Estonia Overview of Economy
A brief guide to Estonia economy, Estonia economy overview, Inflation rates GDP and other economic indicators in Estonia.
Since becoming independent in 1991, Estonia has taken significant steps to advance the economy including privatization of companies that had previously been controlled by the State, adopting a stable currency policy and canceling State subsidies.
Estonia uses its position between east and west to great advantage as well as the excellent ports on its shore.
In 1998-9, the Estonian economy suffered from the financial crisis on the Russian and Asiatic markets, a crisis that was expressed by a -0.6% GDP negative growth in 1999.
The constant improvement in economic performance since 2000 has led to the IMF defining Estonian as "the outstanding performer of the transitional economies".
The active industrial zones are in the city of Tallinn and its surroundings and in northern Estonia.
Internet accessibility in Estonia is among the most advanced in Europe, even ahead of Germany and Britain.
Estonia is conspicuous in the per capita number of Internet connections.
The Government has acquired E-ESTONIA that covers meetings conducted in the Estonian Parliament.
The services sector contributes approximately 65% to the Estonian economy.
Industry contributes some 30% while the balance has its source in agriculture and forestry.
The main exports are machinery and equipment - approximately 33%, and clothing, approximately 14%.
The main import is machinery and equipment - approximately 33%, chemical products - approximately 12% and textiles, approximately 10%.
The countries of the EU are Estonia's main trading partners.
In 2003, 26% of exports were to Finland, approximately 15% to Sweden, 10% to Germany and some 7% to Latvia.
The main imports to Estonia in 2002 were some 27% from Russia19% from Finland, Germany and Sweden, approximately 8% - 9% from each country.
From the aspect of natural resources, peat, limestone, clay, dolomite rock and oil are to be found in Estonia.
An analysis of the main economic indices in Estonia shows that the GDP for the years 2001 - 2003 was relatively high at around 6%.
The average rate of inflation has fallen since 2001 to an annual rate of 1.3% in 2003.
The rate of unemployment in 2003 was 10.0%, below the years 2000 - 2002 when it reached a peak of 13.6% (2000).
In 2001, per capita GDP (PPP) totaled EUR 9,800.
In 2003, the average monthly wage in Estonia was EURO 428.
There are significant differences in salaries between the Tallinn area and other areas of the country.
Estonia is a member of several important economic bodies, including the European Development Bank EBRD, the World Bank, the IMF and UNESCO.
In May 2004, Estonia joined the European Union.
The EU Accession is expected to make a significant contribution to the advancement of the Estonian economy.