Finland, ranked the world's happiest nation for nine consecutive years, faces severe fiscal challenges with national debt at 90.3% of GDP, the worst since the 1990s. Rising defense spending after joining NATO, high energy costs from reducing Russian reliance, and an aging population have driven a structural deficit requiring €8–11 billion in cuts by the next government to meet EU rules.
Finland, ranked the world's happiest country for nine years, faces its worst debt crisis since the 1990s with national debt at 90.3% of GDP, driven by pandemic spending, an aging population, and defense costs following Russia's Ukraine invasion and NATO membership. The government must implement severe austerity measures ahead of April elections, with economists warning cuts of €8–11 billion are needed to meet EU deficit targets by 2028.