Finland's agriculture was based on privately owned
family
farms. This was especially the case after 1922, when the
republic, anxious to reduce rural discontent, implemented
the
first of a series of land reforms that redistributed land
to
tenants and to landless farm workers
(see The Establishment of Finnish Democracy
, ch. 1;
Domestic Developments and Foreign Politics, 1948-66
, ch. 1). After World War II, the
government
resettled some 40,000 farm families displaced from areas
occupied
by the Soviet Union. The postwar resettlement program also
transferred land to farms considered too small for
efficient
operations, many of which had been set up in the interwar
period.
As a result of the resettlement program, Finland was
one of
the few industrialized countries in which the number of
farms
increased after 1945; by 1950 there were about 260,000
farms. The
number of farms started to decline in the 1960s, however,
falling
to about 200,000 by 1981. The decrease in the number of
farms
caused an increase in average farm size, but large farms
still
remained rare. Thus, in the mid-1980s, about 60 percent of
farms
covered less than ten hectares, 25 percent included
between ten
and twenty hectares, and only 15 percent occupied more
than
twenty hectares. At that time, both large and small farms
were
disappearing, leaving an increasing number of farms that
were
between ten and twenty hectares. Observers predicted that
this
trend was likely to continue.
In the late 1980s, the average farm comprised twelve
hectares
of arable land and thirty-five hectares of forest. The
relative
proportions of field holdings to forest holdings varied
from
region to region; in the south, farmers tended to own more
arable
land but less forest, while in the north, the reverse was
true.
Farm families formed the basic production unit. Family
members
provided about 95 percent of farm labor; wage earners
supplied
the remainder. Most farms specialized in one or two
activities,
such as hog production, dairy farming, or grain
cultivation.
Although in the early postwar years most farms produced
some
milk, by the early 1980s only one out of three farms did
so, and
about half of all farms had no farm animals. This tendency
toward
specialization increased the efficiency of Finland's
relatively
small production units.
Farm incomes lagged behind those of the total
population. For
example, according to a 1984 study, the average income of
fulltime farmers totaled only 70 percent of that of industrial
workers. Nevertheless, income disparities between
agriculture and
other sectors were probably less severe than these figures
indicate because many farm families supplemented their
incomes
with earnings from forestry and other occupations. In the
mid1980s , only 62 percent of farmers' incomes came from
agriculture,
while another 26 percent was derived from wages and 12
percent
was earned from forestry.
Farmers had a strong tradition of practical and
political
cooperation. In the late 1980s, some 90 percent of Finnish
farmers belonged to agricultural unions, which were
divided
between those for Finnish speakers and those for Swedish
speakers. More than 330,000 union members belonged to 430
Finnish-language locals or to 80 Swedish-language locals.
Founded
in 1917, the Confederation of Agricultural Producers
(Maataloustuottajain Keskusliitto--MTK) served as an
umbrella
organization for agricultural unions, and it represented
farmers
in agricultural price negotiations with the government and
with
other producer groups.
In addition to joining unions that helped influence
farm
policy, farmers had established cooperative associations
that
provided farm supplies, shared marketing expenses, and
arranged
farm financing. The umbrella organization of farm
cooperatives
was the Pellervo Society, which had more than a million
members.
Each branch of agriculture organized its own cooperatives
to
handle sales of farm products and purchases of supplies.
Cooperative banks provided about half of all money used to
finance farming, and cooperative insurance associations
handled
farm and crop insurance.
|
Background | | 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.
