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Estonian Review: January 24-30, 2005

03.02.2005

TOP NEWS
FOREIGN NEWS
DEFENCE NEWS
ECONOMIC NEWS
CULTURAL NEWS



TOP NEWS

Estonia in favour of an independent Palestine - Foreign Minister

Jan 25
- Kristiina Ojuland, the first ever Estonian Foreign Minister to pay an official visit to Egypt, discussed international problems with her Egyptian colleague Ahmed Aboul Gheit and confirmed Estonia's support for an independent state of Palestine.
Ojuland said the whole world, including Estonia, was paying more and more attention to the Middle East. "Egypt is the biggest Arab country and there are several important arguments in favour of a visit to this country," Ojuland said. " Egypt is a key partner for the European Union in achieving political, economic and social stability in the Middle East," she said.
"Estonia and Egypt are both located at the crossroads of different cultures and religions. If Estonia is a bridge between the western and eastern cultures, then Egypt is a connecting link between the South and the North," the Estonian Minister said.
The two ministers discussed at length how to continue the Middle East Peace Process. The Egyptian Minister said that the aim would have to be defined first. "Once we have a vision, it is possible to concentrate our efforts," Gheit said.
Ojuland confirmed that Estonia favoured the Two State solution. "We see Palestine as an independent and viable country side by side with Israel," Ojuland said. At the same time Ojuland underlined the importance of sticking to the Middle East Roadmap. "We have reason for moderate optimism that the election of Mahmoud Abbas as President will bring the two parties back to the negotiating table," she stated. "In the recent elections the people of Palestine showed their dedication to democracy and the new President now has the chance of creating the foundations for the future of the state of Palestine."
In the opinion of the Egyptian Foreign Minister, it would be possible to carry out the Two State solution in the next few years. "Egypt feels that it is now obliged to work in the name of that solution and is ready to do it together with all parties," Gheit underlined.
The Ministers exchanged ideas about the situation in Iraq and Sudan, and discussed issues connected with the UN Security Council reform. The two Ministers also examined the EU Barcelona process, expressing the hope that it would give a new impetus to co-operation between the EU and Mediterranean countries as well as dialogue between cultures.
Ojuland and Gheit found that relations between the two countries were good, but there was still a lot of room for development in the sphere of political, economic and cultural relations.
To deepen bilateral relations, Estonia is planning to appoint a non-resident Ambassador to Egypt in the next few months.
Ojuland invited her Egyptian colleague to a reciprocal visit to Estonia. "I will come with pleasure, but only in July," Gheit said. "I do not like the cold."


Estonia to increase participation in EU's Nordic battle group

Jan 28
- Estonia is going to participate in the European Union's Nordic battle group on a wider scale than initially planned.
Prime Minister Juhan Parts, on a visit to Stockholm, accepted his Swedish counterpart Goran Persson's invitation for Estonia to increase its participation in the EU's Nordic battle group.
Whereas in November Estonia decided to post staff officers to the Nordic battle group then now the talk is of contributing a unit whose size will be agreed upon by the Defence Forces.
Persson tendered the invitation on behalf of Sweden, Finland and Norway, Sweden being the lead country of the Nordic battle group. Norway, although not belonging to the EU, has decided to join the scheme.
Estonia's Baltic neighbours Latvia and Lithuania belong to the same group as Poland, Germany and Slovakia.
The Swedish Head of Government briefed his Estonian counterpart about inquiries concerning the transportation of military equipment aboard the ferry Estonia. Sweden is ready to co-operate with Estonian authorities if the Baltic State launches an investigation.
Parts told the Swedish Premier Estonia intends to set up an ad hoc parliamentary commission for this purpose. He voiced the opinion that such a commission would be the best way for Estonia to look into the matter and thanked Sweden for its readiness for constructive co-operation.
The Prime Ministers stated that there is at present no information about a connection between the sinking of the Estonia in 1994 and the carriage of military hardware.
Speaking about Ukraine, Parts and Persson agreed that Europe must support the country's aspirations. Parts briefed his Swedish counterpart of recent developments in the Estonian-Russian relations, including President Arnold Rüütel's meeting with the Russian Head of State, Vladimir Putin.


