastal areas such as Helsinki, snow often covers the land from late December to late March.[120] Even in the south, the harshest winter nights can see the temperatures fall to −30 °C (−22 °F) although on coastal areas like Helsinki, temperatures below −30 °C (−22 °F) are rare. Climatic summers (when mean daily temperature remains above 10 °C or 50 °F) in southern Finland last from about late May to mid-September, and in the inland, the warmest days of July can reach over 35 °C (95 °F).[119] Although most of Finland lies on the taiga belt, the southernmost coastal regions are sometimes classified as hemiboreal.[121]
In northern Finland, particularly in Lapland, the winters are long and cold, while the summers are relatively warm but short. On the most severe winter days in Lapland can see the temperature fall to −45 °C (−49 °F). The winter of the north lasts for about 200 days with permanent snow cover from about mid-October to early May. Summers in the north are quite short, only two to three months, but can still see maximum daily temperatures above 25 °C (77 °F) during heat waves.
The Finnish climate is suitable for cereal farming only in the southernmost regions, while the northern regions are suitable for animal husbandry.[122]
A quarter of Finland's territory lies within the Arctic Circle and the midnight sun can be experienced for more days the farther north one travels. At Finland's northernmost point, the sun does not set for 73 consecutive days during summer and does not rise at all for 51 days during winter.[119]
Regions
Finland consists of 19 regions (maakunta). The counties are governed by regional councils which serve as forums of cooperation for the municipalities of a county. The main tasks of the counties are regional planning and development of enterprise and education. In addition, the public health services are usually organized based on counties. Regional councils are elected by municipal councils, each municipality sending representatives in proportion to its population. In addition to inter-municipal cooperation, which is the responsibility of regional councils, each county has a state Employment and Economic Development Centre which is responsible for the local administration of labour, agriculture, fisheries, forestry, and entrepreneurial affairs. Historically, counties are divisions of historical provinces of Finland, areas that represent local dialects and culture more accurately.
Six
|
The county of Eastern Uusimaa (Itä-Uusimaa) was consolidated with Uusimaa on 1 January 2011.[125]
Administrative divisions
The fundamental administrative divisions of the country are the municipalities, which may also call themselves towns or cities. They account for half of the public spending. Spending is financed by municipal income tax, state subsidies, and other revenue. As of 2021[update], there are 309 municipalities,[126] and most have fewer than 6,000 residents.
In addition to municipalities, two intermediate levels are defined. Municipalities co-operate in seventy
In the following chart, the number of inhabitants includes those living in the entire municipality (kunta/kommun), not just in the built-up area. The land area is given in km2, and the density in inhabitants per km2 (land area). The figures are as of 31 December 2021. The capital region – comprising Helsinki, Vantaa, Espoo and Kauniainen – forms a continuous conurbation of over 1.1 million people. However, common administration is limited to voluntary cooperation of all municipalities, e.g. in Helsinki Metropolitan Area Council.
| City | Population[127] | Land area[128] | Density | Regional map | Population density map |
|---|---|---|---|---|---|
| Helsinki | 658,864 | 213.75 | 3,082.4 |
counties (thick borders) of Finland (2021) |
|
| Espoo | 297,354 | 312.26 | 952.26 | ||
| Tampere | 244,315 | 525.03 | 465.34 | ||
| Vantaa | 239,216 | 238.37 | 1,003.55 | ||
| Oulu | 209,648 | 1,410.17 | 148.67 | ||
| Turku | 195,301 | 245.67 | 794.97 | ||
| Jyväskylä | 144,477 | 1,170.99 | 123.38 | ||
| Kuopio | 121,557 | 1,597.39 | 76.1 | ||
| Lahti | 120,093 | 459.47 | 261.37 | ||
| Pori | 83,491 | 834.06 | 100.1 | ||
| Kouvola | 80,483 | 2,558.24 | 31.46 | ||
| Joensuu | 77,266 | 2,381.76 | 32.44 | ||
| Lappeenranta | 72,646 | 1,433.36 | 50.68 | ||
| Hämeenlinna | 67,994 | 1,785.76 | 38.08 | ||
| Vaasa | 67,631 | 188.81 | 358.2 |
Government and politics
Constitution
The
President
Finland's
The President is directly elected via runoff voting for a maximum of two consecutive 6-year terms. The current president is Sauli Niinistö; he took office on 1 March 2012. Former presidents were K. J. Ståhlberg (1919–1925), L. K. Relander (1925–1931), P. E. Svinhufvud (1931–1937), Kyösti Kallio (1937–1940), Risto Ryti (1940–1944), C. G. E. Mannerheim (1944–1946), J. K. Paasikivi (1946–1956), Urho Kekkonen (1956–1982), Mauno Koivisto (1982–1994), Martti Ahtisaari (1994–2000), and Tarja Halonen (2000–2012).
Parliament
The 200-member unicameral Parliament of Finland (Finnish: Eduskunta) exercises supreme legislative authority in the country. It may alter the constitution and ordinary laws, dismiss the cabinet, and override presidential vetoes. Its acts are not subject to judicial review; the constitutionality of new laws is assessed by the parliament's constitutional law committee. The parliament is elected for a term of four years using the proportional D'Hondt method within several multi-seat constituencies through the most open list multi-member districts. Various parliament committees listen to experts and prepare legislation.
