Estonian women earn 29 pct less money than men

Estonian women’s average monthly gross income was EEK 9,563 and men’s EEK 13,425, which means women earn averagely 29 pct less money, Estonian Statistics announced.

The average monthly gross income per employee was EEK 11,415  in 2007, almost EEK 2,000 higher than a year ago. Compared to the previous year the women’s average monthly gross income increased almost EEK 1,600 and men’s EEK 2,300.

The difference between the average monthly gross income of women and men was the smallest in Tartu county and the biggest in Hiiu county, a year before in Võru and Hiiu counties, respectively.

In counties the average monthly gross income was the highest in Harju and Tartu counties, where the average monthly gross income was bigger than the Estonian average in 2007. The average monthly gross income per employee was bigger in local government units situated near Tallinn. Among the first 15 local government units there were 14 Harju county local government units.

As in the previous year the average monthly gross income of women and men was the highest in Viimsi rural municipality (respectively EEK 14,418 and 21,789) and the lowest in Piirissaare rural municipality (respectively EEK 4,186 and 6,985).

Read further: Estonian women earn 29 pct less money than men

The average monthly gross income increased by a fifth during the year

According to Statistics Estonia, the average monthly gross income per employee was 11,415 kroons in 2007, almost 2,000 kroons higher than a year ago.

In counties the average monthly gross income was the highest in Harju and Tartu counties, where the average monthly gross income was bigger than the Estonian average in 2007. The average monthly gross income per employee was bigger in local government units situated near Tallinn. Among the first 15 local government units there were 14 Harju county local government units.

Last year the females’ average monthly gross income was 9,563 kroons and males’ 13,425 kroons. Compared to the previous year the females’ average monthly gross income increased almost 1,600 kroons and males’ 2,300 kroons. The females’ average monthly gross income was 29% smaller than the males’ average monthly gross income, this indicator did not change significantly compared to the previous year.

The difference between the average monthly gross income of females and males was the smallest in Tartu county and the biggest in Hiiu county, a year before in Võru and Hiiu counties, respectively.

As in the previous year the average monthly gross income of females and males was the highest in Viimsi rural municipality (respectively 14,418 and 21,789 kroons) and the lowest in Piirissaare rural municipality (respectively 4,186 and 6,985 kroons). The difference between the average monthly gross incomes of females and males was the smallest in Nõva rural municipality and the biggest in Lohusuu rural municipality, a year before in Ruhnu and Lavassaare rural municipalities, respectively.

The analysis of the average monthly gross income of Statistics Estonia is based on the data of the Tax and Customs Board. The average monthly gross income per employee is computed as the sum of monthly average payments divided by the number of recipients who have received this payment.

The average monthly gross income of males was larger with respect to all age groups than that of females in all local government units. Higher gross income of males does not mean that men and women who do the same work get paid differently. Based on the data of the Tax and Customs Board we cannot conclude that we have to do with gender discrimination, as no such background data are available.

Gross income — differences by age and sex is one theme in the publication “Linnad ja vallad arvudes. 2008. Cities and Rural Municipalities in Figures”. The publication offers regional statistics and analyses the development of cities and rural municipalities.

Source: Statistics Estonia

2264 people in Estonia’s black list

Currently the list that prohibits entering Estonia contains 2264 people, Õhtuleht reports.

Prohibition of entry is applied for those, who for some reason are unwanted or dangerous to Estonia.

Citizenship and Migration Board noted that basis for prohibition is also being illegally in the country.

“The Ministry of Internal Affairs doesn’t keep a statistics, which state’s citizens there is the most,” Kristina Kareva, press secretary from the Ministry of Internal Affairs said.

Last year the list mostly contained Russian citizens, people with undefined citizenship, Ukraine, Zimbabwe, Armenia, Belorussia and Moldova’s citizens.

Source: BBN

New study shows Estonian taxes in a different light

 A new survey shows that while Estonia is 34th worldwide by time spent on tax-related issues, it is only 122nd in terms of tax burden.

Eesti Päevaleht writes that authors of a joint study of World Bank and PwC noted that while dealing with taxes took relatively little time in Estonia, taxes themselves were surprisingly high.

