In recent years, concerns over national security have led many countries to tighten regulations on foreign investments, particularly in sectors like real estate.
Governments are increasingly wary of potential threats such as espionage and sabotage, prompting new measures to safeguard critical infrastructure and sensitive regions.
These steps have sparked debates about the balance between security needs and economic openness.
The Finnish government has announced plans to ban property purchases by citizens of countries engaged in acts of military aggression, with Russia being the primary focus.
The proposed legislation is intended to enhance Finland’s national security by preventing potentially hostile influences, as reported by Digi24.
In a press conference on Thursday, Finnish Defense Minister Antti Hakkanen stated, "The government has decided to submit a proposal to Parliament to block property transactions by Russians in Finland."
He clarified that although the law does not mention Russia explicitly, "they [Russians] are the ones targeted."
The minister emphasized that the move aims to prevent foreign actors from using real estate to conceal espionage or sabotage activities.
Rising Tensions and National Security
Finland, which shares a 1,340-kilometer border with Russia, has tightened scrutiny of Russian real estate acquisitions since Moscow’s 2022 invasion of Ukraine.
Several purchases involving Russian individuals or entities were halted last year due to national security concerns.
Across Europe, fears of increased clandestine activities linked to Russia have grown.
Authorities have reported incidents such as damaged undersea communication cables in the Baltic Sea, where Finland also has a coastline.
On Wednesday, Norwegian security services warned that Russian intelligence might plan sabotage operations in Norway in 2025.
Exceptions and Next Steps
The proposed restrictions will not apply to holders of residence permits in Finland or long-term EU residents.
The Finnish government also intends to implement measures to prevent property purchases through intermediaries. Parliament is expected to review the bill this spring.
This initiative reflects broader European concerns about potential threats to infrastructure and internal security as the geopolitical landscape remains tense amid the ongoing conflict in Ukraine.