Since universal suffrage was introduced in 1906, the parliament has been dominated by the Centre Party (former Agrarian Union), the National Coalition Party, and the Social Democrats. These parties have enjoyed approximately equal support. For a few decades after 1944, the Communists were a strong fourth party. Other significant parliamentary parties are Christian Democrats, Finns Party, Green League, Left Alliance and Swedish People's Party.
The
Cabinet
After parliamentary elections, the parties negotiate among themselves on forming a new cabinet (the Finnish Government), which then has to be approved by a simple majority vote in the parliament. The cabinet can be dismissed by a parliamentary vote of no confidence, although this rarely happens (the last time in 1957), as the parties represented in the cabinet usually make up a majority in the parliament.[133][circular reference]
The cabinet exercises most executive powers and originates most of the bills that the parliament then debates and votes on. It is headed by the Prime Minister of Finland, and consists of him or her, other ministers, and the Chancellor of Justice. The current prime minister is Sanna Marin (Social Democratic Party). Each minister heads his or her ministry, or, in some cases, has responsibility for a subset of a ministry's policy. After the prime minister, the most powerful minister is often the minister of finance.
As no one party ever dominates the parliament, Finnish cabinets are multi-party coalitions. As a rule, the post of prime minister goes to the leader of the biggest party and that of the minister of finance to the leader of the second biggest.
Law
The judicial system of Finland is a civil law system divided between courts with regular civil and criminal jurisdiction and administrative courts with jurisdiction over litigation between individuals and the public administration. Finnish law is codified and based on Swedish law and in a wider sense, civil law or Roman law. The court system for civil and criminal jurisdiction consists of local courts, regional appellate courts, and the Supreme Court. The administrative branch of justice consists of administrative courts and the Supreme Administrative Court. In addition to the regular courts, there are a few special courts in certain branches of administration. There is also a High Court of Impeachment for criminal charges against certain high-ranking officeholders.
Around 92% of residents have confidence in Finland's security institutions.
Foreign relations
receiving the Nobel Peace Prize in 2008According to the 2012 constitution, the president (currently Sauli Niinistö) leads foreign policy in cooperation with the government, except that the president has no role in EU affairs.[136] In 2008, president Martti Ahtisaari was awarded the Nobel Peace Prize.[137]
Military
The Finnish Defence Forces consist of a cadre of professional soldiers (mainly officers and technical personnel), currently serving conscripts, and a large reserve. The standard readiness strength is 34,700 people in uniform, of which 25% are professional soldiers. A universal male conscription is in place, under which all male Finnish nationals above 18 years of age serve for 6 to 12 months of armed service or 12 months of civilian (non-armed) service.
Voluntary post-conscription overseas peacekeeping service is popular, and troops serve around the world in UN, NATO, and EU missions. Women are allowed to serve in all combat arms including front-line infantry and special forces. In 2022, 1211 women entered voluntary military service.
NA-110 tracked transport vehicle of the Finnish Army. Most conscripts receive training for warfare in winter, and transport vehicles such as this give mobility in heavy snow.Finnish defence expenditure per capita is one of the highest in the European Union.[142] The branches of the military are the army, the navy, and the air force. The border guard is under the Ministry of the Interior but can be incorporated into the Defence Forces when required for defence readiness.
Finland has joined the NATO Response Force, the EU Battlegroup,[143] the NATO Partnership for Peace and in 2014 signed a NATO memorandum of understanding.[144][145] In 2015, the Finland-NATO ties were strengthened with a host nation support agreement allowing assistance from NATO troops in emergency situations.[146] Finland has been an active participant in the Afghanistan and Kosovo wars.[147][148]
Social security
Finland has one of the world's most extensive welfare systems, one that guarantees decent living conditions for all residents. The Welfare system was created almost entirely during the first three decades after World War II. Finland's history has been harsher than the histories of the other Nordic countries, but not harsh enough to bar the country from following its path of social development.[149]
Human rights
started.§ 6 in two sentences of the
Finland has been ranked above average among the world's countries in
Economy
As of 2022, the GDP per capita of Finland is the sixteenth-highest in the world.
In addition to the fact that Finland is one of the richest countries in the world, it is known for its well-developed welfare system, such as free education, and advanced health care system.
The largest sector of the economy is the
Finland has significant timber, mineral (iron, chromium, copper, nickel, and gold), and freshwater resources. Forestry, paper factories, and the agricultural sector are important for rural residents. The Greater Helsinki area generates around one-third of Finland's GDP. Private services are the largest employer in Finland.
