European Commission to restore Enterprise Estonia funding

TALLINN -- The European Commission has said that it will restore funding to Enterprise Estonia, which lost EU support after an audit last year.

Funding for the organization had been provided from the state budget after the EU cut off its support following an unfavorable audit of eight projects. 

Agency spokesman Jurg Samel told ERR national news agency that funding was being restored after Enterprise Estonia improved its management and control systems, as per recommendations made by the EC.

The budget for 2011 is 201.5 million euros -- similar to the amount that the organization helped distribute in 2010. Around 25% of the EU's structural funds for Estonia are handled by the organization. 

Enterprise Estonia (EAS), established in 2000, promotes business and regional development in Estonia. It is one of the largest institutions within the national support system for entrepreneurship, providing financial assistance, advisory, cooperation opportunities and training for entrepreneurs, research establishments, public and third sector.