Finland, named the happiest country in the world for the seventh consecutive time, is taking the threat from the east seriously, earning it the title of “the most prepared nation” from The New York Times.
Despite its challenging geopolitical position – sharing a 1.300-kilometer border with Russia – Finland has already taken a significant step by becoming a NATO member.
Helsinki isn’t waiting for problems to escalate; it is actively preparing for the worst-case scenario. This once-neutral country since World War II joined the strongest military alliance in April 2023 and has now begun intensive preparation of its citizens and military in case of a Russian invasion.
A threat in the air
“However, the looming threat is not necessarily good for its economy,” notes Elisabeth Braw, a fellow at the Atlantic Council, a Washington-based international organization addressing global challenges.
Finland will need to work even harder to maintain investor interest and avoid the economic harm that negative publicity about geopolitical threats is already causing.
This is the primary challenge for the Scandinavian country. What will happen remains uncertain, but Finland is setting an example of how smart, thoughtful nations act in times of geopolitical crisis. Braw emphasizes that Finland must openly discuss the threats it faces, warn the world of potential turmoil, and continue its extensive preparations for the worst-case scenario, which it has largely already done.
In Finland, military service is mandatory for men, and the country currently has 280.000 soldiers and 900.000 trained reservists, a significant number for a population of just 5.6 million.
Military bases and strategic facilities are often located deep underground, spread out like Swiss cheese, with a complex network of tunnels beneath Helsinki. The National Emergency Supply Agency has ensured strategic reserves of key resources, including grain and fuel, capable of meeting the country’s needs for six months.
But all this caused fear among investors, and Helsinki is seeking ways to make its economy as resilient as its population and military. A potential model is Sweden during the Cold War, which included the entire nation – economic sector included – in its “war readiness.”
Key companies
Close to 11.000 “key” companies had special arrangements with the government, enabling them to continue operations even in the event of an invasion. The message was clear: a strong military is essential, but society and the economy must keep functioning regardless of circumstances.
“It was a powerful message, and it worked. Sweden’s economy, despite the Russian threat, continued to function and even grow,” Braw emphasized.
This is the path Finland now must follow. “Every Western country needs to assure investors that they can carry on, even if Russia or another country attempts to cause harm,” the analysis concludes.
Photo: Club Mahindra
