PM: coalition agreement closed for discussion ({{commentsTotal}})

Prime Minister Taavi Rõivas said his government will not renew the coalition agreement. The Cabinet is currently debating the budget strategy for the next three years and has come under fire for plans to increase fuel excise duty and tax on accommodation services, prompting calls for a number of expensive promises to be dropped.

Rõivas said the coalition agreement is not up for debate as ministers look for ways to make cutbacks. Additional cuts are needed to postpone the tax hikes and to cover a potential hole in the budget, left by a slower pace of economic growth.

The Prime Minister said child benefit rates will increase, tax on labor will decrease and spending on defense will continue at the 2-percent of GDP mark.

Editor: J.M. Laats



Siim Kallas.

Interview: Siim Kallas on ambitions, Estonian politics, and EU presidency

Following the local elections in October this year, Reform Party founder, former prime minister, EU commissioner, and presidential candidate Siim Kallas took on the job of municipal mayor of Viimsi, a community on the outskirts of Tallinn. In his interview with ERR's Toomas Sildam, Kallas talks about local government, his party, the EU presidency, and perspectives in Estonian politics.

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