Continuation of the first reading of the Draft Law on the State Budget for 2026 (737 SE)
Session: The 15th Riigikogu, 6th Session, Plenary Sitting
Date: 2025-10-08 17:08
Total Speeches: 140
Membership: 15
Agenda Duration: 1h 33m
AI Summaries: 140/140 Speeches (100.0%)
Analysis: Structured Analysis
Politicians Speaking Time
Politicians
Analysis
Summary
The session continued the first reading of Draft Bill 737, the 2026 State Budget Act, initiated by the Government of the Republic. Annely Akkermann, Chairman of the Finance Committee, delivered the leading committee's report, providing an overview of the budget's processing within the committee and introducing its key parameters: revenues of 18.6 billion, expenditures of 19.5 billion, and a general government financing need of 1.7 billion euros. Akkermann highlighted the budget’s two main themes: robust growth in defense spending (over 5% of GDP) and a reduction in the tax burden (through the abolition of the tax notch). In the subsequent round of questions and negotiations, the opposition sharply criticized the budget’s irresponsibility, particularly the record deficit and the use of borrowed funds to cover current expenses. The fairness of the income tax reform was also a central issue, with the opposition (including Tanel Kiik, Riina Sikkut, and Reili Rand) arguing that the wealthiest would benefit the most, while the social and cultural sectors suffered cuts. Coalition representatives (Õnne Pillak, Toomas Uibo) defended the budget, emphasizing the priority given to national defense and the positive impact of abolishing the tax notch on the average wage earner. Four opposition factions (Centre Party, SDE, Isamaa, EKRE) submitted a motion to reject the draft bill during the first reading. The motion failed to gain support in the vote (32 in favor, 44 against). The first reading of the draft bill was concluded.
Decisions Made 3
Annely Akkermann, Chairman of the Finance Committee, announced that the committee decided by a vote held on October 6 (5 in favor, 3 against) to propose concluding the first reading.
The proposal by the parliamentary factions of the Estonian Centre Party, the Social Democratic Party, Isamaa, and the Conservative People's Party of Estonia to reject Bill 737 on its first reading was defeated (32 votes for, 44 against).
The first reading of Draft Act 737 on the 2026 State Budget, initiated by the Government of the Republic, was concluded. The deadline for submitting amendments was set for October 22nd at 5:15 p.m.
Most Active Speaker
The most active speaker was Annely Akkermann, Chair of the Finance Committee, who presented the lead committee's report and answered numerous questions regarding the budget deficit, the elimination of the tax hump, and the overall budget structure. She represented the views of the coalition (right).
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi announced that the Riigikogu would continue the first reading of the draft State Budget Act for 2026, initiated by the Government of the Republic, which had been suspended during yesterday's sitting, and invited Annely Akkermann, Chairman of the Finance Committee, to the rostrum for the report of the lead committee.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi announced that the first reading of the draft State Budget Act for 2026, initiated by the Government of the Republic, which had been left unfinished at yesterday's sitting, would be continued, and he invited Annely Akkermann, Chairman of the Finance Committee, to the Riigikogu rostrum to present the report of the lead committee.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann, as Chair of the Finance Committee, provided a comprehensive overview of the preparations for the first reading of the 2026 state budget bill, noting that the gap between budget revenues and expenditures is nearly one billion euros and that its main keywords are the reduction of income tax and a robust increase in defense spending above 5% of GDP. She confirmed that the committee, after four sessions and hearing all ministers, has decided to conclude the first reading, thus opening the deadline for submitting amendments.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann, representing the Finance Committee, provided a comprehensive overview of the preparation process for the first reading of the 2026 state budget draft. This process included four sessions attended by all ministers. She highlighted that the key themes of the budget are a reduction in the tax burden and a robust increase in defense spending to over 5% of GDP, and confirmed that the committee has made the necessary procedural decisions for the draft’s further discussion.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi thanked the listeners and subsequently gave Urmas Reinsalu the opportunity to offer a brief response, asking him to then pose his question.
Aseesimees Toomas Kivimägi
AI Summary
Vice-Chairman Toomas Kivimägi thanked the listeners and subsequently gave the floor to Urmas Reinsalu, inviting him to pose a question, which he jokingly referred to as a "counter-compliment."