Parts, Kukan: EU must give clear signals to Ukraine

Jan 27
- Estonian Prime Minister Juhan Parts and Slovakian Foreign Minister Eduard Kukan expressed support to Ukraine's path towards the EU and appealed to the EU to encourage it.
Speaking about the two countries' relations, both Parts and Kukan said that they were good. Both found that the economic contacts were strengthening above all thanks to tourism.
Parts is expecting Prime Minister Mikulas Dzurinda for a visit at the end of March, when Slovakia and Estonia meet for a football match in Tallinn. Parts on his part is ready to go to Slovakia in the fall, when the Estonian team is playing there.
Kukan also met with the Chairman of the Riigikogu Ene Ergma to discuss issues connected with the EU constitutional treaty. Slovakia is planning to ratify the treaty in parliament. Kukan referred to the EU membership referendum that took place before accession and that it was not regarded as necessary to hold a new referendum. The treaty should be ratified in the Slovakian parliament in the first half of this year.
Ergma explained that Estonia was also planning on ratifying the constitutional treaty in parliament.



FOREIGN NEWS

Estonia and Egypt Ready to Develop Co-operation in Several Fields

Jan 26
- Foreign Minister Kristiina Ojuland continued her official visit in Egypt meeting with Minister of International Co-operation Fayza Abu El Naga and Chairman of the International Relations Committee of the Egyptian Parliament Mostafa El Feky.
The Egyptian Co-operation Minister gave the Estonian side an overview of the reforms of the tax and customs systems being carried out with the support of the International Monetary Fund. She stated that the Estonian experience in that field would be of great help to Egypt. “I highly value the pace at which Estonia has carried out the reforms,” the Co-operation Minister noted. “At the same time it is easier for a small ship to turn round, since a bigger ship will take considerably more time for manoeuvring,” she said.
The Ministers also exchanged ideas on the tightening of bilateral co-operation and found that the realisation of some concrete project would surely give a strong impetus to the further development of relations between Estonia and Egypt. The Egyptian Co-operation Minister noted that they are very interested in Estonia's e-government experience. “In bilateral co-operation we should indeed concentrate on what is beneficial for both sides,” Foreign Minister Ojuland noted and confirmed that Estonia is in all respects prepared to share its knowledge in the field of information technology with Egypt. The Ministers also discussed the possibility of bringing Egyptian specialists to Estonia for training. Getting more specific, the Co-operation Minister spoke about Egypt being very interested in finding a computer solution for a small Egyptian village with the help of Estonia. Foreign Minister Ojuland liked the idea and she promised to study the possibilities.
Speaking about business contacts between the two countries the Co-operation Minister called on Estonian entrepreneurs to look more boldly towards investment possibilities in Egypt, especially in the fields of information technology and telecommunications. ”Egypt is a very big market and from here it is possible to move on into other regions,” she said, expressing hope that Africa could become a new horizon for Estonian businesses.
In the course of the visit the Foreign Minister also met with Chairman of the International Relations Committee of the Egyptian Parliament Mostafa El Feky with whom problems connected to the Middle-East peace process were discussed. “In this respect, we anticipate closer co-operation with the European partners and a bigger role for the European Union in finding a solution to the Middle-East conflict,” the Parliamentarian remarked. “We have grounds for measured optimism that the Middle-East peace process will go on,” the Estonian Foreign Minister confirmed once more.
Foreign Minister Kristiina Ojuland also visited the Egyptian port city of Alexandria and met with Traugott Shoefhaler, Director of the Anna Lindh Foundation for the Dialogue between Cultures. The Director of the Foundation informed the Estonian side that practically everything is ready for the opening of the Foundation on 20 April this year, except for some preparations. He added that the first projects have been launched already. The Foreign Minister proposed that Estonia could develop co-operation with the Foundation in the field of education. “We are ready to share our experience in the sphere of the Tiger Leap project for instance,” she said. Shoefhaler was very much interested in the exchange of Estonian musicians and artists.


Estonia and Tunisia signed a Co-operation Agreement in the Field of Culture, Education, Research and Sports