In terms of tax burden, Estonia was ranked 122nd with 48.6 percent and clearly behind most other European countries. In this aspect Estonia was mainly ahead of African, Asian and Latin-American countries.

This may be surprising, but the study is based not on comparing the tax burden with GDP as tradition, but on comparison of the amount of tax paid with the annual profit of the company. The calculation was based on a hypothetical company that has a profit margin of 20 percent and was founded two years ago.

Read further: New study shows Estonian taxes in a different light

New apartments now cheaper than Soviet-built housing

 Ongoing sales campaigns by Merko, Arco Vara and YIT have driven the price of new apartments to new low.

Äripäev writes that large developer Arco Vara announced yesterday lowered the price of the apartments in Kodukolde housing estate near Tallinn centre to 900,000 kroons or about 34 percent below original price. The total price cut amounts to around 23 million kroons.

Veiko Taevere, head of the development division of Arco Vara, said that he was hopeful that the company will manage to sell all the vacant apartments in the Kodukolde project.

30 to 40 percent discounts on new apartments mean that in some cases they cost less than apartments built before 1991.

For instance NCC Ehitus is offering new apartments in Viimsi for 17,500 kroons a square metre that is about as much as people pay for Soviet-time renovated apartments.

One of Estonia’s largest real estate developers and construction companies Merko announced this week that it has cut prices between 30 and 40 percent for three projects.

Read further: New apartments now cheaper than Soviet-built housing

Mart Laar: delay with eurozone entry cost Estonia dearly

Former Prime Minister Mart Laar believes that the government’s decision not to enter the eurozone in 2007 had a high price for Estonia.

Laar who attended a TV show for former PMs said that the mistake was to consider that economic growth was more important than reducing inflation and ensuring that Estonia is accepted to the eurozone.

Speaking of the future, Laar said that he expected problems to pile up. “If the government earnestly wants to achieve eurozone-capacity by 2011, it will be very painful.”

Also another PM and current vice president of the European Commission Siim Kallas admitted that Estonia was very close to entering the eurozone in 2007 and that it was a mistake not to push for it.

“I have always been in favour of speeding up the eurozone entry, but a question is what the government could have done at those times when Estonia still have a budget surplus,” said Kallas.

Third former PM Juhan Parts said that the eurozone issue is a huge political topic, but suggested to focus more on the future instead of analyzing mistakes made in the past.

Source: BBN

BBN: SAS pressures government into selling its shares in Estonian Air

 SAS Group that owns 49 percent of Estonian Air is ready to inject more capital into the airline only if it gets the Estonian government’s 34 percent holding.

Äripäev has obtained a copy of a letter signed by Mats Jansson, President and CEO, where SAS Group says that it could participate in a new capital injection in Estonian Air only if the government of Estonia simultaneously sells its shares in the company to SAS.

Jansson said in his letter that he found recent statements made by the Minister of Economic Affairs Juhan Parts about Estonian Air irresponsible and unwise. “In SAS opinion it is very unwise and not consistent with a responsible transportation policy to make statement such as those that have been reported in the media allegedly made by the Minister of Economic Affairs and Communication last Thursday where the word bankruptcy was cited as being used in connection with Estonian Air.

SAS said that Estonian Air was having liquidity problems that need to be solved by the end of this month at the latest.

Estonian Minister of Economic Affairs Juhan Parts told Äripäev that in his opinion the proposal of SAS is not serious. “We are definitely not selling. But I should say something only we have formed an opinion and made a decision,” said Parts.

The government has no plans to discuss the situation of Estonian Air in its today’s session.

Äripäev has received information that the government has discussed the proposal that was made in the letter dated November 17. No outcome is in sight, however, since both Finance Minister Ivari Padar refuses to discuss injecting EEK 300 mln in the airline and Minister of Economic Affairs Juhan Parts says that sale of Estonian Air would be the end of domestic aviation and the time for such a sale is the worst possible.

By some reports, Estonian Air could end this year with a loss of EEK 100 million. It needs 300 million kroons to buy three Bombardier aircrafts.

