Reflection on Nordic Co-operation, Past and Present

 1.   The Nordic Region – some main features

 Power point: A map showing the Nordic region in the north of Europe

In 2005, the Nordic Council of Ministers and the Nordic Council published a thought- provoking report on how the Nordic region could prepare for accelerating globalisation. The title of the report was “The Nordic Region as a Global Winner Region, Tracing the Nordic Competitiveness Model”. The report stimulated debate and some new initiatives, and proved to be a very useful report indeed.

I must admit though that I never liked the title. If there is a winner, there must also be a loser. Regional co-operation does not yield losers!  Prosperity in the Nordic region is a win-win situation. Not only do the 26 million inhabitants of the Nordic region benefit from close and efficient co-operation; the neighbouring countries and region also benefit. Consequently, I won’t define the Nordic region as a winner region, but rather as a region where the inhabitants and the politicians have learnt that co-operation is a useful instrument for creating a strong future.

According to the report, in international comparisons of competitiveness, the Nordic countries were among the top ten in the world in terms of technology and creativity. Interviews with key Nordic leaders from the business, research and culture communities emphasised that the challenge was to keep that position in a situation of accelerating globalisation. This will not be achieved by reducing integration in the Nordic region. On the contrary, the report concluded that more integration was needed in order to give the small regional economies an edge in an increasingly competitive world economy.

The report tried to explain why the Nordic countries had been relatively successful.  Four fundamental conditions and eight common Nordic values were identified. I would like to share these with you:

Power point: Features described in the report “The Nordic Region as a Global Winner Region”.

Fundamental conditions:

• Common social systems
• Mutual understanding of the respective languages
• Same level of self-realisation in terms of lifestyle, and
• Using each other as a primary frame of reference

Common values:

• Equality, trust, proximity to power, inclusion, flexibility, respect for the environment, the Protestant work ethic, and aesthetics.

One of the main conclusions of the report was that strong social systems are good for business.

I agree with the analysis in the report. However, I feel that one very important element is missing from the list of “Fundamental conditions”, namely “differences” – differences in natural conditions, economic structures, and in the implementation of some of the pillars of the welfare services. The Nordic countries are different enough to learn from each other, yet similar enough to make this learning useful. We can learn from differences – differences can enable mutually beneficial trade and commerce.

Power point: Basic common values that are considered the pillars of Nordic co-operation

I would like to add to the list of common values on which Nordic co-operation is based: democracy and equality – especially between genders – fairness, rule of law, mutual respect, zero tolerance of corruption and, at least to some extent, understanding of each other´s languages.The Nordic welfare model is the tangible result of these common values. 

The Nordic region is also characterised by relatively high taxes, large public sectors, a flexible labour market and free trade. Judging from international comparable statistics, this seems to be a good recipe for prosperity.

I would also like to emphasise that a prerequisite for new Nordic initiatives is that they yield Nordic value, a value over and above what the nation acting alone could accomplish.

2.    A brief history of Nordic co-operation

“Norden”, the Nordic region, often referred to as Scandinavia, is the name we use for the countries that are mostly in the north and north-west of Europe. It includes Greenland, which geographically belongs to the North-American continent, and the Faroe Islands and Iceland in the Atlantic Ocean.

Long before historic time, as the icecap retreated after the last Ice Age, the area that now comprises Norway, Sweden and Denmark was inhabited by the same Nordic-Germanic group of people. The Viking period was one of great expansion for the Nordic people, and this had an impact on the development of the entire European continent. During this period, the Norsemen migrated and formed settlements in Iceland, the Faroe Islands and the south-west coast of Greenland. They even settled in North America for a brief period.

Some two thousand years ago, people of another origin with another language moved into Finland from the south and south-west. The Norsemen in Sweden migrated eastwards and gradually gained control over the land of the Finns.

Power point: List of important events (with year) in the common history of the Nordic countries

For hundreds of years, the Nordic region was split into two kingdoms – the Swedish that controlled Sweden and Finland, and the Danish that controlled the rest, including Greenland, Iceland and the Faroe Islands. For a brief period of time, however, the entire region was united under one single kingdom.

Traditionally there was great competition between the two kingdoms, which resulted in a series of wars, often as a result of different alliances with the greater powers of Europe of that time, namely Russia, France and England. In fact, the Napoleonic Wars led to the destruction of the traditional state structure in the region, and were catalytic for the current structure of five independent states and three autonomies of Greenland, the Faroe Islands and Åland Islands.