|
|
Location | | Northern Europe, bordering the Baltic Sea, Gulf of Bothnia, and Gulf of Finland, between Sweden and Russia
|
|
Area(sq km) | | total: 338,145 sq km land: 303,815 sq km water: 34,330 sq km
|
|
Geographic coordinates | | 64 00 N, 26 00 E
|
|
Land boundaries(km) | | total: 2,654 km border countries: Norway 727 km, Sweden 614 km, Russia 1,313 km
|
|
Coastline(km) | | 1,250 km
|
|
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
|
|
Elevation extremes(m) | | lowest point: Baltic Sea 0 m highest point: Haltiatunturi 1,328 m
|
|
Natural resources | | timber, iron ore, copper, lead, zinc, chromite, nickel, gold, silver, limestone
|
|
Land use(%) | | arable land: 6.54% permanent crops: 0.02% other: 93.44% (2005)
|
|
Irrigated land(sq km) | | 640 sq km (2003)
|
|
Total renewable water resources(cu km) | | 110 cu km (2005)
|
|
Freshwater withdrawal (domestic/industrial/agricultural) | | total: 2.33 cu km/yr (14%/84%/3%) per capita: 444 cu m/yr (1999)
|
|
Natural hazards | | NA
|
|
Environment - current issues | | air pollution from manufacturing and power plants contributing to acid rain; water pollution from industrial wastes, agricultural chemicals; habitat loss threatens wildlife populations
|
|
Environment - 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 signed, but not ratified: none of the selected agreements
|
|
Geography - note | | long boundary with Russia; Helsinki is northernmost national capital on European continent; population concentrated on small southwestern coastal plain
|
|
Population | | 5,250,275 (July 2009 est.)
|
|
Age structure(%) | | 0-14 years: 16.4% (male 438,425/female 422,777) 15-64 years: 66.8% (male 1,773,495/female 1,732,792) 65 years and over: 16.8% (male 357,811/female 524,975) (2009 est.)
|
|
Median age(years) | | total: 42.1 years male: 40.5 years female: 43.7 years (2009 est.)
|
|
Population growth rate(%) | | 0.098% (2009 est.)
|
|
Birth rate(births/1,000 population) | | 10.38 births/1,000 population (2009 est.)
|
|
Death rate(deaths/1,000 population) | | 10.07 deaths/1,000 population (July 2009 est.)
|
|
Net migration rate(migrant(s)/1,000 population) | | 0.68 migrant(s)/1,000 population (2009 est.)
|
|
Urbanization(%) | | urban population: 63% of total population (2008) rate of urbanization: 0.8% annual rate of change (2005-10 est.)
|
|
Sex ratio(male(s)/female) | | at birth: 1.04 male(s)/female under 15 years: 1.04 male(s)/female 15-64 years: 1.02 male(s)/female 65 years and over: 0.68 male(s)/female total population: 0.96 male(s)/female (2009 est.)
|
|
Infant mortality rate(deaths/1,000 live births) | | total: 3.47 deaths/1,000 live births male: 3.78 deaths/1,000 live births female: 3.15 deaths/1,000 live births (2009 est.)
|
|
Life expectancy at birth(years) | | total population: 78.97 years male: 75.48 years female: 82.61 years (2009 est.)
|
|
Total fertility rate(children born/woman) | | 1.73 children born/woman (2009 est.)
|
|
Nationality | | noun: Finn(s) adjective: Finnish
|
|
Ethnic groups(%) | | Finn 93.4%, Swede 5.6%, Russian 0.5%, Estonian 0.3%, Roma (Gypsy) 0.1%, Sami 0.1% (2006)
|
|
Religions(%) | | Lutheran Church of Finland 82.5%, Orthodox Church 1.1%, other Christian 1.1%, other 0.1%, none 15.1% (2006)
|
|
Languages(%) | | Finnish 91.2% (official), Swedish 5.5% (official), other 3.3% (small Sami- and Russian-speaking minorities) (2007)
|
|
Country name | | conventional long form: Republic of Finland conventional short form: Finland local long form: Suomen tasavalta/Republiken Finland local short form: Suomi/Finland
|
|
Government type | | republic
|
|
Capital | | name: Helsinki geographic coordinates: 60 10 N, 24 56 E time difference: UTC+2 (7 hours ahead of Washington, DC during Standard Time) daylight saving time: +1hr, begins last Sunday in March; ends last Sunday in October
|
|
Administrative 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
|
|
Constitution | | 1-Mar-00
|
|
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
|
|
Suffrage | | 18 years of age; universal
|
|
Executive branch | | chief of state: President Tarja HALONEN (since 1 March 2000) 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)
|
|
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, MINURCAT, 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
|
|
Economy - 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.