Urmas Reinsalu
Profiling Isamaa fraktsioonAI Summary
Urmas Reinsalu accuses the government and the prime minister of budget manipulation, highlighting a stark contradiction: the prime minister had promised cuts to administrative costs amounting to 1.4 billion euros, yet, according to Reinsalu, these costs have instead increased by 1.9 billion. Consequently, he is publicly demanding to see the specific budget lines where the promised cuts are actually visible.
Urmas Reinsalu
Profiling Isamaa fraktsioonAI Summary
Urmas Reinsalu sharply criticizes the government's budget communication, because the 1.4 billion euro reduction in administrative costs promised by the Prime Minister is not reflected in the draft budget, which instead shows an increase of 1.9 billion euros, and he urgently demands that the specific line items where the promised savings are actually visible be shown.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann explained that although she had not heard the previous question, she assumed that the 1.9 billion euro reduction in government spending would be spread over several years, emphasizing the nature of multi-year budget expenditures and also referencing the revenue side, such as income tax.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann, acknowledging that she had not heard the preceding question or the Prime Minister’s response, began explaining the timeline for the 1.9 billion euro reduction in administrative expenses, stressing that the total amount is distributed over several years and referencing the budget’s carried-forward costs and income tax.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi thanked Urmas and briefly confirmed that the comment he had made was perfectly clear.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann emphasized that she could not answer the question regarding governance costs because the budget does not contain such a specific line item, adding that she believed the questioner was interpreting the definition of governance costs too loosely.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann explains that the state budget lacks a specific line item for "governance costs," which is why she cannot present the requested data. However, the overall increase in expenditures is due to wage increases, the partial transfer of income tax revenue to local municipalities, and transfers to the social fund that have increased by hundreds of millions.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi attempted to manage the debate, asking his colleagues to yield the floor to Annely, but subsequently had to interrupt Urmas Reinsalu’s ongoing speech, briefly expressing his understanding of the situation.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann clarifies that although the state budget lacks a separate line item for administrative expenditure, the primary reason for the cost increase is the rise in social and income tax revenue resulting from wage increases, which in turn requires transfers amounting to hundreds of millions of euros to local governments and the social fund.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi called Urmas Reinsalu to order, noting pointedly that the ongoing debate is not the "Esimene stuudio" (First Studio) open mic show, where interruptions are permitted at any moment.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann explains that although the Health Insurance Fund (Tervisekassa) and the Unemployment Insurance Fund (Töötukassa) have been accounted for in the budget, there is no specific line item for "governance costs," which makes it impossible for her to substantively comment on this aspect in the context of the 2026 budget.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann emphasizes that although the budget contains separate line items for the Health Insurance Fund and the Unemployment Insurance Fund, the line for administrative costs is missing, which makes commenting on the matter impossible from the perspective of the 2026 budget.
Aseesimees Toomas Kivimägi
AI Summary
Following a brief introduction, Deputy Chairman Toomas Kivimägi gave the floor to Tanel Kiik.
Tanel Kiik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Tanel Kiik sharply criticizes the state budget, deeming it irresponsible and unfair because it increases expenditures while reducing revenues. Furthermore, despite the deficit, it grants the wealthiest 10% a tax gift exceeding 100 million euros, while special care services, which are in dire need of assistance, are left with only 4.2 million euros in additional funding. He questions whether setting priorities in this way is fair.
Tanel Kiik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Tanel Kiik cannot comprehend the tone of satisfaction regarding this irresponsible and unfair budget, which simultaneously cuts revenue and increases spending amidst a deficit. He sharply criticized the government's priorities, which grant the wealthiest 10% a tax gift of over 100 million euros, while special care services, which desperately need serious assistance, receive only 4.2 million euros in additional funding.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann defends the Reform Party's election mandate to abolish the income tax kink, emphasizing that this step is mathematically targeted primarily at restoring the purchasing power of workers earning the average and median wage, who have suffered under long-term inflation and unfair 33% taxation. She ironically noted that this year's budget is exceptionally cost-based due to high defense expenditures.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann is defending the Reform Party's election promise to abolish the income tax 'hump' (or 'küür'), emphasizing that this move is a response to their strong mandate and will primarily boost the net pay of average Estonian workers. These workers have long been suffering under inflation and an unjust, ruinous tax system that taxed middle incomes at an unreasonably high rate. She also ironically pointed out the similarity to Isamaa's budget policy, given this year's exceptional increase in defense expenditures.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi gave the floor to Aivar Sõerd, inviting him to the podium.
