Kallas said on the "Vikerhommik" radio morning show that during prosperous times, the state has expanded its governance structures significantly, making them quite complex. "It is usually assumed that the problem lies within the ministries, but Estonia's ministries are relatively lean. However, the lower levels — government agencies and various foundations responsible for implementing regulations — have grown extensively," Kallas explained.

"A thorough state reform is needed, including restructuring, potentially even to the extent that some agencies must be completely overhauled or shut down," she added.

She cited the Environmental Board as an example, noting that it employs 600 people, all of whom work on implementing regulations. According to Kallas, the agency has grown too large and requires significant intervention, ideally with input from external sources. When asked by the journalist whether Estonia needs its own Elon Musk, Kallas replied that she did not want to name names but considered that type of approach to be valid. Musk, known as a close ally of former U.S. President Donald Trump, leads the Department of Government Efficiency (DOGE), which aims to cut a trillion dollars from the U.S. budget.

"The lesson so far has been that if the head of the Environmental Board is tasked with reducing and streamlining operations, the results are usually lacking. A few weeks ago, we discussed with the prime minister that we need to approach this in an entirely different way. I don't want to take an example from the United States, but the process must be handled from outside the system. Someone who is not part of the structure must be able to look at this regulatory tangle and determine what needs to be eliminated because it does not contribute to economic growth or public well-being," Kallas explained.

When asked what budget cuts could be made within the Ministry of Education's areas of responsibility, Kallas suggested that there is room to reassess the tasks of its subordinate institutions, particularly in terms of regulatory functions that could be further streamlined.

In her view, an external perspective — someone who critically examines the system and asks why certain actions are taken and what outcomes they should yield — could come in the form of a newly established team under the Government Office. According to Kallas, the Government Office has both an overarching view and responsibility for the public sector's functioning.

Regarding personnel in the new government, Kallas said that no discussions had yet taken place with the Reform Party. However, she sees opportunities to reduce the number of ministerial positions. For instance, following Riina Sikkut's (SDE) departure as minister of health, Kallas suggested that Social Protection Minister Signe Riisalo (Reform) could take over those responsibilities. She also proposed considering the transfer of agricultural affairs under the Ministry of Economic Affairs and Communications.

"Since the digital portfolio has already been moved out of the Ministry of Economic Affairs, Eesti 200 finds it very reasonable to integrate regional and agricultural affairs into this ministry," Kallas said, adding that this will be a topic for discussion within the government.

Estonia's coalition of the Reform Party, Eesti 200 and the Social Democratic Party (SDE) fell apart on Monday after SDE leader Lauri Läänemets said his party had been "thrown out" of the government. Heads of Reform and Eesti 200 have said they plan to move ahead without a third partner and pursue more right-wing policy, which the Social Democrats had been hindering. The parties have a slight 52-vote majority in the 101-member Riigikogu.

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