EC Slashes Growth Forecast for Estonia ({{commentsTotal}})

Source: Photo: Reuters/Scanpix

A fresh economic forecast from the European Commission predicts a GDP growth of 1.3 percent for Estonia this year. The same institution had predicted 3 percent growth in spring.

The 2014 forecast was also downgraded a percentage point, to 3 percent, reported uudised.err.ee.

Despite the lower than expected growth, the commission remarked that Estonia's finances continue to be in good condition, nearly achieving a balanced state budget in 2013 and 2014.

The main engine of growth is domestic consumption, supported by real growth in salaries and a reduced income tax rate in 2015. In 2014, Estonia can begin expecting recovering external demand and private investments, according to the forecast.

Unemployment, at 8 percent in Q2, has continued to decline, while the lack of skilled labor, a higher minimum wage, and negotiated pay raises for medical employees and teachers have all pushed up salaries.



ERR kasutab oma veebilehtedel http küpsiseid. Kasutame küpsiseid, et meelde jätta kasutajate eelistused meie sisu lehitsemisel ning kohandada ERRi veebilehti kasutaja huvidele vastavaks. Kolmandad osapooled, nagu sotsiaalmeedia veebilehed, võivad samuti lisada küpsiseid kasutaja brauserisse, kui meie lehtedele on manustatud sisu otse sotsiaalmeediast. Kui jätkate ilma oma lehitsemise seadeid muutmata, tähendab see, et nõustute kõikide ERRi internetilehekülgede küpsiste seadetega.
Hea lugeja, näeme et kasutate vanemat brauseri versiooni või vähelevinud brauserit.

Parema ja terviklikuma kasutajakogemuse tagamiseks soovitame alla laadida uusim versioon mõnest meie toetatud brauserist: