EU, EEA, EFTA and Schengen countries

The European Union (EU) is an economic and political union formed by its member countries, and, within its territory, products, services, people and money can move freely without customs duties or other obstacles. The EU was established with the Maastricht Treaty in 1993. Finland joined the EU in 1995.

The EEA, or European Economic Area, consists of the member countries of the European Union and EFTA countries except Switzerland. The EEA agreement was established in 1994.

The EFTA, or European Free Trade Association, was founded in 1960 to promote free trade between its member countries. Finland left EFTA in 1995.

The Schengen countries form a territory where there are no travel restrictions or border controls between member states. The Schengen cooperation was initiated in 1985 by Germany, Belgium, the Netherlands, Luxembourg and France and it now encompasses almost all EU countries. Finland has applied the Schengen agreement since 2001.