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Estonian Review: 12-18 November 2008
21.11.2008
FOREIGN NEWS
DEFENCE NEWS
ECONOMIC NEWS
FOREIGN NEWS
Informal NATO-Ukraine High-level Consultations Take Place in Tallinn
13 November - The developments in the Ukrainian security sector and the current security situation of the Euro-Atlantic region were discussed at the informal NATO-Ukraine high-level consultations held in Tallinn from 12-13 November.
During the two working sessions, it was agreed that Ukraine has made considerable progress in its relations with NATO; however, Ukraine still has a long way to go before gaining NATO membership. The people of Ukraine will decide whether to become NATO members or not, and both Kiev and NATO have a lot of work to do to increase the awareness of NATO among Ukrainians, Estonian Minister of Defence Jaak Aaviksoo stated.
When speaking of Ukrainian defence and security sector reforms, it was admitted that progress should be faster; however, clear objectives need to be established and financial coverage must be ensured for the reforms undertaken.
Ukraine's participation in NATO-led international operations was also discussed. According to Defence Minister Aaviksoo, Ukraine is the only NATO partner that is currently participating in all NATO-led operations. This is a clear indication that Ukraine and NATO share a common understanding of today's security-related challenges, Aaviksoo said.
Ukraine's participation in the NATO Response Force (NRF) and British-French helicopter initiative was especially emphasised.
According to the minister of defence, it was re-asserted at the consultations that every European state has the right to choose its own methods for ensuring its security. NATO and Ukraine share a common objective - to strengthen the movement towards an integrated and free Europe, where Ukraine also has its well-defined place, Aaviksoo stated.
Aside from the Estonian minister of defence, the defence ministers of the US, Czech Republic, Latvia, Turkey, Ukraine, Denmark, and Albania participated in the informal NATO-Ukraine high-level consultations. Three states - the United Kingdom, Bulgaria and Norway - were represented at the deputy ministers' level.
Other representatives from allied countries included ambassadors to NATO as well as permanent or deputy undersecretaries.
President of the Republic of Estonia Toomas Hendrik Ilves delivered the keynote speech at the meeting, while consultations were chaired by NATO Secretary General Jaap de Hoop Scheffer; Chairman of the NATO Military Committee Admiral Giampaolo di Paola was also present.
Estonian President Met with NATO Secretary General
12 November - President Toomas Hendrik Ilves met with NATO Secretary General Jaap de Hoop Scheffer, who arrived in Tallinn in connection with high-level NATO-Ukraine consultations.
President Ilves and Secretary Scheffer discussed the changed security situation after the Russia-Georgia war. The meeting also included a discussion about the situation in Afghanistan, which is NATO's most important foreign mission and where an Estonian infantry company is serving along with a support unit.
The success of NATO and the stabilisation of Afghanistan are extremely important for the establishment of a more secure world and for the credibility and trustworthiness of the alliance, President Ilves said. The NATO states and our partners participating in the operation demonstrate great dedication and patience, and in addition to the military contribution, successful civil projects are becoming increasingly important in Afghanistan.
Speaking about the air security of the Baltic countries, the Estonian head of state acknowledged the perseverance of the other NATO member states in guarantee air security and also the organisation of the Baltic Air Sovereignty Event exercise that took place on 21 October. President Ilves and Secretary General Scheffer also spoke about reforms in Georgia and Ukraine for accession to NATO. They confirmed the validity of the resolutions that were approved at the Bucharest Summit, according to which NATO's doors will be open for Georgia and Ukraine in the future.
Possible developments in NATO-Russia relations were also discussed at the meeting.
Estonia and Bulgaria Support Further NATO Enlargement
18 November - Foreign Minister Urmas Paet met with Bulgarian Deputy Prime Minister and Foreign Minister Ivailo Kalfin. They discussed bilateral relations, the European Union, and matters related to energy and security policy. Other topics included relations with Russia and regional developments.
The Estonian and Bulgarian foreign ministers dedicated a significant portion of time to talking about energy security. Paet stated that it is important that third countries accept similar guidelines to the EU in regards to restrictions on greenhouse gas emissions. This would prevent the risk of unfair competition, said the Estonian foreign minister. One solution we see is to involve electricity imported from third countries in the emission trading system, he added. Paet also said that this would also help to create a true internal energy market. The Bulgarian foreign minister gave an overview of Bulgaria's developments in the nuclear energy field and stated that this could be a potential area for co-operation.
Paet and Kalfin also talked about relations with Russia. The Estonian foreign minister stated that dialogue and the relations outlined in the framework agreement between the EU and Russia are in everyone's best interests for accomplishing goals and protecting principles and interests. Negotiations do not in any way validate Russia's behaviour in Georgia, which does not reflect the values and principles of the EU, Paet asserted.
