TALLINN – In his annual speech about the government's European Union policy in parliament on Tuesday, Estonian Prime Minister Kristen Michal stressed the need to decisively increase Europe's defense readiness and competitiveness, support Ukraine until victory and EU membership, and preserve Europe's unity and the spirit of cooperation
The premier began his speech with a quote from Jacques Delors, head of the European Commission in 1985-1995, from the days of the fall of the Berlin Wall: "History is accelerating. We must accelerate as well." "Today, Europe needs the same acceleration," Michal said.
In order not to treat Europe's concerns with cosmetic changes, one must make difficult choices, show political courage and unity, the head of government said.
Michal emphasized that Estonia has been working diligently on its defense readiness and crisis resilience and expects a similar approach from the EU as a whole.
"We need joint actions to kick-start the European defense industry and fill critical capability gaps by acting now. The White Paper on the future of European defense, which will be published within the first 100 days of the new Commission, must include concrete proposals on this. We have proposed the introduction of defense bonds for this purpose. Additionally, access to financing for defense companies must improve. The role of the European Investment Bank as a financier of defense capabilities must grow, and it must be allowed to also fund fully defense-oriented projects," he said.
The prime minister reminded the audience that the outcome of the war in Ukraine will also determine the future of Europe, which is why we must support Ukraine until victory.
"We cannot stop halfway. The victory plan presented by President Zelenskyy contains the elements necessary for victory and for the implementation of Ukraine's ten-point peace plan. Estonia supports this plan. It can be accomplished," Michal said.
According to the premier, we must maintain the ambition and the pace of EU enlargement by supporting the European integration of Ukraine, Moldova and other Europe-minded countries and by honestly drawing the attention of countries that have deviated from European values to the consequences of such steps.
Michal highlighted that 79 percent of Estonia's exports and 87 percent of imports are linked to countries of the European Economic Area, and the functioning of the EU internal market is as important for Estonia as the resumption of our own economic growth.
"With the same determination we showed in the EU when addressing COVID, the energy crisis, and supporting Ukraine, we must now find and implement agreements to enhance Europe's economic competitiveness," he said.
Estonia's four main goals are a simple and efficient business environment in the internal market, equal opportunities for businesses regardless of their home country's wealth, the development of clean technologies, and the cross-border infrastructure, without which the single market cannot function.
He added that effective solutions tested in Estonia's business environment should also be brought to the EU level, such as digital identity was in the past. According to Michal, green technologies should also be transformed into a source of growth and competitiveness in order to achieve climate neutrality in a way advantageous for the economy.
The premier also touched upon infrastructure projects that are important for our region, such as the synchronization of the Baltic states' electricity systems with those of continental Europe, the creation of new energy connections between Estonia and Finland and Estonia and Latvia, and Rail Baltic.
According to Michal, Rail Baltic became a real construction project this year, and by the end of the year more than 70 kilometers of the main line will be under construction in Estonia.
"The important thing is to have trains running between Tallinn and Warsaw by 2030," he said.
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