Jan 27
- Secretary General of the Foreign Ministry Priit Kolbre met with Tunisian Foreign Ministry State Secretary in charge of European Affairs Mohamed Hatem Ben Salem, who was on a visit to Estonia. At the end of the meeting, the parties signed a Co-operation Agreement in the Field of Culture, Education, Research and Sports between the Governments of Estonia and Tunisia.
At the beginning of the meeting, Secretary General Kolbre recognised that ensuing from the accession to the European Union new multilateral co-operation possibilities have opened up for Estonia, including the development of relations with Tunisia. "It has for a long time seemed to Estonia that the states of North Africa are somewhere very far away from us, but it is not so any more," the Secretary General said, adding that the recent disaster in Southeast and South Asia also proved how small and how interconnected the world really is.
The State Secretary agreed, adding that in such circumstances the strategic partnership and fruitful co-operation at all levels between the Mediterranean countries and the European Union is of utmost importance. "We have common threats and for that reason we should have common positions as well for the fight against them," he said, concerned about the proliferation of terrorism and extremism, as well as poverty reigning in a many regions.
The parties discussed in detail the strategic partnership of the European Union with the countries of the Mediterranean and Middle East region. They went on to discuss the Barcelona process and the role of the European Union Neighbourhood Policy in the creation of a common zone of peace and prosperity, and in ensuring stability in that region. "Although situated in the northern part of the EU, we consider the Barcelona process important and hope that the European Neighbourhood Policy will give a new impetus to co-operation between the EU and the Mediterranean," Secretary General Kolbre noted. "It is very important to develop a constructive dialogue, which will contribute to the establishment of the common interests and goals of the both parties," he added.
The Tunisian State Secretary spoke of the Action Plan drafted for Tunisia in the framework of the European Neighbourhood Policy in the autumn last year. He affirmed that Tunisia hopes to be the first among the Mediterranean countries to implement the plan nationally. It is expected that the Tunisian Action Plan will be approved by the European Union-Tunisia Association Council taking place on 31 January.
The Tunisian State Secretary confirmed that preparations for the UN Summit on the Information Society to take place in November in Tunis have begun. The State Secretary also called on Estonian businessmen to participate in the Summit. "I would like to encourage Estonian entrepreneurs to take part in the international forum, because it would help the businessmen here to find and develop new international contacts," he said.
The meeting ended with the signing of the Co-operation Agreement in the Field of Culture, Education, Research and Sports by the Secretary General and the State Secretary. The purpose of the Agreement is to strengthen friendly relations between Estonia and Tunisia, and to develop relations in the fields of culture, education, research and sports.


Estonian PM urges special EU consideration for Ukraine

Jan 26
- Speaking on the sidelines of the World Economic Forum in Davos, Switzerland, Estonian Prime Minister Juhan Parts urged special EU consideration for Ukraine, saying that it was in the European Union's strategic and moral interest to give an early accession prospect to Ukraine.
"It is extremely important if you're talking about European values and the further expansion of these values," Parts said. "Ukraine is a European country and I think it is a European responsibility to take steps to support those nations who would like to join and who have these values."
Asked whether Europe should support Ukrainian efforts to politically become part of the continent even at the risk of antagonizing Moscow, Parts said that such support was crucial and urged the EU not to close its eyes. Parts said lack of EU support could lead Ukraine back into Moscow's orbit.


Estonian PM underlines need to renew Europe's economic environment

Jan 26
- Estonian Prime Minister Juhan Parts, speaking at the World Economic Forum in Davos, Switzerland, underlined the need to reform the economic environment in the European Union.
Taking the floor in the framework of a panel discussion, Europe 2005, Parts expressed the view that a strong EU economy would be the basis to solving other issues.
Deliberating on the theme of a social model for Europe, the Prime Minister underlined the need for an open discussion with a view of the future. Parts said that a discussion on the issue of the social model was underway also in Estonia -- whether it should resemble Germany or the United States or whether it was necessary to find an individual solution for Estonia.
Parts expressed the view that it was important for a small country with a conservative economic policy such as Estonia to pick a model that targets development and does not create opposition, stratification and conflicts among the people.


Estonian, Latvian Prime Ministers want a speedy start to the Estlink power cable construction

Jan 29
- Estonian Prime Minister Juhan Parts and his Latvian counterpart Aigars Kalvitis agreed at a meeting in Riga that the construction of an undersea power cable between Estonia and Finland should start as soon as possible.
Both Heads of Government found that it is important to deepen bilateral co-operation in the field of energy. Plans are for the 350 megawatt direct current undersea cable, estimated to cost 110 million euros, to be completed by the end of this year. The cable will link a 330 kV substation at Harku near the Estonian capital and a 400 kV substation at Espoo on the southern coast of Finland.
Speaking about regional co-operation, the Prime Ministers agreed that the Estonian-Latvian work group, which started work last year has successfully continued its activity in the joint planning of common areas of the Gulf of Riga and the Valga-Valka border area.


Estonia appoints new Ambassador to Morocco

Jan 26
- Estonian President Arnold Rüütel named Andres Rundu the Estonian Ambassador to Morocco. The President also recalled the present Ambassador to Morocco Andres Tomasberg. Andres Rundu is also Estonia's Ambassador to Spain and Andorra, resigning in Madrid.


