Estonia, EU – Baltic States, Investments, Legislation, Markets and Companies

"Estonia undoubtedly has challenges, which may hinder the interest of foreign investors - the most important of which are the reduction in working-age population and restriction on recruiting foreign workforce and the price of electric energy, which is higher in Estonia compared to the Nordic countries," CEO of Enterprise Estonia Alo Ivask said in a press release.

Chief of the foreign investment division Allan Selirand said that approximately 40% of companies in the information and communications technology (ICT), industry and energy, construction and the creative industry sector have or are prepared to recruit foreign workforce. "We must take into account that in terms of foreign investments we are competing with other countries, which means that the national tax and workforce policy sends a very strong message to potential foreign investors," Selirand said.

Selirand said that the visits of business delegations and investors to Estonia are important and they make it possible to introduce the Estonian business environment. "Enterprise Estonia next year will receive 100 delegations. In order to ensure that it would be possible for the state to impact the investments to be brought here in the best way possible, it is necessary to own the financial tools from financial support to short-term flexible features," he said.

Topics discussed at the meeting with the parliamentary committee also included supporting the expansion of Estonian businesses on foreign markets. The export volume of businesses supported by Enterprise Estonia totaled 4.5 million euros in 2016 and the revenue of the third quarter of 2017 increased 62 million euros, which marks a 18.7 percent increase compared to the same period the year before.

Chief of the development division Tanel Rebane said that the aim of Enterprise Estonia is to map those Estonian companies that are ambitious and have export potential and help them improve their strategy, business model and processes as well as expand to foreign markets. "This takes place through export advisers, contact visits, target market seminars and joint national stands in foreign countries as well as through finding cooperation partners to foreign companies in Estonia," Rebane said.

He added that Estonian companies have clearly said that they need the most help in entering foreign markets. "While companies manage on their own with business models and strategies, then the most support is expected when expanding to foreign markets and finding the right contacts," Rebane said.