Finland's climate and soils make growing crops a particular challenge. The country has severe winters and relatively short growing seasons that are sometimes interrupted by frost. However, because the Gulf Stream and the North Atlantic Drift Current moderate the climate, Finland contains half of the world's arable land north of 60° north latitude. Annual precipitation is usually sufficient, but it occurs almost exclusively during the winter months, making summer droughts a constant threat. In response to the climate, farmers have relied on quick-ripening and frost-resistant varieties of crops, and they have cultivated south-facing slopes as well as richer bottomlands to ensure production even in years with summer frosts. Drainage systems are often needed to remove excess water. Finland's agriculture has been efficient and productive—at least when compared with farming in other European countries.[149]
Forests play a key role in the country's economy, making it one of the world's leading wood producers and providing raw materials at competitive prices for the crucial wood processing industries. As in agriculture, the government has long played a leading role in forestry, regulating tree cutting, sponsoring technical improvements, and establishing long-term plans to ensure that the country's forests continue to supply the wood-processing industries.[149]
As of 2008[update], average purchasing power-adjusted income levels are similar to those of Italy, Sweden, Germany, and France.
As of 2006[update], 2.4 million households reside in Finland. The average size is 2.1 persons; 40% of households consist of a single person, 32% two persons and 28% three or more persons. Residential buildings total 1.2 million, and the average residential space is 38 square metres (410 sq ft) per person. The average residential property without land costs €1,187 per sq metre and residential land €8.60 per sq metre. 74% of households had a car.[166] In 2017, Finland's GDP reached €224 billion.[167]
Finland has the highest concentration of cooperatives relative to its population.[168] The largest retailer, which is also the largest private employer, S-Group, and the largest bank, OP-Group, in the country are both cooperatives.
Energy
 | This article needs to be updated. (January 2022) |
The free and largely privately owned financial and physical
In 2006, the energy market was around 90 terawatt hours and the peak demand around 15
Finland has four privately owned nuclear reactors producing 18% of the country's energy.
Transport
Finland's road system is utilized by most internal cargo and passenger traffic. The annual state operated road network expenditure of around €1 billion is paid for with vehicle and fuel taxes which amount to around €1.5 billion and €1 billion, respectively. Among the
The main international passenger gateway is Helsinki Airport, which handled about 21 million passengers in 2019 (5 million in 2020 due to COVID-19 pandemic). Oulu Airport is the second largest with 1 million passengers in 2019 (300,000 in 2020), whilst another 25 airports have scheduled passenger services.[180] The Helsinki Airport-based Finnair, Blue1, and Nordic Regional Airlines, Norwegian Air Shuttle sell air services both domestically and internationally.
The Government annually spends around €350 million to maintain the 5,865-kilometre-long (3,644 mi) network of railway tracks. Rail transport is handled by the state-owned VR Group.[181] Finland's first railway was opened in 1862,[182][183] and today it forms part of the Finnish Main Line, which is more than 800 kilometers long. Helsinki opened the world's northernmost metro system in 1982.
The majority of international cargo shipments are handled at ports. Vuosaari Harbour in Helsinki is the largest container port in Finland; others include Kotka, Hamina, Hanko, Pori, Rauma, and Oulu. There is passenger traffic from Helsinki and Turku, which have ferry connections to Tallinn, Mariehamn, Stockholm and Travemünde. The Helsinki-Tallinn route is one of the busiest passenger sea routes in the world.[184] By passenger counts, the Port of Helsinki is the third busiest port in the world.[185]
Industry
.Finland rapidly industrialized after World War II, achieving GDP per capita levels comparable to that of Japan or the UK at the beginning of the 1970s. Initially, most of the economic development was based on two broad groups of export-led industries, the "metal industry" (metalliteollisuus) and "forest industry" (metsäteollisuus). The "metal industry" includes shipbuilding, metalworking, the automotive industry, engineered products such as motors and electronics, and production of metals and alloys including steel, copper and chromium. Many of the world's biggest cruise ships, including MS Freedom of the Seas and the Oasis of the Seas have been built in Finnish shipyards.[186] [187] The "forest industry" includes forestry, timber, pulp and paper, and is often considered a logical development based on Finland's extensive forest resources, as 73% of the area is covered by forest. In the pulp and paper industry, many major companies are based in Finland; Ahlstrom-Munksjö, Metsä Board, and UPM are all Finnish forest-based companies with revenues exceeding €1 billion. However, in recent decades, the Finnish economy has diversified, with companies expanding into fields such as electronics (Nokia), metrology (Vaisala), petroleum (Neste), and video games (Rovio Entertainment), and is no longer dominated by the two sectors of metal and forest industry. Likewise, the structure has changed, with the service sector growing. Despite this, production for export is still more prominent than in Western Europe, thus making Finland possibly more vulnerable to global economic trends.
In 2017, the Finnish economy was estimated to consist of approximately 2.7% agriculture, 28.2% manufacturing, and 69.1% services.[188] In 2019, the per-capita income of Finland was estimated to be $48,869. In 2020, Finland was ranked 20th on the ease of doing business index, among 190 jurisdictions.
Public policy
Finnish politicians have often emulated the Nordic model.
The legal system is clear and business bureaucracy less than most countries.[190] Property rights are well protected and contractual agreements are strictly honoured.[190] Finland is rated the least corrupt country in the world in the Corruption Perceptions Index[193] and 13th in the Ease of doing business index.[194]
In Finland,
Geographic data related to 
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