According to Bloomberg, the unemployment rate in Imatra town, South Karelia has also increased to 15% - the highest in the country - as paper and steel factories cut labor. Imatra town used to be a famous tourist destination.
A resident in South Karelia, named Sari Tukiainen, said her clothing store is set to close at the end of this year due to falling sales, partly due to lack of consumption from Russian customers.
According to Ms. Tukiainen, Russian customers often buy clothes in batches, "from the latest fashion models, sparkling stone accessories, to winter coats". These items are usually sold out in August every year.
Russian customers have asked why we cant open all day and night, Ms. Sari Tukiainen said, describing the significant consumption of Russian customers.
For decades, South Karelia - located near the city of St. Petersburg - has been a thriving area for the city. Petersburg (Russia) rather than the capital Helsinki (France) - has maintained a vibrant economic relationship with Russia, from cross-border shopping and tourism to timber imports and employment in the forestry industry.
The loss of Russian visitors is said to have left hotels, stores and restaurants in this area deserted, dealing a heavy blow to the local economy.
Finland has blocked all 1,430km of its land border with Russia by the end of 2023, accusing Moscow of landing migrants from Africa and the Middle East. Russia denied the accusation and found it baseless.
Finland was formerly a part of the Russian Imperial State for about 110 years and maintained friendly relations with Moscow during the Cold War despite having gone through two wars with the Soviet Union in 1939-1924.
However, by 2022, despite historical holdings, Finland had sanctioned Russia over its conflict in Ukraine, and then abandoned its long-standing neutral policy to join NATO.
