Finland: Postwar Finland

Postwar Finland

After the war, by a peace treaty signed in Paris in 1947, the 1944 armistice was largely confirmed; Finland was obliged to pay the USSR $300 million in reparations and to cede the Karelian Isthmus (with Vyborg), Pechenga (Petsamo) in the far north, and additional border districts in the east. The USSR was given a 50-year lease to the Porkkala region. About 420,000 Finns left the territory ceded to the USSR and were resettled in Finland. Despite great difficulties, Finland completed its reparations payments by 1952; in 1948, the USSR had reduced the amount by about $74 million. In 1956 Porkkala was returned to Finland.

In the immediate postwar period, Communists (working through the Finnish People's Democratic League) won a substantial number of seats in parliament and held several high-level cabinet posts, including for a short time that of prime minister. However, beginning in 1948, the Communists' power began to wane, and the Social Democrats and the Agrarian Union (in 1965 renamed the Center party) dominated politics from then on. These parties almost invariably had to form coalition governments either with each other or with other, smaller, parties. In 1955, Finland joined the United Nations.

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