Oulu is a city in Finland and the regional capital of North Ostrobothnia. It is located on the northwestern coast of the country at the mouth of the River Oulu. The population of Oulu is approximately 215,000, while the sub-region has a population of approximately 263,000. It is the 5th most populous municipality in Finland, and the fourth most populous urban area in the country. Oulu is also the most populous city in Northern Finland.

The municipalities represent the local level of administration in Finland and act as the fundamental, self-governing administrative units of the country. The entire country is incorporated into municipalities and legally, all municipalities are equal, although certain municipalities are called cities or towns. Municipalities have the right to levy a flat percentual income tax, which is between 16 and 22 percent, and they provide two thirds of public services. Municipalities control many community services, such as schools, health care and the water supply, and local streets. They do not maintain highways, set laws or keep police forces, which are responsibilities of the central government.