Source: BBN

Banking sector statistics

see here

The share of overdue loans did not in crease in October

Jaak Tõrs, Head of the Financial Stability Department of Eesti Pank

The volume of the deposits of Estonian households and non-financial enterprises decreased by 240 million kroons, i.e., 0.2% in October. The annual growth rate dropped to 6.3%. Since the culmination of the international financial crisis at the end of September and beginning of October increased also the uncertainty of Estonian depositors for a couple of weeks, banks had to include funds from their foreign parent banks to manage during the temporary decline in domestic deposits. Compared with earlier months, the growth of time deposits has picked up even more. In October, the volume of household time deposits increased by 1.3 billion kroons, so the share of time deposits in total deposits went up to 58%.

In October, the corporate and household loan and leasing stock decreased by 1.07 billion kroons, i.e., 0.4%. The annual growth rate declined to 12%. The reason behind the statistical decrease of the loan portfolio was the reclassification of some large state enterprises to general government agencies. As a result, the volume of loans issued to the general government sector “grew” by 1.4 billion kroons. Leaving aside the change in statistics, the balance of the corporate loan portfolio increased by an estimated 760 million kroons. The balance of household loans and leasing grew by a half less in October compared with previous months – just 290 million kroons. Smaller credit demand has been brought about by diminishing interest in investing due to changes in the economic environment as well as by more cautious attitudes, which have led banks to establish stricter credit conditions.

The share of loans overdue for more than 60 days – an indicator of banks’ loan quality – did not change compared to September, remaining at the level of 2.2%. The growth rate of overdue loans has been slowing since September. This may partly be explained by banks’ more efficient prevention of solvency problems. Loan write-downs grew by 119 million kroons in October with write-downs accounting for 1% of the total loan portfolio. The share of both overdue loans and write-downs was the highest in the real estate and construction sector, and with respect to households, in the consumer credit segment.

In October, the average interest rates on housing loans and long-term corporate loans were 6.22% and 6.99%, respectively. Though the EURIBOR started to decline fast in the middle of October, the cost of financing for banks did not change. This was, in turn, reflected in higher interest margins on loans to customers.

Figure 1. The annual growth of household and corporate loans and leases in Estonia

Figure 2. The volume of corporate and household deposits (EEK million) in Estonia and the annual deposit growth rate

Figure 3. The weighted average interest rate on housing loans and long-term corporate loans issued within a month and the 6-month EURIBOR

The financial sector statistics and release calendar are available on the web site of Eesti Pank at www.bankofestonia.info/pub/en/dokumendid/statistika/pangandusstatistika/tabelid/.

Source: Bank of Estonia

Exports of goods grew due to the re-export of fuels

According to Statistics Estonia, in September this year exports of goods increased by about a quarter in current prices compared to September of the previous year. Nearly half of the increase was caused by the increase of re-export of fuels.

The value of exports of goods was 12.2 billion kroons, which was nominally (not taking into account the price change) 2.3 billion kroons more than in September of the previous year. The growth of exports was mainly caused by the increase in the re-exports of fuels by nearly one billion kroons, as well as by the increase in the exports of metals, machinery and equipment. The growth in exports was also caused by the low comparative indicators last year.

The value of goods imported to Estonia in September was 15.6 billion kroons, which was nominally 1.1 billion kroons more than in September of the previous year. The increase in the imports of fuels by about one billion kroons was the main factor why the value of imports increased.

Estonian foreign trade deficit was more than 3.4 billion kroons in September, which was nearly 1.3 billion kroons less than in September of the previous year.

In the 3rd quarter of 2008 compared to the 3rd quarter of the previous year, both the exports and imports grew 14% and 3%, respectively. If in the 1st and 2nd quarter of 2008 exports grew 4% and 5% compared to the same periods in 2007, then imports decreased by 3% and 5%. The foreign trade deficit was 30.6 billion kroons during the nine months (in 2007 40 billion kroons, respectively).