Bulgarian Foreign Minister Ivailo Kalfin gave an overview of developments in the Black Sea region and the Western Balkans. Foreign Minister Urmas Paet expressed his satisfaction that Estonia and Bulgaria's partnership in the European Union and NATO has brought intensity to bilateral relations and expanded areas of co-operation. Bulgaria plays an important role in implementing the European Neighbourhood Policy both in the Black Sea region and in the Western Balkans, Paet noted. Helping along with social and economic development in neighbouring nations is also a priority of Estonia's foreign policy, and our co-operation opportunities in this area are numerous, he added.
They also discussed the further enlargement of the European Union and NATO. The two parties shared the opinion that NATO enlargement must continue in order to increase Europe's area of values and security. Joining NATO must be a possibility for all nations that share our common values and that are prepared to join, said Foreign Minister Paet.
While talking about bilateral relations, Foreign Minister Paet expressed his satisfaction over Bulgaria's decision to open an embassy in Tallinn and said he hopes that a residing ambassador to Estonia will be appointed soon.
Ansip: Co-operation between Estonia and Azerbaijan Could Become Closer
13 November - Prime Minister Andrus Ansip met with Azerbaijani President Ilham Aliyev. The state of the relations between the two countries and opportunities for future co-operation, both at a bilateral level and between Azerbaijan and the European Union, were discussed at the meeting.
Prime Minister Ansip affirmed that Estonia is seeking closer economic ties with Azerbaijan, which would be greatly assisted by the lifting of the visa requirement for Estonian citizens. Estonian businesses and people would definitely travel to this region more often, if coming here were simpler, Ansip said. Azerbaijan and its rapidly developing economy are of interest to Estonian entrepreneurs, he added.
Aliyev confirmed that a liberal business environment awaits Estonian investors, and that the protection of private property is secured by legislative provisions.
According to Prime Minister Ansip, the potential for strong co-operation is held by the IT sector. Estonia has had success in reforming the public sector administration and providing e-services, the Prime Minister said. He added that Estonia would be happy to share its IT experience and proven e-service solutions.
Jointly, it was affirmed that co-operation is also sought on international issues and stated that mutually trusting partnerships already exist on missions in Iraq, Afghanistan and Kosovo.
Both the prime minister and the president agreed that closer co-operation between the Caucasus and the West would benefit both sides. Aliyev acknowledged Estonia's great success in integration with the European Union and held out the hope that Estonia would also assist the development of co-operation between the EU and Azerbaijan in the future.
Developments in the Caucasus, specific security problems, and the importance of stability for the development of the entire region, were also addressed at the meeting.
Twenty-nine Estonian Experts Have Been to Georgia This Year
17 November - Twenty-nine Estonian experts have visited Georgia this year to provide advice to that country under different projects, Estonian Prime Minister Andrus Ansip said during a question and answer session in Parliament.
Ansip said that since Georgia is one of the four countries, along with Afghanistan, Moldova, and Ukraine, with whom Estonia is working closely in development co-operation, quite many Estonian experts have been to Georgia, including officials, university teachers, employees of various businesses, and members of NGOs.
According to available information, 29 experts from Estonia have paid visits to Georgia this year, including four from the Centre for Enterprise and Development of Harju County, six from the e-Governance Academy, four from OU Invent Baltics and the Open Society Institute each, three each from the Border Guard Board and the State Chancellery, and one each from the Public Broadcasting Company and the Public Service Academy.
There are also some other co-operation projects under way. For instance, the Estonian Public Service Academy is involved in a project to develop police training in Georgia, Tallinn University in a project to arrange competence training for Georgian specialists, and the vocational education centre of Tartu in a project to support vocational education in Georgia. Various projects are being conducted also by the European College of Tartu University and the Estonian School of Diplomacy.
To help eliminate damage from the conflict that erupted in August, Estonia has contributed four experts to the crisis counselling mission in the UNICEF representation in Tbilisi, five experts to the mine countermeasures mission, and six to international missions.
Paet Met with Iranian Deputy Minister for European Union Affairs
12 November - Foreign Minister Urmas Paet met with Deputy Foreign Minister for European Affairs of the Islamic Republic of Iran Mehdi Safari in Tallinn.
The two discussed bilateral relations, Iran's nuclear ambitions, and the situation in the region.
In talking about the relations between the European Union and Iran, Foreign Minister Urmas Paet said that they should not be limited to the topic of nuclear energy. There is a need to develop a dialogue, and to increase trust and co-operation in various sectors, said Paet.
