When the single currency, the euro, was launched more than 20 years ago, the purchasing power of people in Finland was among the EU's weakest, along with those in Spain, Portugal and Greece.
Since then, relative purchasing power has improved as prices have risen less here than elsewhere, say economists.
Since the turn of the millennium, the purchasing power of Finns in relation to other Europeans has improved. Wage levels have risen, while inflation has been slower than elsewhere.
While Finland faces its highest inflation in many years, prices are now rising much faster in the rest of the euro area than here.
That means that the purchasing power of people in Finland is improving relative to many other European countries that were previously more expensive, Bank of Finland economist Aino Silvo told Yle.
Baltics face sticker shock
According to the EU statistical office Eurostat, Finnish consumer prices rose at an annual rate of 5.6 percent in March.
Meanwhile in Spain, for example, inflation was climbing at an annual rate of almost 10 percent, the Netherlands by nearly 12 percent.
In the nearby Baltics, Estonian prices rose at an annual rate of 14.8 percent, Latvia's by 11.2 percent – while Lithuania clocked the eurozone's highest rate at 15.6 percent.
Euro area annual inflation was estimated at 7.5 percent in March, up from less than six percent in February, according to Eurostat.
The rise in consumer prices was primarily driven by sharply higher energy costs following the Russian attack on Ukraine in late February.
However, Silvo said it is unlikely that the current situation will significantly alter long-term trends.
"I don't think that the period when the inflation rates differ sharply between countries will last so long," she said.
However, Finland may still overtake Germany, for example, in living standards and purchasing power measures this year, she suggested. In terms of living standards, Germany has only been slightly ahead of Finland in recent years.
At the current rate, Finland is also catching up with other prosperous eurozone countries in terms of purchasing power, such as the Netherlands, where prices are rising much faster than before.
Although Finland's relative position is improving, it is important to remember that the purchasing power of residents here is rapidly declining due to inflation, Silvo emphasised.
"The position of everyone may deteriorate, but some less than others, and Finland may be among [those who survive] best if inflation does not accelerate as much here as elsewhere," she explained.
"If Switzerland, Norway or Luxembourg seem expensive to tourists, that's because the locals' salaries are clearly higher than ours," noted Harri Kananoja, a senior statistician at Statistics Finland.
Moderate wage hikes may curb inflation
According to Sakari Lähdemäki, Forecast Manager at the Labour Institute for Economic Research (Labore), moderate wage settlements may be one explanation for why inflation has been slower in Finland than in the rest of the eurozone.
During the 2008 financial crisis, wage growth continued to be strong here despite the stagnation of the economy. Since then, according to Lähdemäki, wage growth has "calmed down".
"Time will tell how the accelerated inflation will impact wage negotiations, but there are reasons to maintain the moderate line, because in our opinion, 2022 is an exceptional year for inflation," Lähdemäki argued.