Aivar Sõerd
Profiling Eesti Reformierakonna fraktsioonAI Summary
Aivar Sõerd sharply criticizes the ministries' approach to developing cost cuts, arguing that the proposals were presented using traditional input-based budget lines (such as travel and IT expenses) rather than being broken down by the programs of the activity-based budget. He questioned why the ministries themselves, when making budget decisions, are utilizing a system that fails to comply with the official procedural method.
Aivar Sõerd
Profiling Eesti Reformierakonna fraktsioonAI Summary
Aivar Sõerd sharply criticizes the ministries for using classical cost-based line items (such as travel, training, and repair expenses) when developing and explaining budget cuts, despite the fact that the budget is processed according to activity-based programs. He questions why the old cost-budget methodology is still being applied when making budgetary decisions.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann emphasizes that the role of politicians in the Riigikogu is to focus on policy and goals, not on accounting-based calculations of expenditure types, which is why activity-based budgeting is essential for discussing substantive issues and the impact of how taxpayer money is used, for instance, through reducing traffic fatalities or setting specific goals for ministerial activities.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann emphasized that politicians must focus on activity-based budgeting and political goals (such as reducing traffic fatalities), rather than focusing on expenditure types and administrative units like accountants do, because the discussion regarding the use of taxpayer money must take place in the context of policy, not the state accounting chart of accounts.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi expressed confusion regarding the timing of the previous speech's conclusion, paused for a moment, and then yielded the floor to Reili Ranna.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand drew attention to the drastic drop in Estonia's birth rate, which has fallen below the 10,000 mark, and emphasized the necessity of political will to implement recommendations based on the Ministry of Social Affairs' analysis. These recommendations require targeted expenditures, such as making family benefits fairer, raising the single parent allowance, and increasing the school meal subsidy, in order to support families and ensure children's mental health.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand highlights the critical decline in Estonia's birth rate and emphasizes that political will is needed to direct state budget resources towards specific measures based on the analysis of the Ministry of Social Affairs. These measures include making family benefits fairer, increasing school meal allowances, and improving the availability of support specialists, all aimed at supporting families who wish to have children and reversing the demographic trend.
Aseesimees Toomas Kivimägi
AI Summary
Vice-Chairman Toomas Kivimägi limited himself to a brief expression of thanks, conveying his gratitude with just a single word.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand criticized the Finance Committee, arguing that the state is showering money on the wealthiest while the needs of children and families are being ignored, deeming such a policy detrimental to the future of the Estonian state.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand criticized the Finance Committee for prioritizing the distribution of funds to the wealthiest while neglecting children and families.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi briefly expressed his gratitude and concluded his remarks.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand questions the fairness and justification of the action under discussion, stressing that its impact on the future of the Estonian state is doubtful.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand concludes her line of reasoning, posing the question to the listeners of whether the topic under discussion is fair and justified upon examination.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann emphasizes that the elimination of the tax bulge and the resulting income tax reduction, while mathematically also benefiting the wealthier, is primarily aimed at average-wage Estonians (such as nurses, doctors, and teachers). The objective is to boost families' purchasing power, improve their financial well-being, and consequently encourage higher birth rates.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann explains that the income tax reduction resulting from the elimination of the tax hump is not aimed solely at the wealthy, but mathematically and inevitably also supports parents earning the average wage, such as teachers and nurses, by increasing their purchasing power and potentially encouraging childbirth.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi and Aivar Kokk were invited to the podium to begin their presentation.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk acknowledges the previous answers but emphasizes that the revenue side of the state budget, particularly the detailed breakdown of VAT collection (e.g., across electricity, fuel, and foodstuffs), is deficient and vague in the budget document. Consequently, it is difficult to make meaningful amendment proposals, even though the expenditure side is well presented.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk emphasizes the importance of the revenue side but finds that the revenue distribution in the presented state budget is too weak, demanding a detailed explanation of the sources (e.g., electricity, fuel, foodstuffs) from which the VAT, which constitutes a large portion of state revenues, is collected, so that making amendment proposals would be possible.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann believes that although the topic under discussion might be overly detailed for the state budget, the necessary information regarding the distribution of companies' turnovers according to EMTAK codes is already possessed by the state via annual reports. Consequently, she does not doubt the availability of the data or the feasibility of performing the statistical calculations.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann stressed that while the level of detail in the current discussion might be superfluous for the state budget, the necessary statistical information is actually already available and accessible to the state via companies' annual reports (where turnover is broken down according to EMTAK codes).