Paet added that in order to restore the trust of the international community, Iran must reconcile its nuclear programme to the requirements of the International Atomic Energy Association (IAEA). Iran must guarantee access to nuclear objects for IAEA inspectors, Foreign Minister Paet emphasised.
The deputy foreign minister of Iran expressed interest in developing co-operation between parliaments and contacts among businesses.
Paet and Safari also discussed developments in Afghanistan and Iraq.
Estonia Supports Restoration of Haitian Schools
15 November - The Foreign Ministry is supporting the restoration of Haitian schools that were damaged in tropical storms Fay, Gustav, Hanna and Ike through the United Nations Children's Fund (UNICEF) with 500,000 kroons (almost 32,000 EUR). They are also supporting the construction of temporary schoolhouses.
Since the disaster situation is in areas of Haiti that suffer under extreme poverty, the state does not have the resources or capability to restore the schools that were damaged. Foreign Minister Paet stated that Estonia has a chance to make a contribution to alleviating the difficult situation in the education sector, thereby also helping the general construction of the nation.
In August and September of 2008, Haiti was assaulted by four tropical storms in a row. This produced one of the most serious natural disasters in Haiti's history, in which 700 people have perished and 800,000 have been negatively affected. In addition, thousands of buildings are in ruins, almost the entire harvest is destroyed, the production infrastructure has suffered greatly, and communication channels are broken. The total value of the damage could be over 12 billion kroons.
Direct Contacts Among Businessmen Would Enliven Estonia-Bulgaria Economic Relations
18 November - Estonian Foreign Minister Urmas Paet and Bulgarian Deputy Prime Minister and Foreign Minister Ivailo Kalfin opened an Estonia-Bulgaria economic and trade relations seminar in the Sofia Chamber of Commerce.
While talking about trade relations between Estonia and Bulgaria, Foreign Minister Urmas Paet acknowledged that relations between the nations need to be intensified. Creating a positive economic environment and favourable investment climate is not enough to guarantee successful co-operation, said Paet. The foreign minister added that direct contacts among entrepreneurs are also essential. The trading of goods and co-operation more generally need a boost, so we should each share more information about our own country with each other, said Paet. A practical example of this is the seminar we're having right now, he added.
Nearly 130 Estonian businesses are active in Bulgaria. Estonian entrepreneurs' investments in Bulgaria total close to 600 million kroons. According to the Estonian foreign minister, further development of the legal framework and agreement basis would help to advance trade relations. On 13 October, the Estonian and Bulgarian foreign ministers signed an agreement for the avoidance of double taxation. Foreign Minister Paet expressed hope that the Riigikogu would ratify the agreement during the month of November. The agreement provides additional reliability for investments and economic co-operation, said Paet. Estonians have had a fair amount of interest in Bulgaria as an investment destination. We hope that this interest will grow even more, he added.
Foreign Minister Kalfin expressed interest in the functioning of Estonia's e-government and said that Estonia and Bulgaria also have co-operation potential in the information and communication technology sector. We will readily share our experiences with Bulgaria, said Foreign Minister Paet.
Thanks to co-operation between the Estonian Chamber of Commerce and Industry and the Estonian Embassy in Bulgaria, an Estonian business delegation is also in Bulgaria during the foreign minister's visit. The entrepreneurs are participating in the Estonia-Bulgaria business and trade relations seminar and will meet with local businessmen.
Talks with Somali Pirates Continue
18 November - Estonian Foreign Minister Urmas Paet said talks between representatives of Clipper Group, the owner of the ship hijacked on Friday, and Somali pirates are still continuing. The shipping company is working to have the ship and the crew released.
The Bahamas-flagged ship CEC Future, operated by the Danish company Clipper Group, was taken over by pirates in the Gulf of Aden on 7 November.
One of the ship's crew members is a citizen of Georgia and another holds an Estonian alien passport. The rest of the crew members are Russian citizens, but four of them have Estonian residence permits.
All of the seamen connected with Estonia have been able to contact their relatives back home and the shipping company is keeping the relatives updated about the situation.
There is enough water, food and fuel on the ship and the health condition of the crew members is satisfactory.
The Foreign Ministry is prepared to provide as much help as possible in bringing the crew members home when the ship is freed and the crew members are able to return to their homes.
Tartu University and Moscow University Conclude Co-operation Agreement
14 November - Estonia's Tartu University concluded a co-operation agreement with Russia's largest higher educational institution, Moscow University.
The accord was signed by the rector of Moscow University and one of the most influential educators in Russia, Victor Sadovnichi. The rector of Tartu University Alar Karis had signed the agreement earlier.
