In 1955, Finland achieved two major milestones in its postwar foreign policy by joining the United Nations and becoming a member of the Nordic Council. This came after a period of caution, where the Soviet Union had been wary of Finland joining the Nordic Council due to concerns that it might align too closely with the West, as other Nordic countries—Denmark, Norway, and Iceland—were part of NATO.
Before this, in 1952, Finland had entered a passport union with other Nordic countries, allowing their citizens to move freely across borders, secure jobs, and access social security in these nations. This facilitated a wave of Finnish labor migration to Sweden in the 1950s and 1960s, as many Finns sought higher wages and better living standards there. Though Finland's economy and living standards lagged behind Sweden’s until the 1970s, the country experienced significant economic recovery and growth after World War II, ultimately building a strong Nordic-style welfare state.
Finland's entry into the UN solidified its international presence, and joining the Nordic Council marked its increasing integration with its Scandinavian neighbors, all while maintaining a delicate balance in relations with the Soviet Union during the Cold War.