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi gave the floor to Arvo Aller, inviting him to the podium.
Arvo Aller
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Arvo Aller questions the exclusion of non-monetary expenses, especially depreciation, from the state budget, suspecting that this change was made to keep the budget deficit figure (4.5%) artificially low in an attempt to appease the European Union, and asks whether the actual deficit wouldn't be significantly higher if depreciation were taken into account.
Arvo Aller
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Arvo Aller inquired of the commission rapporteur why the reporting of non-monetary expenses, particularly depreciation, was excluded from the state budget, suspecting that this step was taken to artificially suppress the budget deficit percentage (4.5%) in order to meet European Union requirements and avoid displaying a larger deficit.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann explained that although the calculation of depreciation is defined by standards and described in the explanatory memorandum, it has not been taken into account when calculating the budgetary position, because members of the Riigikogu cannot make non-monetary changes, and it would also not change the comparable budgetary position calculated according to the European Union methodology.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann responded to a question regarding the absence of depreciation costs in the budget, noting that although the expense is detailed in the explanatory memorandum and accounted for according to standards (such as IFRS), it was omitted for the sake of budget simplicity, as members of the Riigikogu cannot propose amendments concerning non-cash expenditures, emphasizing that this would not affect the budgetary position, which is calculated based on a unified EU methodology.
Aseesimees Toomas Kivimägi
AI Summary
After a brief introduction, Vice-Chairman Toomas Kivimägi handed the floor over to the next speaker, Reili Rand.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand acknowledges the necessity of abolishing the tax hump and supports providing aid to average wage earners, such as teachers and rescuers. However, she sharply criticizes the current budget because it grants the largest tax relief (€114 million) specifically to the wealthiest 10%, who earn between €5,000 and €6,000. She considers this disproportionate when compared, for instance, to the median wage in Hiiumaa, and questions whether a waitress would agree that the richest decile is the one receiving the greatest benefit.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand acknowledges the necessity of abolishing the tax hump and providing support to average wage earners, but she sharply draws attention to the fact that the current budget grants the disproportionately largest benefit precisely to the wealthiest 10% of people. The tax relief for this group alone costs 114 million euros, which calls into question the fairness of the overall situation when compared, for instance, to the median wage in Hiiumaa.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann mathematically rebuffs the argument that the impact of the benefit would be proportional, explaining that the maximum 154-euro compensation goes to those earning 2,100–2,200 euros. Meanwhile, for individuals in the higher deciles (earning 5,000–6,000 euros), this amount makes up a significantly smaller relative portion of their salary, which is why the distribution is not mathematically sound.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann refutes the claim that a certain benefit is mathematically proportional, explaining that while the absolute maximum gain (€154) goes to people earning €2,100–€2,200, it constitutes a relatively negligible portion for the higher-earning deciles, meaning the distribution is not mathematically sound.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi handed the floor over to Mart Maastik.
Mart Maastik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Mart Maastik criticizes the government's plan to abolish the linear income tax exemption at a time when the state budget is in a deep deficit of 1.7 billion euros and loans are being taken out to cover current expenses, calling into question both the timing of fulfilling such an election promise and its correlation with the budgetary situation.
Mart Maastik
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Mart Maastik is criticizing the government's plan to abolish the linear income tax exemption at a time when the state budget is running a deep deficit of 1.7 billion euros and current expenses are being covered by loans, raising the question of whether fulfilling the election promise is justified in such an economic situation.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann stressed the strong mandate for delivering on election promises, but sharply criticized the unfair tax system, whereby wage increases between 1,200 and 2,100 euros are subject to an effective tax rate of 33%. This occurs despite the current implementation of a 700-euro tax-exempt income for employees and a more favorable allowance for pensioners.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann emphasizes the strong mandate required to fulfill election promises and sharply criticizes the current tax system. She considers the 33% effective taxation of employees earning between 1,200 and 2,100 euros to be extremely unfair, asserting that the proposed 700-euro tax exemption is specifically targeted at workers.
