Estonia’s economy will contract 8% in 2020 because of the coronavirus (COVID-19) outbreak, the Baltic state’s finance ministry said on April 1.
The ministry thus updated its previous forecast, which said the economy would contract 3% this year.
“The forecast has been updated with the impact of the economic environment and restrictions of movement, but does not include government measures," said Finance Minister Martin Helme said in a statement.
"The aim of the state is to reduce the economic downturn in the forecast by contributing to the economy in the form of various support measures. We are working to launch the measures as soon as possible,” the minister added.
Estonia has been battling the epidemic since February 26 with close to 800 cases to date, including five deaths.
Tallinn has prepared a €2bn – equivalent to 7% of GDP – programme to ease the impact of coronavirus on the 1.1mn-strong Eurozone economy.
According to Estonia’s central bank Eesti Pank, GDP will fall 6% this year, while Swedbank predicts a contraction of 5%.
Related Articles
Poland’s Orlen signs deal to supply Ukraine with LNG
Ukraine’s Naftogaz will purchase 100mn cubic metres of LNG from Poland’s Orlen, Ukraine’s biggest state-owned energy firm announced on March 7. The LNG will be transported from cargoes ... more
Swedbank Estonia CEO says Lithuania's bank taxes spooked investors' and foreign banks’ interest
Olavi Lepp, CEO of Swedbank’s Estonian branch, stated that Lithuania’s recently imposed temporary bank solidarity levy has dampened interest among new banks and foreign investors in the ... more
Citadele Bank profit in Baltics in H1 plummets 21% y/y to €50.9mn
Citadele, a pan-Baltic bank, reported a 21% decrease in net profit for the first half of 2024, totalling €50.9 million compared to €64.5 million in the same period last year, BNS, a Baltic ... more
Most Read
-
Serbian biotech Dren Bio sold to Sanofi for $1.9bn
1 month ago
-
Indonesia expands military role in government, protesters clash with police in Jakarta
1 month ago
-
US sets six conditions for Iran talks in Trump letter to Supreme Leader
1 month ago
-
Zero pressure from US as Imamoglu protesters warn Erdogan snuffing out last remnants of Turkey’s democracy
30 days ago
-
Is Ukraine heading towards Finlandisation?
30 days ago