1. Story of Estonian miracle MART LAAR
BE OPEN!
Story of Estonian miracle
MART LAAR

2. THIS COUNTRY IS CALLED ESTONIA

3. On the border of East and West

5. The reality in 1992

6. Estonia 1992 INFLATION – 1000% ECONOMY – FALLING 30%
UNEMPLOYMENT PROGNOSES – 30%
DEPENDENCE FROM RUSSIA – 92% FROM TRADE
FOOD RATIONED
HIGH INEQUALITY AND POVERTY

7. WE MUST AIM HIGH!

8. THE TAX REVOLUTION – FLAT RATE PROPORTIONAL INCOME TAX
THE MODEL OF SUCCESS
MONETARY REFORM
THE RULE OF LAW
LIBERALIZATION
PRIVATIZATION
THE TAX REVOLUTION – FLAT RATE PROPORTIONAL INCOME TAX
Lot of analysts have asked, what is behind this success, what is the secret of “Estonian way”.
Answer to this question is quite simple. First - if You start with reforms, then move fast and be decisive, don’t waste time. At the same time reforms must be simple and passed in all areas of life, starting from the politics - constitution, democratic institutions, governments - and then moving to economy.
Don’t be afraid - if You are doing right thing - everebody turns against You. But if You have done right thing, You will come back. So don’t waste Your time.
Allways look for real owners, launch privatization openly and fight down corruption. Don’t support enterprises, who are not interested to support themselves.
Be open, create good conditions for business and foreign investments. But always think with Your own head, because some advice, what You can get is not very reasonable.
Because You must turn Your disadvantages to advantages, take use of Your backwardness. This idea was behind German miracle and growth of Japan.

9. NO AID, MORE TRADE!

10. ABOLISH CUSTOM TARIFFS FREE TRADE AGREEMENTS WITH NORDIC COUNTRIES
BE OPEN!
ABOLISH CUSTOM TARIFFS
FREE TRADE AGREEMENTS WITH NORDIC COUNTRIES
FREE TRADE BETWEEN THE BALTIC COUNTRIES
FREE TRADE TREATY WITH EU
Lot of analysts have asked, what is behind this success, what is the secret of “Estonian way”.
Answer to this question is quite simple. First - if You start with reforms, then move fast and be decisive, don’t waste time. At the same time reforms must be simple and passed in all areas of life, starting from the politics - constitution, democratic institutions, governments - and then moving to economy.
Don’t be afraid - if You are doing right thing - everebody turns against You. But if You have done right thing, You will come back. So don’t waste Your time.
Allways look for real owners, launch privatization openly and fight down corruption. Don’t support enterprises, who are not interested to support themselves.
Be open, create good conditions for business and foreign investments. But always think with Your own head, because some advice, what You can get is not very reasonable.
Because You must turn Your disadvantages to advantages, take use of Your backwardness. This idea was behind German miracle and growth of Japan.

11. Estonia today

12. Index of economic freedom

13. FAST GROWTH – 11% IN 2006 FAST GROWTH OF EXPORT LOW UNEMPLOYMENT
ESTONIA 2007
FAST GROWTH – 11% IN 2006
FAST GROWTH OF EXPORT
LOW UNEMPLOYMENT
BALANCED BUDGET
FOREIGN INVESTMENTS

14. GDP PER CAPITA IN PPP

15. HIGHER SOCIAL SECURITY

16. Just do it!