It is important to note that the Finns had a different language, but adopted the religion, culture, legal system, and social ideals prevailing in the region as a whole. For a period of 100 years, Finland was dominated by Russia, but gained independence in 1917.

It is a paradox that, while the five modern national states were developing separately, another movement started to grow. It was based on a romantic view of the past and originated in academic and cultural sectors, which began to ask why the Nordic countries were not united. Similar movements in other parts of Europe led to the formation of Italy and Germany.

During the eighteenth and nineteenth centuries, communication between the Nordic countries improved as a result of the industrial revolution. Various forms of civil and academic organisations began to cooperate across the Nordic borders. In 1873, expanding trade resulted in the Currency Union of Denmark, Sweden and Norway, but this ended in 1914.

The seeds for Nordic co-operation as we know it today came from grassroots level. After the First World War, co-operation began to accelerate, not least on the bases of common commercial interests, and inter-Nordic commerce increased significantly.  Civic society was also instrumental in the change. In 1919, the first Nordic Associations were established in Denmark, Norway and Sweden, and they remain an important source of inspiration and ideas for Nordic co-operation.

The Second World War both united and split the Nordic countries. Mutual humanitarian assistance strengthened the bonds. Co-operation became more difficult during the Cold War – Finland was forced to consider the interests of the Soviet Union, and Denmark, Norway and Iceland abandoned their traditional neutrality in foreign and defence policy and joined NATO. Initiatives to establish a Nordic Defence Alliance and a Nordic Common Market were hindered by geopolitical complications.

The Nordic Council was set up in 1952 as a forum for co-operation between the national parliaments and the governments, taking into account the geopolitical restrictions. In 1962 the co-operation was formalised in the Treaty of Helsinki, which gave the Nordic Council a unique position as an intergovernmental organisation.  In 1971, a decision was made to form the Nordic Council of Ministers. This was to clarify the division of responsibility between the parliaments on the one side and the governments on the other.  A number of Nordic institutions were set up in areas where co-operation was deemed to be of financial benefit, and also with the aim to inspire cultural exchange and research.

The geopolitical situation changed with the fall of the Soviet Union, and Sweden and Finland joining the European Union in the early nineties, some 20 years after Denmark had joined. Norway and Iceland came closer to EU through the agreement on the European Economic Area. This paradigm change left its mark on Nordic official co-operation – for over 30 years, the co-operation had concentrated on intra-Nordic issues, but was now gradually opening up for broader international affairs. Foreign policy, defence policy, EU issues, Arctic issues, and peaceful and democratic development in neighbouring areas started to appear on the Nordic agenda.

3.    The main components and structure of current Nordic co-operation

The extent of Nordic co-operation is hard to overestimate. There is hardly an organisation or an enterprise that in one way or another is not linked to formal or informal Nordic co-operation. However, the platform is the formal official co-operation vested in the Nordic Council and the Nordic Council of Ministers.

3.1 The Nordic Council

Power point: Organisational diagram showing the Nordic Council

The Nordic Council has 87 elected members from the parliaments of Denmark, Finland, Iceland, Norway and Sweden, as well as from the Faroe Islands, Greenland and Åland. The Council meets on one regular three-day session per year. The five Standing Committees meet four times annually and the Presidium five times, in addition to the regular session.

The five different groups of political parties that are represented in the Council also meet in conjunction with all Council assemblies.

The Council is the democratic pillar of Nordic co-operation. It delivers ideas and proposals for strengthening co-operation, exerts parliamentary control over the Nordic Council of Ministers and all Nordic institutions, and adopts the annual budget of the Nordic Council of Ministers. The recommendations adopted by the Council, between 20 and 30 annually, are either directed towards the Nordic Council of Ministers or towards the Governments of the 5 + 3 countries. According to the Treaty of Helsinki, both the Council of Ministers and the national governments are obligated to respond to the recommendations. If the Council of Ministers or the national governments disagree with the Council, they must motivate why they do not consider it possible to follow the recommendation of the Council.

3.2 The Nordic Council of Ministers

Power point: The organisation of the Nordic Council of Ministers

The Nordic Council of Ministers is the forum for Nordic governmental co-operation. The Prime Ministers have the overall responsibility for Nordic co-operation. In practice, responsibility is delegated to the Ministers for Nordic Co-operation and to the Nordic Committee for Co-operation, which co-ordinates the day-to-day work of the official political Nordic co-operation. In addition, the Ministerial Council can be convened in 10 different ministries, such as the ministers of finance, environment, education and culture.

