top of pageBackground: Finland was a province and then a grand duchy under Sweden from the 12th to the 19th centuries and an autonomous grand duchy of Russia after 1809. It won its complete independence in 1917. During World War II it was able to successfully defend its freedom and resist invasions by the Soviet Union - albeit with some loss of territory. In the subsequent half century the Finns made a remarkable transformation from a farm/forest economy to a diversified modern industrial economy; per capita income is now among the highest in Western Europe. A member of the European Union since 1995 Finland was the only Nordic state to join the euro system at its initiation in January 1999.
Climate: cold temperate; potentially subarctic but comparatively mild because of moderating influence of the North Atlantic Current Baltic Sea and more than 60,000 lakes
Terrain: mostly low flat to rolling plains interspersed with lakes and low hills
Natural resources: timber iron ore copper lead zinc chromite nickel gold silver limestone
GeographyNote: long boundary with Russia; Helsinki is northernmost national capital on European continent; population concentrated on small southwestern coastal plain
top of pageEthnic groups: Finn 93.4% Swede 5.6% Russian 0.5% Estonian 0.3% Roma (Gypsy) 0.1% Sami 0.1% (2006)
Languages: Finnish 91.2% (official) Swedish 5.5% (official) other 3.3% (small Sami- and Russian-speaking minorities) (2007)
Religions: Lutheran Church of Finland 82.5% Orthodox Church 1.1% other Christian 1.1% other 0.1% none 15.1% (2006)
EnvironmentCurrent issues: air pollution from manufacturing and power plants contributing to acid rain; water pollution from industrial wastes agricultural chemicals; habitat loss threatens wildlife populations
International agreements party to: Air Pollution Air Pollution-Nitrogen Oxides Air Pollution-Persistent Organic Pollutants Air Pollution-Sulfur 85 Air Pollution-Sulfur 94 Air Pollution-Volatile Organic Compounds Antarctic-Environmental Protocol Antarctic-Marine Living Resources Antarctic Treaty Biodiversity Climate Change Climate Change-Kyoto Protocol Desertification Endangered Species Environmental Modification Hazardous Wastes Law of the Sea Marine Dumping Marine Life Conservation Ozone Layer Protection Ship Pollution Tropical Timber 83 Tropical Timber 94 Wetlands Whaling
International agreements signed but not ratified: none of the selected agreements
top of pageAdministrative divisions: 6 provinces (laanit singular - laani); Ahvenanmaan Laani (Aland) Etela-Suomen Laani (Southern Finland) Ita-Suomen Laani (Eastern Finland) Lansi-Suomen Laani (Western Finland) Lapin Laani (Lapland) Oulun Laani
Legal system: civil law system based on Swedish law; the president may request the Supreme Court to review laws; accepts compulsory ICJ jurisdiction with reservations
Executive branchChief of state: President Tarja HALONEN
Head of government: Prime Minister Matti VANHANEN (since 24 June 2003); Deputy Prime Minister Jyrki KATAINEN (since 19 April 2007)
Cabinet: Council of State or Valtioneuvosto appointed by the president responsible to parliament
Elections: president elected by popular vote for a six-year term (eligible for a second term); election last held 15 January 2006 (next to be held in January 2012); the president appoints the prime minister and deputy prime minister from the majority party or the majority coalition after parliamentary elections and the parliament must approve the appointment; Prime Minister VANHANEN reelected 17 April 2007
Election results: percent of vote - Tarja HALONEN (SDP) 46.3% Sauli NIINISTO (Kok) 24.1% Matti VANHANEN (Kesk) 18.6% Heidi HAUTALA (VIHR) 3.5%; a runoff election between HALONEN and NIINISTO was held 29 January 2006 - HALONEN 51.8% NIINISTO 48.2%; Matti VANHANEN reelected prime minister; election results 121-71
Note: government coalition - Kesk KOK VIHR and SFP
Legislative branch: unicameral Parliament or Eduskunta (200 seats; members are elected by popular vote on a proportional basis to serve four-year terms)
Elections: last held 18 March 2007 (next to be held March 2011)
Election results: percent of vote by party - Kesk 23.1% Kok 22.3% SDP 21.4% VAS 8.8% VIHR 8.5% KD 4.9% SFP 4.5% True Finns 4.1% other 3.4%; seats by party - Kesk 51 Kok 50 SDP 45 VAS 17 VIHR 15 SFP 9 KD 7 True Finns 5 other 1
Judicial branch: Supreme Court or Korkein Oikeus (judges appointed by the president)
Political parties and leaders: Center Party or Kesk [Matti VANHANEN]; Christian Democrats or KD [Paivi RASANEN]; Green Party or VIHR [Tarja CRONBERG]; Left Alliance or VAS [Martti KORHONEN] (composed of People's Democratic League and Democratic Alternative); National Coalition Party (conservative) or Kok [Jyrki KATAINEN]; Social Democratic Party or SDP [Jutta URPILAINEN]; Swedish People's Party or SFP [Stefan WALLIN]; True Finns [Timo SOINI]
