War in Ukraine tops Estonia’s challenges, presidential adviser says

Russia’s full-scale war in Ukraine and the weakening of the international order are Estonia’s biggest challenges, Vladimir Svet, an adviser to President Ülle Madise, told ERR’s online programme Otse uudistemajast. He also highlighted people’s economic security and divisions in society.

Svet said domestic and foreign policy could not be separated. He described the challenge as preserving Estonia and Europe as societies want them to be, despite opposition from people who see the world differently.

The war is shaping relations between neighbouring countries and Estonia’s economy, Svet said. Its effects include uncertainty for businesses, the need for infrastructure investment and costs associated with reducing energy dependence on Russia and, more broadly, the former Soviet Union.

At the same time, he said, the war had prompted Europe to wake up. It had helped build consensus on increasing defence spending and sparked debate about how to ensure that the spending also supports the economy. Svet said Estonia had been alert to the threat since Russia annexed Crimea in 2014.

He also noted that Estonia’s economic performance depends in part on its main export markets, including Germany, Sweden and Finland. He called learning to live in a more dangerous world without focusing only on negative outcomes the country’s top challenge.

Svet identified people’s ability to manage financially as another major concern, pointing to the costs families face for children’s activities, getting to work and healthcare. He said the state needed to strengthen people’s economic and social security. He also cited divisions in society as a third challenge.