The prime minister called for the first of these options: Urgent military investment amid rising Russian threats and NATO concerns.

This has become even more apparent in the light of last weekend's Munich Security Conference.

Speaking to "Ringvaade," Michal said: "At this moment, Europe has a choice."

"Either take seriously what has long been stated — that we need to invest more in our own defense capabilities — or accept that someone else will dictate how things are done," he went on.

Though the call is not a new one, Russia's wartime experience in its invasion of Ukraine has led to large numbers of people who now have military experience and training, who previously did not.

"If Russia's objectives do not change, while even if peace is maintained, at some point, all those men who have been under arms in Russia will seek an outlet, and the regime will look for the next move," Michal continued.

"For this reason, it is highly logical for Europe to invest more in defense, to expand its defense industry, to give member states free rein to do so, and to support Ukraine."

"Looking at the last European Council meeting where we discussed this, member states were given more leeway to contribute, and budgetary rules were adjusted, something which is quite significant," the head of government went on.

"This is also very important for Estonia, as it allows us to increase our defense spending," he added.

"In fact, all the countries at the table recognized the need for greater investment in defense."

"The positive aspect is that previous European budget rules have been somewhat restrictive regarding how much military capability you can acquire with loans and how to fit it into budgetary frameworks over time. This will become easier, while central funding is likely to rise," he noted.

The prime minister added he believes that while increasing defense spending and military readiness in European countries takes time, overall security will improve in the long run.

He stressed also that NATO remains functional, adding that all member states must actively contribute rather than relying on others to maintain regional stability.

The prime minister also projected that Estonia could develop a strong defense industry within a period of three to seven years. For this to happen, however, Europe must undergo an economic shift to accelerate military equipment production, ensuring better preparedness for future security challenges.

Michal characterized the Munich Conference as a "clash of two cultural sides," influenced by the recent U.S. elections. He noted that President Donald Trump's messages as delivered by Vice President J.D. Vance should be understood in this context but emphasized that Trump's stance is nothing new. "He has said this during his first term and conveyed the message that different partners in NATO must contribute more," Michal summed up.

Estonia has long called for hiked defense spending across the EU and not just from its NATO eastern flank member states. Meanwhile Donald Trump has suggested a defense spend of 5 percent of GDP per year. Some western European nations such as the Netherlands spend below 2 percent on their defense budget.

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