Reform's prime ministerial candidate Kristen Michal said the budget was discussed on the third day of coalition negotiations.

"So that certainty can be created and so that people know what the trajectory of the public sector is on financial issues. This means cuts first. Our initial stance is that cuts will run from 2025 to 2027. This is not a one-off exercise, but a deliberate contraction of the public sector," Michal told a press conference.

Reductions will be made from administrative costs, he reiterated. Defense and internal security capabilities and teachers will not be touched.

SDE Chairman Lauri Läänemets said taxes need to rise.

"For the Social Democrats, it is important that the burden on society from tax increases or cuts is not distributed unevenly so that only one part of society has to pay taxes. It is important that it is evenly distributed, so that everyone contributes. The main need is to cover the security costs incurred and planned. This is in the interest of every individual and every business and this is the logic we follow," he told the media.

Eesti 200 Chairman Margus Tshakna said the amount of cuts have been agreed upon yet. He said new jobs will be created in central government in the coming years.

Tsahkna said the new government will proceed with the national defense tax.

"It should be a solidarity tax where all members of society, including businesses, contribute. Hopefully, it will be clear soon how big, from which components and for how long we are planning it," he said.

The coalition speakers also agreed that in the future European directives will be adopted in the narrowest possible framework to reduce bureaucracy, Tsahkna said.

Border protection will be strengthened

Läänemets, minister of interior, said it is planned to expand people's crisis preparedness. He said the public will be able to participate in training sessions.

The border guard will also be strengthened.

"We talked about the need to be more prepared and to increase our capacity to counter hybrid attacks and to prevent hybrid threats. We agreed that certain units of the police and border guards at or near the border will be reinforced with certain weapons to strengthen their ability to defend the Estonian border and the country. For example, we will add anti-tank weapons," Läänemets explained.

The minister said the parties also agreed a 1,000-member reservists unit would be created in the PPA. It would act, for example, in the event of migration pressure or mass riots provoked by Russia.

Läänemets said the construction of the border infrastructure will continue at the current pace, and the creation of a "drone wall" on the Estonian border will begin.

Ministers to attend Riigikogu committees before taking office

At the proposal of Eesti 200, the newly created coalition will introduce the principle that ministerial candidates must attend a hearing in Riigikogu committees before taking office.

"Ministers should at least appear before Riigikogu committees before taking office. Ideally, they should also go to the Riigikogu's Session Hall. This is good for democracy," said Tsahkna, who said that the committee overseeing the political parties, the ERJK, would also gain more powers.

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