|
|
GDP (purchasing power parity) | | $194 billion (2008 est.) $192.4 billion (2007 est.) $184.8 billion (2006 est.) note: data are in 2008 US dollars
|
|
GDP (official exchange rate) | | $271.9 billion (2008 est.)
|
|
GDP - real growth rate(%) | | 0.8% (2008 est.) 4.1% (2007 est.) 4.9% (2006 est.)
|
|
GDP - per capita (PPP) | | $37,000 (2008 est.) $36,700 (2007 est.) $35,300 (2006 est.) note: data are in 2008 US dollars
|
|
GDP - composition by sector(%) | | agriculture: 2.8% industry: 32.4% services: 64.9% (2008 est.)
|
|
Labor force | | 2.703 million (2008 est.)
|
|
Labor force - by occupation(%) | | agriculture and forestry 4.5%, industry 18.3%, construction 7.3%, commerce 16%, finance, insurance, and business services 14.5%, transport and communications 7%, public services 32.4% (2008)
|
|
Unemployment rate(%) | | 6.4% (2008 est.) 6.9% (2007 est.)
|
|
Population below poverty line(%) | | NA%
|
|
Household income or consumption by percentage share(%) | | lowest 10%: 3.6% highest 10%: 24.7% (2007)
|
|
Distribution of family income - Gini index | | 29.5 (2007) 25.6 (1991)
|
|
Investment (gross fixed)(% of GDP) | | 20.6% of GDP (2008 est.)
|
|
Budget | | revenues: $143.8 billion expenditures: $132.3 billion (2008 est.)
|
|
Inflation rate (consumer prices)(%) | | 4.1% (2008 est.) 2.5% (2007 est.)
|
|
Stock of money | | $NA (31December 2008) $NA (31 December 2007) note: see entry for the European Union for money supply in the euro area; the European Central Bank (ECB) controls monetary policy for the 16 members of the Economic and Monetary Union (EMU); individual members of the EMU do not control the quantity of money and quasi money circulating within their own borders
|
|
Stock of quasi money | | $NA (31 December 2008) $NA (31 December 2007)
|
|
Stock of domestic credit | | $241.1 billion (31 December 2008) $225.4 billion (31 December 2007)
|
|
Market value of publicly traded shares | | $NA (31 December 2008) $369.2 billion (31 December 2007) $265.5 billion (31 December 2006)
|
|
Public debt(% of GDP) | | 33.7% of GDP (2008 est.) 46.8% of GDP (2004 est.)
|
|
Agriculture - products | | barley, wheat, sugar beets, potatoes; dairy cattle; fish
|
|
Industries | | metals and metal products, electronics, machinery and scientific instruments, shipbuilding, pulp and paper, foodstuffs, chemicals, textiles, clothing
|
|
Industrial production growth rate(%) | | 0.4% (2008 est.)
|
|
Current account balance | | $5.518 billion (2008 est.) $10.12 billion (2007 est.)
|
|
Exports | | $96.62 billion (2008 est.) $90.2 billion (2007 est.)
|
|
Exports - commodities(%) | | electrical and optical equipment, machinery, transport equipment, paper and pulp, chemicals, basic metals; timber
|
|
Exports - partners(%) | | Russia 11.6%, Sweden 10%, Germany 10%, US 6.4%, UK 5.5%, Netherlands 5.1% (2008)
|
|
Imports | | $87.51 billion (2008 est.) $78.22 billion (2007 est.)
|
|
Imports - commodities(%) | | foodstuffs, petroleum and petroleum products, chemicals, transport equipment, iron and steel, machinery, textile yarn and fabrics, grains
|
|
Imports - partners(%) | | Russia 16.3%, Germany 15.7%, Sweden 13.6%, Netherlands 6.3%, China 5.1%, UK 4.2% (2008)
|
|
Reserves of foreign exchange and gold | | $8.346 billion (31 December 2008 est.) $8.385 billion (31 December 2007 est.)
