Breadlines became a familiar phenomenon in Finland since the recession years of the early 1990s. It’s looming again. In 2023, GDP declined 0.5% and Finland’s central bank says while inflation is easing and households’ purchasing power rising, GDP could contract by a further 0.2% in 2024.
On the same Wednesday morning, the UN-sponsored World Happiness Report (WHR) declared Finland as the happiest country in the world for the 7th year running. As in the past, other Nordic countries, Denmark, Iceland, and Sweden were cheek by jowl to Finland.
Seven years of being ‘the happiest’ is probably exhausting – media coverage of WHR was bereft of any hyperbole or exuberance. The largest newspaper, Helsingin Sanomat, ran a terse report with a photo that showed Finnish kids playing ice hockey. And, in a post on X, Finland’s newly-elected president Alexander Stubb listed his three reasons why Finland is #1: nature, trust, education. To which, one comment said, ‘Please tell that to Aki Kaurismaki, he doesn’t seem to know that!’ Kaurismaki, of course, is Finland’s best-known director whose films are known for their melancholic themes.
Finnish media gave short shrift to the ranking because there are other matters of concern. Ongoing strikes by labour unions have disrupted life across the country. They are protesting Finland’s right-wing government’s proposed labour reforms, which they believe would undermine workers’ rights and degrade working conditions. The government, which is battling high public debt, is also slashing unemployment subsidies and housing assistance.
This year’s WHR asks people from 143 countries to rate their lives from 0 to 10. It also considers six other parameters: social support (welfare and benefits), income, health, freedom, generosity, and low corruption. Finland and the other Nordic countries fare very well on all of those. Finns, especially, accord much value to nature and that lakes, forests, and clean air and water enrich quality of their lives.Yet, you’ll hear chortles and snorts when you ask Finns about their happiness ranking. Disbelief is another reaction. ‘To many of us, it seems like fake news,’ guffaws Teemu Aman, 45, a dental technician. Aman thinks the survey doesn’t consider more complex factors that have an impact on life like mental health. He points to Finland’s high rates of depression and loneliness because of highly fragmented families.Finland has low marriage and high divorce rates. An estimated 1.5 mn people live alone. ‘Factors like loneliness are not reflected in the happiness study,’ says Aman. Adds Kira Selin, 59, a healthcare entrepreneur, ‘Abundance of nature, safety, quality of education and social welfare contribute to a happy life. But are Finns emotionally happy? Perhaps not.’
This year’s happiness report notes that in Finland (as in many other countries), older people appear happier than the young. Under-30 respondents rank Finland 7th, not 1st. Many young Finns feel their lives are getting harder. Quality of education in Finland is still among the world’s best, and individuals enjoy more freedom of choice. But things are changing. Says Lotta Nari, 25, Helsinki University student, ‘The world we face is more uncertain and less hopeful than the previous generation. There is far greater competition and pressure.’
Last week, the media’s focus was not on happiness but something not unrelated to it. Finland’s fertility rate has dropped to a historic low of 1.25. If it isn’t at least 2.1, in the next 90 years, number of native Finns could drop to below 1 mn. Also, Finland is an ageing nation. In 2023, people aged 65-plus were 23.6 % of the population. In 2035, it could become 28%.
These trends turn the attention to whether Finland needs more work-age immigrants, and whether its healthcare facilities can match future demands. These are problems that the ‘happiest country’ must now ponder.