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Previously part of the Kingdom of Sweden, Finland became an autonomous duchy under the Russian Tsar I 1809. Independence was declared in 1917, and a new constitution introduced in 1919. However, Soviet influence has remained strong, mainly as a result of Finland's proximity to St. Petersburg. In 1948 the two countries signed a Treaty of Friendship, which in 1983 was extended until 2003. The proximity of the Soviet Union also contributed to the relative strength of both the Communist (now renamed the Left Wing Union) and the Socialist Parties in Finnish politics, although their support has declined recently. Finland has been governed mainly by coalitions, with no one party gaining an overall majority.

One of the main policy debates has been Finland's involvement in Europe and of late has decided to apply for, and was successfully admitted to, the European Economic Area and the European Union. This has been propelled as the Fins have suffered greatly by the collapse of their large neighbour, the Soviet Union and has conducted a shift from agriculture to manufacturing from a near total dependency on forest industries with its major exports going to the old Soviet Union, to a more modern system based on metal and engineering. The Finnish economy is fairly open, and the quality of their workforce and their independent intellectual traditions posit them for continued economic advancement.