The parties found a common understanding on electricity market reform and energy support, family allowances and the transition to Estonian-language education.
In Estonia, the Reform Party, the Social Democratic Party and the Fatherland Party reached an agreement on Friday to form a new coalition government. The parties found a common understanding on electricity market reform and energy support, family allowances and the transition to Estonian-language education.
– The negotiations proved the cliché saying true: politics is the art of making compromises, President Alar Karis commented on the agreement in his press release.
The president’s press release said that according to the constitution, the government should resign and parliament should meet to decide whether to accept the new government.
– Due to the challenges facing Estonia, we cannot just let time pass. Estonia will have new ministers, who must quickly start working so that our nation can survive the inflation and energy prices expected in the fall and winter. The European security crisis started by Russia is still very tight, Karis said.
Inflation is rising rapidly in Estonia
In the Eurozone, inflation rises the fastest in Estonia. Eurozone inflation rose in June to 8.6 percent compared to a year ago, according to the EU statistical authority Eurostat, while in Estonia the inflation rate was 22 percent compared to a year ago.
The rise in consumer prices has been influenced by the sharp rise in the price of energy after Russia invaded Ukraine in February. Estonia has taken a stronger stance against Russian energy than many other European Union countries, which has contributed to energy prices.
Transition to Estonian-language education
According to ERR, the agreed educational transition is supposed to start in kindergartens and elementary school lower classes in 2024. With the reform, teaching in Russian-speaking kindergartens and schools would change to Estonian. Estonia has a large Russian-speaking minority.
Leader of the Social Democratic Party Lauri Läänemets said, according to ERR, that there may still be changes to the transition period for Estonian-language education.
Chairman of the Fatherland Party Helir-Valdor Seeder said on Friday, according to ERR, that although the parties have found an agreement on the main issues, the negotiations are still continuing.
Current Prime Minister Kaja Kallas submits his resignation to the parliament, after which the president appoints him as the new prime minister candidate. After this, Kallas will give a speech to the Estonian Parliament, or the Riigikogu, about the new government, after which the Riigikogu must approve the new government’s mandate. Finally, the new government is presented to the president.