Karis said the agreement is very important, because Tartu University is an international university and values all foreign relations. "We also attach importance to it because a professor of ours is now teaching the Estonian language at Moscow University, and thus the agreement promotes substantially the spread of the Estonian language and culture," he said.
The agreement stipulates exchanges of students, researchers, and doctoral students. "This is actually nothing new; it's a quite ordinary exchange of students. Students from there will be coming here and ours will be going there. The agreement provides mutual guarantees that everything will work," Karis said.
Moscow is primarily interested in a joint study program with Tartu University and a summer university in whose framework certain set courses would be held, such as Finno-Ugric studies, the rector said.
Estonian Ambassadors to Armenia, Vietnam Present Credentials
13 November - This week Ambassador of the Republic of Estonia to Vietnam Andres Unga and Ambassador to the Republic of Armenia Toomas Lukk each presented their credentials.
Ambassador Unga and Vietnamese President Nguyen Minh Triet both emphasised the good status of relations between the two countries during their conversation following the presentation of credentials. They also addressed the need to further develop mutual contacts in the economic, tourism, cultural and education sectors.
Ambassador Unga stated that strengthening the agreement base between Estonia and Vietnam would help to intensify co-operation. We think it is necessary to conclude agreements for economic co-operation and the avoidance of double taxation and the protection of investments with Vietnam, as well as co-operation agreements between the cultural, education and research ministries of the two countries, said Ambassador Andres Unga. The ambassador also stated that approving visa-free travel for Estonian citizens would help relations to develop more actively.
Before assuming his position in China, Unga was the ambassador to Greece. Ambassador Andres Unga resides in Beijing.
Ambassador to Armenia Toomas Lukk, in his discussion with Armenian President Serzh Sargsyan, focused primarily on bilateral relations. The two agreed that economic ties need to be intensified. Toomas Lukk stated that exempting Estonian citizens from the visa requirements would certainly help to enliven contacts between Estonia and Armenia.
Lukk and Sargsyan also talked about development co-operation. We're prepared to share our experiences with Armenia for making the economic environment more attractive, said Lukk.
Armenian Foreign Minister Edward Nalbandian will arrive in Estonia for a visit next week.
Toomas Lukk is also the Estonian ambassador to Georgia. The ambassador resides in Tbilisi. Ambassador Toomas Lukk is fluent in English and Russian and conversationally fluent in Latvian and Finnish.
DEFENCE NEWS
Baltic Defence Ministers Met with US Secretary of Defence
12 November - Estonian Minister of Defence Jaak Aaviksoo, Latvian Minister of Defence Vinets Veldre, and Lithuanian Ambassador to NATO Linas Linkievicius met with the Secretary of Defence of the United States of America Robert M. Gates, who arrived in Estonia to participate in the Informal NATO-Ukraine high-level consultations.
The ISAF operation in Afghanistan, the Baltic states' defence planning, issues related to the air policing of the Baltic states, as well as matters related to cyber defence and the US Foreign Military Financing (FMF) were discussed at the meeting. Defence-related co-operation between the three Baltic states and the USA has been consistently improving and will improve even more, Minister Aaviksoo stated. The ministers expressed their satisfaction with the success of the NATO air policing training event conducted on 21 October, and stressed the importance of NATO air policing for both the Baltic states and the alliance as a whole. The strong contribution of the US and other NATO allies in ensuring the air policing of the Baltic states is very valuable to our defence policy, Aaviksoo said.
The further planning of NATO joint exercises for strengthening the NATO presence in the Baltic states was also discussed at the meeting.
When discussing the operation in Afghanistan, the ministers stressed the need for better co-ordination between the participating countries and the international organisations, as well as the necessity to strengthen and increase the numbers of Afghan National Police and Afghan National Security Forces. In addition to the considerable increase of the US contribution, European countries should also contribute more to Afghanistan, Aaviksoo said.
Aaviksoo: Deployment of Rapid Reaction Forces Must be Discussed
12 November - Taking part in the Nordic and Baltic defence ministers' meeting on Bornholm, Denmark, Estonian Defence Minister Jaak Aaviksoo stressed the need to initiate a serious discussion over the deployment of rapid reaction forces.
The meeting mainly discussed the future of NATO rapid reaction forces and of European Union battle groups, and contribution to the Nordic Battle Group in 2011 as well as to foreign missions in Afghanistan, Kosovo and Chad.
Aaviksoo said Estonia highly appreciated the experience of the Nordic battle group and intended to take part in the rotation of the battle group in 2011. "At the same time, we see the need for a serious discussion concerning real deployment of properly formed and trained battle groups," the defence minister said.
