FAX: [372] 668-8265
Flag description:
pre-1940 flag restored by Supreme Soviet in May 1990 - three equal horizontal bands of blue (top), black, and white
Economy ::Estonia
Economy - overview:
Estonia, a 2004 European Union entrant, has a modern market-based economy and one of the highest per capita income levels in Central Europe. Estonia's successive governments have pursued a free market, pro-business economic agenda and have wavered little in their commitment to pro-market reforms. Tallinn's priority has been to sustain high growth rates - on average 8% per year from 2003 to 2007. The economy benefits from strong electronics and telecommunications sectors and strong trade ties with Finland, Sweden, and Germany. The current government has pursued relatively sound fiscal policies, resulting in balanced budgets and low public debt. Rapid growth, however, has made it difficult to keep inflation and large current-account deficits from soaring, putting downward pressure on the country's currency. The government has not given up on adopting the euro, but has repeatedly postponed its target date. Estonia's economy slowed down markedly and fell sharply into recession in mid-2008, primarily as a result of an investment and consumption slump following the bursting of the real estate market bubble.
GDP (purchasing power parity):
$28.03 billion (2008 est.) country comparison to the world: 109 $29.08 billion (2007 est.)
$27.13 billion (2006 est.)
note: data are in 2008 US dollars