Estonia's Herkel becomes PACE Belarus subcommittee Chairman

Jan 26
- Andres Herkel, a member of the Estonian delegation to the Parliamentary Assembly of the Council of Europe (PACE), was elected Chairman of the Belarus subcommittee of the PACE political committee.
The aim of the subcommittee is to monitor developments in Belarus and to look for opportunities for the protection of human rights and democratic values in that country.
Herkel is also the PACE co-rapporteur on Azerbaijan.



DEFENCE NEWS

Estonia sends arms and ammunition to Iraq

Jan 27
- A transport aircraft carrying arms and ammunition that Estonia is giving to the Iraqi Interior Ministry took off from the Tallinn airport.
Responding to a request by the Iraqi interim government and the United Nations Security Council decision on assistance to the construction of Iraqi security forces with training and equipment, Estonia decided to donated 2 400 AK 56-2 automatic rifles and 1.1 million rounds of ammunition to Iraq. The arms and ammunition were sent to the Iraqi security forces in the framework of the NATO training mission.



ECONOMIC NEWS

Estonia's trade gap narrows by 19 million EUR in November

Jan 25
- Estonia's foreign trade deficit decreased by 0.3 billion kroons (EUR 19 mln) month on month to stand at 3.4 billion kroons in November.
Exports in November amounted to 7.1 billion kroons and imports to 10.5 billion kroons. Exports increased by two per cent since October and 19 per cent in comparison to November 2003. 78 per cent of exports went to the European Union and 11 per cent to the CIS.
Estonia's imports in November decreased by one per cent since October, and increased 37 per cent compared to November 2003. EU countries accounted for 72 per cent of imports, while CIS members accounted for 11 per cent.


Special government commission to co-ordinate transition to euro in Estonia

Jan 27
- The Estonian Government set up a commission of high-ranking officials to help ensure a smooth transition to the EU's common currency, the euro.
The commission will co-ordinate preparations for the switch to the euro, plan the necessary administrative and legal measures as well as activities required for the transition to the euro.
Estonia has declared it wishes to adopt the euro from 1 January 2007 at the latest. The country intends to be ready for the adoption of the common EU currency already by mid-2006.


5 240 new businesses registered in Estonia in 2004

Jan 28
- 5 240 new businesses and 1 992 non-profit organisations were registered in Estonia in 2004. As of 1 January 2005, the Estonian business register contained the names of 90 026 businesses.
21 830 companies were sole ownership operators based mostly in agriculture, hunting and forestry.
Private limited companies made up 66 per cent of all businesses and public limited companies, seven per cent.


Retail sale of goods up 15.6 per cent on the year in Estonia

Jan 28
- The retail sale of goods in Estonia in 2004 grew by 15.6 per cent to reach 39.26 billion kroons (2.5 billion EUR).
Retail sales in December totalled 4.01 billion kroons, an improvement of 20.3 per cent compared to November and 18.8 per cent compared to December 2003.


Currency Rates in Kroons
January 30, 2005

British pound - GBP - 22.628
Canadian dollar - CAD - 9.677
Swiss franc - CHF - 10.124
Danish krone - DKK - 2.103
Japanese yen - JPY - 0.116
Latvian lat - LVL - 22.479
Lithuanian lit - LTL - 4.532
Norwegian krone - NOK - 1.898
Russian rouble - RUB - 0.427
Swedish krona - SEK - 1.722
US dollar - USD - 12.000
Euro - EUR - 15.646


CULTURAL NEWS

OpeNBaroque opens in Tallinn

Jan 28
- The opeNBaroque festival, created by the Estonian early music ensemble Hortus Musicus and its leader Andres Mustonen in 1989, opened its 2005 version.
This year concerts will be held in Tallinn, Tartu and Pärnu. Performers will include The King's Singers (Great Britain), Monica Huggett, an English Baroque violinist and conductor, who became famous for her recordings of Bach's cantatas, the Sonnerie Ensemble, Ian Honeyman, an English tenor, actor and pianist, Aapo Häkkinen, a Finnish harpsichordist, the Néapolis Ensemble, known as performers of 16th-18th century Neapolitan baroque, Scandinavian singers Susanne Rydén and Mikael Bellini, the Estonian Philharmonic Chamber Choir, conducted by Paul Hillier, in cooperation with the British ensemble "His Majesty's Cornetts and Sagbutts", the mixed choir Latvija, the Estonian National Symphony Orchestra, the Estonian National Male Choir among others. The festival will take place until 6 February 2005.





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