The Nordic Council of Minsters can be considered as an extensive network of ministers, senior government officials, experts from national ministries and institutions, and over 30 Nordic institutions and cooperative organisations (listed in the annex).

Power point: List of Nordic institutions and cooperative organisations.

In addition to the Nordic Council of Ministers, the ministers of foreign affairs and ministers of defence hold regular Nordic meetings that are not formally part of the Nordic Council of Ministers. The co-operation on defence issues has been intensifying in recent years and can be considered as one of the most dynamic dimensions of Nordic co-operation.

4.    Balkan region – Nordic region; the difference is evident

Power point: Map of Europe showing the Nordic Region and Western Balkan

During the last two hundred years the Nordic countries have not been at war with each other. There have been some conflicts but they have all been settled through peaceful measures.

After the Nordic Council was established in 1952, measures were taken to strengthen the ties; within education and culture, by establishing a passport union, and through agreement on mutual provision of welfare services. Today, some of these agreements overlap with wider European agreements to some extent.

There is considerable mobility between the Nordic countries and, each year, some 40 000 people move from one Nordic country to another.

The Danish, Swedish and Norwegian languages are very similar and communication is possible with minimal training. Icelanders have to adjust and learn one of the three Scandinavian languages in order to be understood. In Finland some 300 000 people (5% of the population) have Swedish as their mother tongue and all Finns have to learn Swedish in school. Generally, the ability to communicate in Swedish in Finland has deteriorated. In Nordic Council meetings there are simultaneous interpretations between the three Scandinavian languages, Finnish and Icelandic. In Committee meetings translation is made available upon request. The use of English in intra-Nordic communication appears to be growing.

Power point: Basic statistics of the Nordic Countries and the Western Balkan countries; countries, geographic size, populations, GDP)

There are 26 million people living in the Nordic region, compared to some 34 million in the Western Balkan. Geographically, excluding the great icecap in Greenland, the Nordic region is three times larger, with a population density of 21/km2 compared to 86 in the Western Balkan. Per capita GDP is about three times higher in the Nordic region.

The Balkan region is a complex mix of religion and ethnicity, and has been exploited by a number of Euro-Asian powers through the centuries. The Nordic region has relatively homogeneous populations in terms of religion and ethnicity, although diversity is increasing through immigration. The Nordic region has also been divided by the interference of European powers, but not to the extent experienced in the Balkan.

The differences between Western Balkan and the Nordic Region are clear and significant. Despite these significant differences, I hope that some of our experiences of co-operation in the Nordic Region can be usefully applied here in the Balkan Region.

5.    From the past to the future

Power point: The many benefits of regional co-operation

Regional co-operation yields many economic and cultural benefits and can create a platform for stability and peace. The European Union illustrates this, as recognised last year when it received the Nobel Prize for Peace in Oslo. With the enlargement of the European Union, the importance of good co-operation with the sub-regions of Europe is growing. The European Union has recognised this, and this is clearly demonstrated in the regional strategies that have been established by the Union.

The development of regional co-operation is the result of positive public opinion, supportive civic society, political will as well as the geopolitical situation. It also depends on the perception that trade and mutual investment in industry and services and division of labour will facilitate the exploitation of the economic potential, both in the individual countries and in the region as a whole. Furthermore, it is nourished by the notion that small countries can have greater influence on global development, and be in a stronger position to defend their legitimate interests, through co-operation.

Common history and linguistic similarity facilitates co-operation and integration... but it is not vital.  Past conflicts and lack of trust will hinder co-operation, but there are many examples where states have been able to put the conflicts of the past behind them and rebuild trust. The development of the relationship between Germany and France after the Second World War can serve as an example.

The co-operation between the Nordic Countries is often regarded as one of the best examples of in-depth and extensive co-operation between sovereign national states. It was facilitated by common history, homogeneous religion, similar cultures and related languages. It was made difficult by geo-politics, in particular during the Cold War. However, it is primarily the product of growing public support and commerce across borders, the need to seek support from other small states on the global political arena, and the understanding that economics of scale and division of labour yield benefits to society as a whole.