Aseesimees Toomas Kivimägi
AI Summary
Vice-Chairman Toomas Kivimägi admonishes his colleagues, especially one constant interrupter, to refrain from overly long interjections, emphasizing that while brief remarks are permitted, lengthier statements must be reserved for the official round of negotiations.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi asks his colleagues to stop making overly long interjections and reminds them that while brief remarks are acceptable in the interest of the debate, longer speeches must be reserved for the discussion round, when the interrupter himself will have the opportunity to speak at length.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann claims that the implementation of a 700-euro tax-free income allowance actually creates a linear income tax system where the effective tax rate smoothly rises from 0% to 22%. She gives the example that for a salary of 700 euros, the income tax is 0%, whereas for a salary of 1400 euros, it is already approximately 10%, mathematically approaching 22%.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann claims that the 700-euro tax-free income threshold essentially creates a linear income tax system where the effective tax rate smoothly increases from 0 percent to 22 percent. She cites the example that while income tax is zero for an income of 700 euros, it is already approximately 10 percent for a salary of 1,400 euros.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi and Helir-Valdor Seeder were invited to the podium to begin their presentation.
Helir-Valdor Seeder
Profiling Isamaa fraktsioonAI Summary
Helir-Valdor Seeder challenges a government representative to clarify the source of their allegedly strong mandate to implement a car tax, raise income tax, and increase VAT after the elections, given that these measures directly contradict the Prime Minister’s pre-election pledges that taxes would not be raised.
Helir-Valdor Seeder
Profiling Isamaa fraktsioonAI Summary
Helir-Valdor Seeder challenges the government's claim of a strong mandate, demanding clarification on where this mandate originated for implementing sweeping tax hikes (including car, income, and VAT taxes), which stands in direct contradiction to the prime minister's pre-election promise that taxes would not rise.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann confirms that the Reform Party government has fulfilled its election promise regarding sound fiscal policy, strictly keeping the deficit within the permitted limits and the Maastricht criteria, in contrast to the 5.2% GDP deficit incurred by the previous EKREIKE government.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann confirms that the Reform Party has fulfilled its election promise to keep the country's fiscal policy sound and the deficit within the Maastricht criteria, contrasting this with the 5.2% GDP deficit reached during the tenure of the EKREIKE government.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi and Õnne Pillak were called to the podium, but the content of the address delivered by him/her is not reflected in the text.
Õnne Pillak
Profiling Eesti Reformierakonna fraktsioonAI Summary
Õnne Pillak poses a historical and philosophical question, challenging the consistency of the current critics of the budget deficit. She asks whether they were equally concerned and had an exit strategy back in 2020 when the deficit stood at 5.2% (a situation caused by wasteful spending during "good times"), especially when compared to next year's projected 4.5% deficit, which is driven by the sharp increase in national defense expenditures.
Õnne Pillak
Profiling Eesti Reformierakonna fraktsioonAI Summary
Õnne Pillak accuses critics of hypocrisy, rhetorically questioning why they weren't concerned or proposing solutions back in 2020 when the budget deficit hit 5.2% and money was being blown, yet they are now extremely vocal about the 4.5% deficit caused by the increase in national defense spending.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann admits that while she never approved Mart Laar’s idea of adding a budget balance requirement to the constitution, she now considers him an extremely prescient politician, especially keeping in mind the events of 2016 and 2017.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann praised Mart Laar for his foresight, recalling how he had wanted to enshrine the budget balance requirement in the constitution. She admitted that while she hadn't approved of the idea back then, knowing what happened later (e.g., 2016/2017), she realized she should have supported Laar’s proposal.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi concluded his presentation or the round of questioning by thanking the participants and confirming that he had no further questions.
Aseesimees Toomas Kivimägi
AI Summary
Vice-Chairman Toomas Kivimägi concluded the round of questions, thanked the participants, and announced that they had moved into the negotiation phase, but first yielded the floor to Arvo Aller to ask a procedural question.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann concluded her short speech with a word of thanks.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi informed his colleagues about the start of the proceedings, but noted that before moving on to the substantive discussion, Arvo Aller needed to raise a procedural question.
Arvo Aller
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Arvo Aller raised a procedural question, noting that although he had sent a notification, he could no longer find the necessary materials or links associated with the agenda item—materials that had still been available yesterday. He requested clarification on whether they had disappeared due to a technical error.
Arvo Aller
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Arvo Aller raises a procedural question, as the materials for the agenda item, which were still available yesterday, have disappeared today, and he requests clarification regarding the technical problem that has occurred or the disappearance of the materials.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi officially opened the debate, emphasizing the need to review the materials and find technical solutions during the negotiations. He then invited colleague Lauri Laats to the Riigikogu rostrum as the first speaker, representing the Estonian Centre Party faction.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi stressed to his colleagues the need to review the materials and make clarifications, expressed hope that technical solutions would be found during the course of the negotiations, and subsequently officially opened the debate by inviting Lauri Laats, the representative of the Estonian Centre Party faction, to the floor first.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats briefly requested three minutes of extra time.