Estonian foreign trade, January–September, 2007–2008

Month	Exports, million kroons			Imports, million kroons			Balance, million kroons
	2007	2008	change, %	2007	2008	change, %	2007	2008
January	9 722	10 128	4	13 956	13 618	-2	-4 234	-3 490
February	9 768	10 443	7	13 302	13 632	2	-3 534	-3 189
March	10 464	10 631	2	15 511	14 146	-9	-5 047	-3 515
April	10 396	12 283	18	15 648	15 900	2	-5 252	-3 617
May	11 706	11 489	-2	16 157	14 391	-11	-4 451	-2 902
June	10 825	10 777	0	15 078	14 224	-6	-4 253	-3 447
July	9 889	10 876	10	14 066	15 139	8	-4 177	-4 263
August	10 290	11 037	7	14 656	13 763	-6	-4 366	-2 726
September	9 843	12 175	24	14 570	15 633	7	-4 727	-3 458

In September the share of the EU countries was 68% and the share of the CIS countries accounted for 14% of the total exports (in September of the previous year 78% and 13%, respectively). Main countries of destination were Finland, Sweden and Russia. The biggest increase — by 0.8 billion kroons — was announced in the exports of goods to the United States of America where the main export articles were the re-exported fuels. Exports to Russia increased by 0.4 billion kroons or nearly 50%.

In total imports of goods, the share of the EU countries was 81% and that of the CIS countries 11% (in September of the previous year 84% and 8%, respectively). Main countries of consignment were Finland, Germany and Sweden. Imports of goods from Belarus increased significantly, mainly on account of the imports of fuels.

In both exports and imports, the most important commodity section in September was machinery and equipment which accounted for more than a fifth of both flows. Exports of fuels, iron, steel and electronic equipment increased significantly. The increase by one third (or by 0.3 billion kroons) was mentioned also in the exports of agricultural products and food preparations. The imports of vehicles to Estonia decreased.

Main foreign trade partners of Estonia, August 2008

Country of destination, group of countries	Exports, million kroons	Share, %	Change compared to same month of previous year, %	Country of consignment, group of countries	Imports, million kroons	Share, %	Change compared to same month of previous year, %
TOTAL	12 175	100	24	TOTAL	15 633	100	7
EU27	8 310	68	8	EU27	12 615	81	4
CIS	1 738	14	40	CIS	1 797	11	58
1. Finland	2 255	19	14	1. Finland	2 318	15	-6
2. Sweden	1 795	15	26	2. Germany	2 201	14	11
3. Russia	1 376	11	47	3. Sweden	1 581	10	4
4. Latvia	1 189	10	-7	4 Latvia	1 488	10	28
5. USA	871	7	685	5. Lithuania	1 299	8	9
6. Lithuania	691	6	9	6. Russia	915	6	10
7. Germany	626	5	6	7. Poland	656	4	-11
8. Norway	365	3	12	8. Belarus	625	4	360
9. Denmark	338	3	8	9. United Kingdom	545	4	2
10. Turkey	293	2	788	10. Netherlands	505	3	0

Exports and imports of goods by commodity sections, August 2008

Commodity section by Combined Nomenclature (CN)	Exports			Imports			Balance, million kroons
	million kroons	share, %	change compared to same month of previous year, %	million kroons	share, %	change compared to same month of previous year, %
TOTAL	12 175	100	24	15 633	100	7	-3 458
Agricultural products and food preparations (I–IV)	1173	10	33	1 823	12	24	-650
Mineral products (V)	1459	12	171	2 422	16	57	-963
Raw materials and products of chemical industry (VI)	652	5	38	1 127	7	20	-475
Articles of plastics and rubber (VII)	386	3	2	781	5	5	-395
Wood and products thereof (IX)	962	8	-10	341	2	-28	621
Paper and articles thereof (X)	351	3	19	324	2	-1	27
Textiles and products thereof (XI)	550	4	-5	811	5	1	-261
Metals and products thereof (XV)	1543	13	53	1 698	11	5	-155
Machinery and equipment (XVI)	2672	22	22	3 682	24	3	-1010
Transport equipment (XVII)	786	7	-20	1 376	9	-22	-590
Miscellaneous manufactured articles (XX)	869	7	10	359	2	0	510
Other	772	6	19	889	5	-6	-116

Source: Statistics Estonia