We cannot change the past, but we can form the future. Further regional co-operation in Western Balkan will, in my opinion, result from:

 A civic society that influences public opinion

• Academics that cooperate across borders in order to strengthen research and innovation
• Enriching cultural exchange that enlightens and entertains
• A business community that exploits the potential for growth and prosperity through trade and investment
• Politicians who strengthen relations with colleagues across national borders, support cooperative initiatives, break down barriers and exploit opportunities created by common institutions
• People who travel across borders for pleasure or to seek employment

 Power point: the points above

 Finally, I would like to thank you for this opportunity to share my thoughts with you. I hope that this event marks progress in the work to make the Balkan Region more peaceful and prosperous. We must remember that it is our civil duty to be on the lookout for an opportunity to create something new and better for the future of our children. I believe developing co-operation in the Balkan region is one such opportunity.

Appendix

List of Nordic institutions and cooperative arrangements

NordForsk

NordForsk is a Nordic research board with responsibility for co-operation on research and researcher training in the Nordic region. The organisation focuses on research areas in which the Nordic countries are international leaders, and promotes research and researcher training of high international calibre.

Nordic Atlantic Co-operation (NORA)

NORA is a regional committee under the Nordic Council of Ministers' regional political co-operation programme, and functions as an intergovernmental collaborative agency and facilitator. Operating within the Nordic framework and utilizing a project-based platform affords NORA a unique opportunity to stimulate and facilitate transnational collaboration, based on Nordic goals and values.

Nordic Centre for Spatial Development (Nordregio)

The Nordic Centre for Spatial Development, is a leading international Nordic research institute in the broad field of regional studies. The centre undertakes strategic research with the aim of producing informed and relevant material for decision-makers at international, national and regional levels

Nordic Centre for Welfare and Social Issues

The Nordic Centre for Welfare and Social Issues aims to improve the quality of social policies in the Nordic countries through education, information, the promotion of research, development work, network building and international co-operation.

Nordic Council for Reindeer Husbandry Research (NOR)

NOR is an organisation that aims to improve co-operation among Nordic scientists working in the fields of reindeer/caribou and reindeer husbandry, and to establish connections for sharing information between reindeer research, husbandry and management.

Nordic Council on Disability

The council is a policy-making and advisory body for the Nordic Council of Ministers that brings important matters of disability policy onto the Nordic and national political agendas.

Nordic Culture Fund

The aim of the Nordic Culture Fund is to support a broad spectrum of cultural co-operation initiatives between the Nordic countries.

Nordic Culture Point

Nordic Culture Point is a strong and innovative Nordic cultural player active throughout the Nordic region. Nordic Culture Point, which began operations in its current form on 1 January 2012, was formed by the fusion of the Nordic Institute in Finland (Nifin) and the former Nordic Culture Point. The new institute is a central Nordic meeting point located in Finland. It spreads knowledge of and interest in the Nordic region, and administers the Nordic Council of Ministers’ two funding programmes for culture. The institute also provides a point of contact for Nordic cultural co-operation and information about that co-operation in the Nordic region and beyond. The director of Nordic Culture Point is Per Voetmann, and the institute has offices in central Helsinki and Suomenlinna. The institute is a Nordic Council of Ministers institution.

Nordic Energy Research

Nordic Energy Research is the funding institution for energy research under the Nordic Council of Ministers – an intergovernmental body between Sweden, Denmark, Finland, Norway and Iceland.

Nordic Environment Finance Corporation (NEFCO)

NEFCO is a joint Nordic financial institution whose primary purpose is to generate positive environmental effects of interest to the Nordic region by funding projects in Central and Eastern Europe countries.

Nordic Film & TV Fund

The Fund's primary purpose is to promote film and TV productions of high quality in the five Nordic countries by providing support for top-up financing of feature films, TV-fiction / series and creative documentaries.

Nordic Game Program

The main mission of the Nordic Game Program is to ensure access to quality Nordic computer games for children and young people.

Nordic Gene Resource Centre (NordGen)

NordGen – the Nordic Genetic Resource Centre – is a Nordic institution for the preservation and sustainable use of plants, farm animals and forests.

Nordic House in the Faroe Islands (FO)

The aim of the Nordic House is to support and promote Nordic and Faroese culture, and to establish closer links between cultural life locally and in the Nordic region.

Nordic Information Centre for Media and Communication Research (NORDICOM)

NORDICOM's work aims to spread knowledge in the area of media and communication research, and to develop media studies in the Nordic countries.