Aseesimees Toomas Kivimägi
AI Summary
Vice-Chairman Toomas Kivimägi confined his remarks solely to noting the time, briefly announcing that eight minutes were available.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats categorically rejects the Reform Party's claim of a strong mandate, accusing the party of lying to voters regarding tax increases and stressing that the public does not trust the government. He sharply criticizes the incompetence and untrustworthiness of the ministers, pointing out the confusion in the defense sector and the ministers' inappropriate public statements. The speaker finds the proposed budget unacceptable because it deepens the deficit, relies on borrowing to cover running costs, and ignores the public's priorities—such as lowering VAT on foodstuffs—while instead prioritizing the abolition of the progressive income tax system.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats sharply challenges the Reform Party's supposed strong mandate, stressing that it was secured through electoral deception, particularly concerning tax hikes, and that the public lacks confidence in the incompetent government mired in scandals. Consequently, the speaker cannot endorse the proposed state budget, which is deeply in deficit, utilizes loans to cover running costs, and ignores the public mandate, such as reducing the VAT on groceries, leading to a proposal to reject the budget.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi offered a brief address before yielding the floor to his colleague, signaling the start of their speaking time.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats confirmed briefly and decisively that the speaker's side would submit a draft resolution for the rejection of the proposal under consideration.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi gave the floor to colleague Riina Sikkut to speak on behalf of the Social Democratic Party faction.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi gave the floor to Riina Sikkut to speak on behalf of the Social Democratic Party faction.
Riina Sikkut
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Riina Sikkut sharply criticizes the government's 2026 state budget, labeling it a deception and a state of chaos, arguing that it will neither bring prosperity nor guarantee security. Instead, it increases an unprecedented structural debt burden without any plan for exiting the deficit, all while drastically rising interest costs are eating away at the budget. The speaker particularly condemns the fact that borrowed money is being channeled as tax giveaways to the wealthiest 10%, completely ignoring the critical underfunding in social welfare and the ability of low-wage earners to cope. This demonstrates the government's irresponsible prioritization, which utterly disregards statesmanship.
Riina Sikkut
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Riina Sikkut sharply criticizes the government’s 2026 state budget, which, in her estimation, will bring neither prosperity nor security. Instead, she argues, it will unprecedentedly increase the debt burden to cover permanent expenditures, moving away from structural balance and leaving the state vulnerable to rising interest costs. She faults the government for irresponsibility and a lack of a plan for exiting the deficit, and criticizes the budget priorities, which channel borrowed money as a tax gift to the wealthiest 10% of the population, while critically underfunding specialized social care and other sectors that support low-wage earners.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi briefly requested three minutes of extra time to continue his address.
Riina Sikkut
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Riina Sikkut sharply criticizes the government's budget policy, which has led to an unprecedentedly large deficit and a growing debt burden, accusing the coalition of political shortsightedness and avoiding responsibility, and announcing a proposal on behalf of the Social Democrats to reject the budget at the first reading.
Riina Sikkut
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Riina Sikkut sharply criticizes the government's budget draft, viewing it as a reflection of political shortsightedness, economic recklessness, and social injustice, which has resulted in an unprecedentedly large deficit and debt burden. She further announces, on behalf of the Social Democrats, that they will reject this budget during the first reading.
Lauri Laats
Profiling Eesti Keskerakonna fraktsioonAI Summary
Lauri Laats thanked the audience and subsequently handed the Riigikogu rostrum over to his colleague, Õnne Pillak, on behalf of the Estonian Reform Party faction.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi thanked the attendees and, on behalf of the Estonian Reform Party faction, called his colleague Õnne Pillak to the Riigikogu rostrum.
Õnne Pillak
Profiling Eesti Reformierakonna fraktsioonAI Summary
Õnne Pillak defended the government's fiscal policy during a passionate state budget debate, stressing that while next year's budget is running a 4.5% deficit, this is necessitated by the deteriorating security situation in Europe and the need to raise national defense spending to at least 5% of GDP—a measure most other EU countries are also undertaking. She criticized previous governments for failing to accumulate reserves and asserted that the Reform Party's budget supports Estonia's freedom and economy by fulfilling the promise to abolish the tax hump and lower the tax burden to 35.2%, thereby creating favorable conditions for economic growth.
