OECD forecasts 1.5 pct economic growth for Estonia this year

  • 2025-06-03
  • BNS/TBT Staff

TALLINN - The Organization for Economic Co-operation and Development (OECD) expects Estonia's economy to grow by 1.5 percent in 2025 and by 2 percent in 2026, according to its latest global economic outlook.

The recovery is projected to be driven by rising consumption and increased investment supported by European Union funds. However, the OECD warns that risks remain, including developments in foreign trade and regional geopolitical tensions.

Inflation is expected to accelerate in July due to tax increases but should then continue at a more moderate pace. The OECD forecasts Estonia's inflation at 4.2 percent for this year and 2.3 percent in 2026.