Aaviksoo said that it was clear that co-operation between the Nordic and Baltic countries would widen and deepen in the near future. "The Nordic-Baltic initiative, within the framework of which Ukraine and the Western Balkan countries are assisted in the reform of their security sectors, is a good example of successful co-operation," Aaviksoo said.
Estonia, together with Sweden, Finland, Norway and Ireland, took part in the Nordic Battle Group together with Sweden, Finland, Norway and Ireland. Estonia contributed to the battle group a staff defence platoon formed on the basis of the paramilitary Defence League, a close protection team and staff officers, up to 55 soldiers in all.
The Nordic and Baltic countries' defence ministers also met with Ukrainian Defence Minister Yuri Yekhanurov with whom they discussed the general security situation in the Euro-Atlantic region, Ukraine's movement towards the NATO membership action plan (MAP) and development of Ukraine's defence reforms.
Meetings of the Nordic and Baltic countries' defence ministers take place once a year since the fall of 2003.
Estonian Defence Forces Marked 90th Anniversary
17 November - The 90th anniversary of the Estonian Defence Forces was scheduled to be marked with a festive line-up in front of the building of the General Staff on Monday.
In the evening the chairman of the supervisory board of the Foundation for the Promotion of National Defence, Toomas Luman, will give honours to the winners of the Officer of the Year and Warrant Officer of the Year titles as part of a reception of the Defence Forces at the House of the Blackheads in Tallinn.
Also on Monday evening, the commander of the Defence Forces will host a dinner for outstanding members of the military community, spokespeople for the General Staff said.
In the course of the week some units and branches of the armed forces will mark their individual anniversaries.
The anniversary of the Navy will be marked with a festive line-up at the Naval Base on Friday, 21 November. On the same day the 90th anniversary of the formation of the Signals Battalion, the training unit for staff and signals personnel, will be marked.
On 16 November 1918 the provisional government of Estonia decided to form a volunteer force to defend the fledgling republic. Simultaneously a compulsory mobilisation of military officers, doctors and military officials was announced. The decision was the first ever order issued to the Defence Forces of independent Estonia.
ECONOMIC NEWS
Currency Rates in Kroons
(Bank of Estonia)
Estonia Ratifies EEA Membership Agreement for Bulgaria, Romania
12 November - The Estonian parliament adopted a law on Wednesday that ratifies the agreement on the membership of Bulgaria and Romania in the European Economic Area (EEA).
The agreement was signed on July 25 last year and it is implemented on an ad-interim basis since the start of August that year.
The parties to the EEA agreement at this point are the European Community, the 27 member states of the European Union, and Norway, Iceland, and Liechtenstein.
The EEA agreement deals with the free movement of goods, services, capital and individuals, as well as with matters related to exemption from taxes.
Estonia and German State Sign Economic Co-operation Agreement
12 November - Estonia and the German state of Baden-Wurttemberg signed an agreement aimed to intensify economic co-operation.
Baden-Wurttemberg ranks among leaders in Europe by the number of patents registered per resident, by the percentage of work force in high tech jobs, and the size of investments in research and development.
Trade between Baden-Wurttemberg and Estonia has almost tripled over the past seven years -- from 100 million kroons (EUR 6.4 mln) in 2000 to more than 275 million kroons in 2007.
Exports from Baden-Wurttemberg to Estonia grew by 21.3 percent year on year while Estonia's exports to the German state increased by 50 percent.
Exports by Baden-Wurttemberg to Estonia are made up mostly of products of mechanical engineering, while imports consist mostly of wood, wood products and textiles.
Tallink Seventh in World for Duty-free and Travel Retail Sales
18 November - An updated company presentation to investors by the Estonian shipper Tallink Grupp refers to a study according to which the company ranks seventh in the world in terms of duty-free and travel retail sales.
Tallink is the only shipping company among 11 leading duty-free and travel retail businesses covered by the Generation Research study, all the rest being airport shops.
In the business year that ended in August, the turnover of Tallink's restaurants and shops was 390 million euros, accounting for nearly half of total revenues.
Playtech's Quarterly Revenue Up by 67 Pct on Year
12 November - Playtech, the developer of online games and operator of gaming environments whose development operations are based in the Estonian city of Tartu, has posted revenues of 28.5 million euros for the third quarter of this year.
The figure marks an increase of 67 percent over the same period a year ago.
Revenues of the casino sphere grew by 69 percent on year to 20.6 million euros and revenues of the poker sphere by 60 percent to 7.6 million euros.
Revenues in the nine months surged 78 percent to 80.1 million euros. The share of Europe in revenues was 69 percent and of Asia 25 percent.
The company observed that revenue growth remained strong also in October.
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