Today, the Riigikogu passed the State Budget for 2025 Act, which comprises EUR 17.7 billion in revenues and EUR 18.2 billion in expenditures.

56 members of the Riigikogu voted in favour and 29 against passing the State Budget for 2025 Act (513 SE), initiated by the Government.

Compared to this year’s budget, revenues will grow by EUR 0.9 billion or 5.8 % and expenditure by EUR 0.7 billion or 3.9 %. The budget foresees EUR 1.9 billion in investments and investment grants.

Military defence expenditure will be 3.3 % of the GDP. Investments are planned into defence industry, ICT, construction of Rail Baltica, roadworks, supporting the renovation of buildings, promoting the introduction of renewable energy, and renovating the Art Hall and the National Library. There is also an increase in the average old-age pension and in allowances for children and working aged people with a profound disability, as well as continued financing for transitioning to Estonian-medium education.

According to the Act, the tax burden in 2025 will be 35.8% of the GDP. The general government deficit remains at the level of three percent of GDP, which fulfils the Maastricht budget balance rule.

With the State Budget for 2025 Act, the Government set the goal of assuring the security of the people and the country, cleaning up public finances, and ensuring sustainable economic growth.

Riigikogu Press Service
Gunnar Paal
+372 631 6351, +372 5190 2837
[email protected]
Questions: [email protected]