Member access

4-Traders Homepage  >  News


Latest NewsCompaniesMarketsEconomy & ForexCommoditiesHot NewsMost Read NewsRecomm.Business LeadersVideosCalendar 

Estonia to Run Budget Deficit Due Worsening European Economy

04/26/2012 | 01:20pm US/Eastern

Estonia, the euro zone's newest member, said Thursday it will run a budget deficit in 2012 as a worsening European economy curbs revenues.

The shortfall will be 0.5% of gross domestic product this year, the government said in a budget strategy approved at its weekly meeting in the capital Tallinn. The plan foresees a surplus of 0.1% of GDP in 2013 with annual increases to a 1% surplus in 2016.

Estonia became the 17th member of the euro zone on Jan. 1, 2011, amid the region's sovereign debt crisis that has seen Greece, Portugal and Ireland bailed out by the European Union and International Monetary Fund. The currency zone's economy contracted 0.3% in the fourth quarter as governments raised taxes and cut spending.

The EU economy will stagnate this year, the European Commission said in February. Already the U.K., Greece, Italy, Portugal, Ireland, Belgium, Denmark, The Netherlands, Czech Republic and Slovenia are in recession, defined as two consecutive quarters of economic contraction.

Finance Minister Juergen Ligi told a news conference the crisis in Europe meant Estonia won't meet earlier expectations of budget surplus this year. The country had a surplus of 1% of GDP last year and public debt of 6%, among the lowest among the 27-member European Union.

The ministry cut this month its estimate for 2012 economic growth, to 1.7% from a previous 3% forecast.

Finance Ministry:

-By Liis Kangsepp, Dow Jones Newswires; +46 8 545 131 01;

Latest news
Date Title
<1m ago NOSTRUM OIL & GAS : Beats Production Target, Increases Cash Position
<1m ago SOUTHERN : Georgia Research into Predator Control Helps Rare Oystercatchers
1m ago IFC FINANCE : World Bank Group’s Enterprise Survey Shows Scope for Reforms to Promote Private Sector Development in Myanmar
1m ago SOLARWORLD : expands production capacity in the USA (DGAP News)
1m ago NASDAQ OMX BALTIC NASDAQ OMX TALLINN : Capitalia Bonds to be Listed on Nasdaq Baltic Market
1m ago PROMINVESTBANK : plans to increase its share capital
1m ago ÐURO ÐAKOVIC DD : Stock exchange announcement 30 10 2014
1m ago ASICS : President andCEO Motoi Oyama to be conferred with Netherlands Honor - ‘Officer in the Order of Oranje-Nassau’
2m agoDJWho Wins In Asia From Cheaper Oil? -- Barron's Asia
2m ago TF1 : group finalises the sale of OneCast
Latest news
Hot News 
1SPATIAL : Interim Results for the six month period ended 31 July 2014
DEUTSCHE LUFTHANSA : Lufthansa cuts 2015 forecast on global economic slowdown
ABERTIS INFRAESTRUCTURAS : Application work of protective coatings
IOMART : Notice of Results
SCHWEIZERISCHE NATIONALBANK : Interim results of the Swiss National Bank as at 30 September 2014
Most Read News
1d ago CHINA MENGNIU DAIRY : Mengniu and Danone Strengthen Strategic Alliance as Danone Subscribes to a Private Placement by Yashili
1d ago ENERGEN : tops Street 3Q forecasts
1d ago Hiring business drives LinkedIn's revenue beat
1d ago FLUOR NEW : ICA Fluor Awarded Fabrication Contract for Shell’s Heavy Oil Extraction Project in Canada
46m ago Starbucks Americas sales disappoint on softer traffic
Most recommended articles
2m agoDJWho Wins In Asia From Cheaper Oil? -- Barron's Asia
2m agoDJUK to Pay Off Part of Debt Issued to Finance Role in First World War
4m agoDJFrench Consumer Spending Drops in September
4m agoDJFrench September PPI Up 0.5%
5m ago ECB's Nowotny says never say never on QE, but not now - CNBC
Dynamic quotes