|
|
Debt - external | | $339.5 billion (31 December 2008) $314.1 billion (31 December 2007)
|
|
Stock of direct foreign investment - at home | | $84.44 billion (31 December 2008 est.) $88.69 billion (31 December 2007 est.)
|
|
Stock of direct foreign investment - abroad | | $116 billion (31 December 2008 est.) $114.2 billion (31 December 2007 est.)
|
|
Exchange rates | | euros (EUR) per US dollar - 0.6827 (2008 est.), 0.7345 (2007), 0.7964 (2006), 0.8041 (2005), 0.8054 (2004)
|
|
Currency (code) | | euro (EUR)
|
|
Telephones - main lines in use | | 1.65 million (2008)
|
|
Telephones - mobile cellular | | 6.83 million (2008)
|
|
Telephone system | | general 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)
|
|
Internet country code | | .fi; note - Aland Islands assigned .ax
|
|
Internet users | | 4.383 million (2008)
|
|
Airports | | 148 (2009)
|
|
Pipelines(km) | | gas 694 km (2008)
|
|
Roadways(km) | | total: 78,141 km paved: 50,914 km (includes 700 km of expressways) unpaved: 27,227 km (2009)
|
|
Ports and terminals | | Hamina, Helsinki, Kokkola, Kotka, Naantali, Pori, Raahe, Rauma, Turku
|
|
Military branches | | Finnish Defense Forces (FDF): Army, Navy (includes Coastal Defense Forces), Air Force (Suomen Ilmavoimat) (2007)
|
|
Military service age and obligation(years of age) | | 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)
|
|
Manpower available for military service | | males age 16-49: 1,169,910 females age 16-49: 1,121,187 (2008 est.)
|
|
Manpower fit for military service | | males age 16-49: 962,479 females age 16-49: 920,297 (2009 est.)
|
|
Manpower reaching militarily significant age annually | | male: 33,784 female: 32,621 (2009 est.)
|
|
Military expenditures(% of GDP) | | 2% of GDP (2005 est.)
|
|
Disputes - 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
|
|
Electricity - production(kWh) | | 77.24 billion kWh (2007 est.)
|
|
Electricity - production by source(%) | | fossil fuel: 39% hydro: 18.7% nuclear: 30.4% other: 11.8% (2001)
|
|
Electricity - consumption(kWh) | | 86.9 billion kWh (2008)
|
|
Electricity - exports(kWh) | | 3.335 billion kWh (2008 est.)
|
|
Electricity - imports(kWh) | | 16.11 billion kWh (2008 est.)
|
|
Oil - production(bbl/day) | | 9,789 bbl/day (2008 est.)
|
|
Oil - consumption(bbl/day) | | 215,600 bbl/day (2008 est.)
|
|
Oil - exports(bbl/day) | | 133,000 bbl/day (2008 est.)
|
|
Oil - imports(bbl/day) | | 347,400 bbl/day (2008 est.)
|
|
Economic aid - donor | | ODA, $1.023 billion (2007)
|
|
Oil - proved reserves(bbl) | | 0 bbl
|
|
Natural gas - production(cu m) | | 0 cu m (2008 est.)
|
|
Natural gas - consumption(cu m) | | 4.735 billion cu m (2008 est.)
|
|
Natural gas - exports(cu m) | | 0 cu m (2008)
|
|
Natural gas - proved reserves(cu m) | | 0 cu m (1 January 2009 est.)
|
|
HIV/AIDS - adult prevalence rate(%) | | less than 0.1% (2007 est.)
|
|
HIV/AIDS - people living with HIV/AIDS | | 2,400 (2007 est.)
|
|
HIV/AIDS - deaths | | fewer than 100 (2003 est.)
|
|
Literacy(%) | | definition: age 15 and over can read and write total population: 100% male: 100% female: 100% (2000 est.)
|
|
School life expectancy (primary to tertiary education)(years) | | total: 17 years male: 17 years female: 18 years (2006)
|
|
Education expenditures(% of GDP) | | 6.4% of GDP (2005)
|