Nordic Innovation

Nordic Innovation initiates and finances activities that enhance innovation, and co-operates primarily with small and medium-sized companies in the Nordic region. The mission is to make it easier to develop and conduct business in the Nordic region without obstacles caused by national boundaries.

Nordic Institute for Advanced Training in Occupational Health (NIVA)

NIVA is a Nordic organisation that provides a forum for the dissemination of knowledge in the field of occupational health and safety. NIVA organises various forms of training courses, seminars and workshops.

Nordic Institute for Theoretical Physics

NORDITA is the Nordic Institute for Theoretical Physics. Its purpose is to carry out research and strengthen the Nordic collaboration within the basic areas of theoretical physics.

Nordic Institute of Asian Studies (NIAS)

NIAS aims, through joint Nordic ventures, to optimise the use of research facilities and expertise in Asia.

Nordic Institute of Dental Materials (NIOM)

NIOM is charged with promoting the use of safe and suitable dental biomaterials and procedures in the Nordic countries to meet the health and technical requirements for developments in this field.

Nordic Institute of Maritime Law

The Institute's academic staff covers a wide range of private and public law subjects, with special interest in the fields of maritime and transportation law, insurance law, and petroleum and energy law.

Nordic Journalist Centre

The Nordic Journalist Centre creates and maintains interest in the media for Nordic affinity and cultural community. This goal is reached through courses, seminars and other competence-building initiatives.

Nordic Medico-Statistical Committee (NOMESKO)

NOMESKO is a permanent statistical committee under the Nordic Council of Ministers with separate funding from the Nordic Committee on Social Policy. One of the areas of responsibility is the co-ordination of health statistics in the Nordic countries.

Nordic Project Fund (Nopef)

Nopef is a funding institution under the Nordic Council of Ministers. Nopef aims to strengthen the international competitiveness of small and medium-sized Nordic enterprises by providing co-financing under special conditions for feasibility studies.

Nordic Sami Institute (NSI)

The Sámi University College is a Sami education and research institution that preserves and develops the Sami language, culture and social life from a common Sami perspective.

Nordic Social-Statistical Committee (NOSOSCO)

NOSOSKO is responsible for the co-ordination of social statistics in the Nordic countries and for undertaking comparative analyses and descriptions of the scope and the substance of social security measures.

Nordic Summer University (NSU)

The Nordic Summer University is a Nordic network for research and interdisciplinary studies. The goal is to provide researchers and students with a good platform for the exchange and development of new ideas.

Nordic Teachers´ Council (NLS)

The Nordic Teachers´ Council, NLS, aims to promote and strengthen pedagogical development and the status of teachers in society.

Nordic Volcanological Center (NORDVULK)

The institute is dedicated to research in dynamic geology with the emphasis on vulcanology and plate tectonics, and environmental areas related to these.

Nordjobb (Nordic Work Exchange Programme)

Nordjobb aims to increase knowledge of the Nordic countries, language and culture by offering young people between the ages of 18 and 28 a summer job in another Nordic country or autonomous territory.

Nordic Development Fund (NDF)

NDF is the joint development finance institution of the Nordic countries. For 20 years NDF has granted 'soft' concessional credit to developing countries. NDF provides grant financing for climate change investments to the poorest countries in the world.

Nordic Forest Research Co-operation Committee (SNS)

SNS is a co-operative body financed with Nordic funds under the auspices of the Nordic Council of Ministers. The overall objective is to promote research into the diverse functions of the forests in sustainable forestry, as well as to advise the Nordic Council of Ministers on matters relating to forests and forestry research.

Nordic House in Reykjavik (NOREY)

The overarching goal of the Nordic House in Reykjavik is to stimulate Nordic co-operation and strengthen relations between the Nordic countries. The institution is a Nordic cultural and knowledge centre and a creative meeting place that fosters and supports cultural connections between Iceland and the other Nordic countries.

Nordic Joint Committee for Agricultural and Food Research (NKJ)

NKJ is a contact and co-ordinating body between the Nordic countries' research councils and the national ministries responsible for agricultural and food research.

Nordic School of Public Health (NHV)

NHV is an institution for higher education and research within the area of public health. The school offers basic, advanced, and research training courses in public health science for personnel in the health care and nursing professions in the Nordic countries and adjacent areas.

Another institution is the Nordic Investment Bank (NIB) which is now co-owned by the three Baltic states – Estonia, Latvia and Lithuania.