International organization participation: ADB (nonregional member) AfDB (nonregional member) Arctic Council Australia Group BIS CBSS CE CERN EAPC EBRD EIB EMU ESA EU FAO G-9 IADB IAEA IBRD ICAO ICC ICCt ICRM IDA IEA IFAD IFC IFRCS IHO ILO IMF IMO IMSO Interpol IOC IOM IPU ISO ITSO ITU ITUC MIGA NAM (guest) NC NEA NIB NSG OAS (observer) OECD OPCW OSCE Paris Club PCA PFP Schengen Convention UN UNCTAD UNESCO UNHCR UNIDO UNMIL UNMIS UNMOGIP UNTSO UPU WCO WEU (observer) WFTU WHO WIPO WMO WTO ZC
Flag description: white with a blue cross extending to the edges of the flag; the vertical part of the cross is shifted to the hoist side in the style of the Dannebrog (Danish flag); the blue represents the thousands of lakes scattered across the country while the white is for the snow that covers the land in winter
top of pageEconomy overview: Finland has a highly industrialized largely free-market economy with per capita output roughly that of the UK France Germany and Italy. Its key economic sector is manufacturing - principally the wood metals engineering telecommunications and electronics industries. Trade is important; Finland's ratio of exports to GDP has risen from a quarter to 37% over the past 15 years. Finland excels in high-tech exports such as mobile phones. Except for timber and several minerals Finland depends on imports of raw materials energy and some components for manufactured goods. Because of the climate agricultural development is limited to maintaining self-sufficiency in basic products. Forestry an important export earner provides a secondary occupation for the rural population. Although Finland has been one of the best performing economies within the EU in recent years and its banks and financial markets have avoided the worst of global financial crisis the world slowdown has hit export growth and domestic demand and will serve as a brake on economic growth in 2009 and 2010. The slowdown of construction other investment and exports will cause unemployment to rise. During 2009 unemployment will climb to over 8% of the labor force. Long-term challenges include the need to address a rapidly aging population and decreasing productivity that threaten competitiveness fiscal sustainability and economic growth.
Industries: metals and metal products electronics machinery and scientific instruments shipbuilding pulp and paper foodstuffs chemicals textiles clothing
Central bank discount rate: 5% (31 December 2007)
Rank: 95
Note: this is the European Central Bank's rate on the marginal lending facility which offers overnight credit to banks in the euro area
Exports: $90.2 billion (2007 est.)
Rank: 38
Commodities: electrical and optical equipment machinery transport equipment paper and pulp chemicals basic metals; timber
Partners: Russia 11.6% Sweden 10% Germany 10% US 6.4% UK 5.5% Netherlands 5.1% (2008)
Imports: $78.22 billion (2007 est.)
Rank: 38
Commodities: foodstuffs petroleum and petroleum products chemicals transport equipment iron and steel machinery textile yarn and fabrics grains
Partners: Russia 16.3% Germany 15.7% Sweden 13.6% Netherlands 6.3% China 5.1% UK 4.2% (2008)
Exchange rates: euros (EUR) per US dollar - 0.6827 (2008 est.) 0.7345 (2007) 0.7964 (2006) 0.8041 (2005) 0.8054 (2004)
top of pagetop of pageTelephone systemGeneral assessment: modern system with excellent service
Domestic: digital fiber-optic fixed-line network and an extensive cellular network provide domestic needs
International: country code - 358; submarine cables provide links to Estonia and Sweden; satellite earth stations - access to Intelsat transmission service via a Swedish satellite earth station 1 Inmarsat (Atlantic and Indian Ocean regions); note - Finland shares the Inmarsat earth station with the other Nordic countries (Denmark Iceland Norway and Sweden)
top of pageMilitary service age and obligation: 18 years of age for male voluntary and compulsory - and female voluntary - national military and nonmilitary service; service obligation 6-12 months; mandatory retirement at age 60 (2008)
top of pageWaterways: 7,842 km
Rank: 18
Note: includes Saimaa Canal system of 3,577 km; southern part leased from Russia (2008)
Merchant marineTotal: 98
Rank: 51
By type: bulk carrier 3 cargo 28 carrier 1 chemical tanker 6 container 3 passenger 5 passenger/cargo 18 petroleum tanker 5 roll on/roll off 27 vehicle carrier 2
Foreign owned: 8 (Estonia 2 Germany 1 Norway 3 Sweden 2)
Registered in other countries: 47 (Bahamas 9 Germany 4 Gibraltar 3 Netherlands 14 Norway 1 Panama 2 Saint Kitts and Nevis 1 Sweden 12 UK 1) (2008)
Finland - Transnational issues 2009
top of pageDisputes international: various groups in Finland advocate restoration of Karelia and other areas ceded to the Soviet Union but the Finnish Government asserts no territorial demands
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