Why Stalin allowed Finland to remain independent after WWII:
Stalin overestimated the efficacy of the Finnish Communist Party and underestimated the canniness of Finnish politicians. Starting in leverage high grade military equipment from the Germans which allowed the Finnish forces to stage a fighting retreat from Karelia in 1944. Thus in mid-1944, the Finns and the Soviets were fighting in the same ground as the Winter War. Both the Kremlin and the Red Army’s leadership were much more interested in maintaining the drive into Eastern Europe than refighting what had been a dark chapter in Soviet military history.
Urho Kekkonen, a Finnish parliamentarian and later Prime Minister, said in a 1944 radio broadcast “the Soviet Union must stand to gain a bigger advantage from an independent Finland clinging to life than from a broken Finland doomed to a dependent existence.” The cornerstone of Soviet-Finnish relations was the Agreement of Friendship, Cooperation, and Mutual Assistance signed with the USSR in April 1948. The Treaty guaranteed that Finland would aid the Soviets against “Germany or its allies” and fostered a series of networks and political connections between the Soviets and the Finns. The Soviets initially expected the Finnish Communist Party (SKP) to make electoral gains, but the existing Finnish political establishment adroitly managed to sideline them. The Treaty and the Finnish compliance with it did not give the SKP any major issues with which to attack the existing governments. Successive Soviet governments wanted the Treaty to be expanded and pull the Finns closer into the orbit of the Soviet sphere, but the Finns were able to strategically drag their feet. For example, the language “Germany or its allies” meant that Finns were able to justify not wanting to take defense steps against NATO Norway and Denmark. At the same time, the Finns also mastered the art of not appearing to be undermining the larger issue of Soviet security; they would give way over key debates like radar stations its early warning network.
The success of the Finns looks quite intelligent and unexpected from the vantage point of 2014, it’s important to keep in mind that during the Cold War the West was quite apprehensive the Finnish policies of accommodation. “Finlandization” became a pejorative term within Western Cold War discourse and a shorthand for making concessions to gain at best temporary freedoms from the USSR.
Jakobson, Max. Finnish Neutrality; A Study of Finnish Foreign Policy Since the Second World War. New York: Praeger, 1969.
Jussila, Osmo, Seppo Hentilä, and Jukka Nevakivi. From Grand Duchy to a Modern State: a Political History of Finland since 1809. London: Hurst & Company, 1999.
Luostarinen, Heikki. “Finnish Russophobia: The story of an enemy image.” Journal of Peace Research 26, no. 2 (1989): 123-137.
Rentola, Kimmo. “From half-adversary to half-ally: Finland in Soviet policy, 1953-58.” Cold War History 1, no. 1 (2000): 75-102.