Õnne Pillak
Profiling Eesti Reformierakonna fraktsioonAI Summary
Õnne Pillak defended next year's state budget, acknowledging a 4.5% deficit but justifying it by the necessary increase in national defense spending—which is driven by the deteriorating security situation in Europe and is set to rise to 5% of GDP in the future. She simultaneously stressed that the budget is aimed at growing the economy and incomes by lowering the tax burden, eliminating the 'tax hump' (maksuküür), and avoiding an increase in income tax, thereby creating favorable conditions for business.
Aseesimees Toomas Kivimägi
AI Summary
Vice-Chairman Toomas Kivimägi made a brief request, asking for three minutes of additional time to continue his presentation or remarks.
Õnne Pillak
Profiling Eesti Reformierakonna fraktsioonAI Summary
Õnne Pillak defends the budget choices, emphasizing that tax cuts will significantly increase the average working person's income (e.g., 1,800 euros per year) and stimulate the economy, while simultaneously affirming a commitment to fixing state finances through 1.4 billion euros in cuts. She stresses that despite the austerity measures, pension indexation (with a projected growth of 5.4%) and public sector wage increases (for teachers, rescuers, etc.) are guaranteed, funded by internal savings within the public sector. She calls for the budget to be supported, arguing that it strengthens national defense, lowers the tax burden, and increases both incomes and pensions.
Õnne Pillak
Profiling Eesti Reformierakonna fraktsioonAI Summary
Õnne Pillak defends the government’s budget choices, stressing that tax cuts will significantly boost the incomes of average wage earners (such as teachers and rescuers), thereby stimulating the economy. She also confirms the continuation and growth of pension indexation. Addressing concerns regarding state finances, she promises to reduce the budget deficit and implement €1.4 billion in cuts, which will also cover planned wage increases. She concludes by calling on her colleagues to support the budget, which is focused on strengthening defense, lowering the tax burden, and increasing incomes.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi thanked the audience and, on behalf of the Eesti 200 parliamentary group, invited his colleague Toomas Uibo to the Riigikogu rostrum.
Toomas Uibo
Profiling Eesti 200 fraktsioonAI Summary
Toomas Uibo is presenting the 2026 state budget as the foundation for responsible public finance and economic growth. The goal is to reverse the current rapid growth trend in the deficit and national debt by lowering the tax burden and slowing the rate of debt accumulation. Simultaneously, the budget makes targeted investments in people (salaries for teachers, rescuers, and medical staff) and in Estonia’s competitive advantages (science and the digital state), with the aim of wisely guiding the country back towards fiscal balance through clear prioritization.
Toomas Uibo
Profiling Eesti 200 fraktsioonAI Summary
Toomas Uibo presents the 2026 state budget as a conscious choice designed to break the trend of deficit and debt growth, while simultaneously offering breathing room to people and businesses by lowering the tax burden, and making smart investments in education, science, and vital sectors, all aimed at building a responsible and strong future for Estonia, as we move step-by-step toward achieving budget balance.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi thanked the previous speakers and subsequently gave the floor to colleague Aivar Kokk on behalf of the Isamaa parliamentary group, adding a brief procedural note that they would not be able to read everything aloud.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk sharply criticizes the presented state budget, deeming it the worst in a long time and the minister's responses weak. He accuses the government of lying regarding the abolition of the tax hump, emphasizing that the 1.7 billion euro loan was taken primarily to fund salary increases for the highly paid (members of the Riigikogu, ministers), while low-income individuals gain virtually nothing. Furthermore, he finds that the government is taking a total of 2 billion euros away from people and entrepreneurs, returning only a fraction, and directing that fraction mainly toward the wealthier segment.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk considers the proposed state budget the worst in a long time, criticizing the minister's weak responses and the government's claims regarding the abolition of the tax hump. He stressed that although state revenues have grown, billions of euros are being taken from people and entrepreneurs via new taxes and loans, money which is primarily being channeled into salary increases for higher-income politicians, leaving lower-income individuals with practically no benefit, and he further accused the government of causing the economic recession through poor energy decisions.
Aseesimees Toomas Kivimägi
AI Summary
Vice-Chairman Toomas Kivimägi confined himself to an extremely brief affirmative reply, expressing either agreement or confirmation.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk sharply criticizes the government's budget policy and tax hikes, accusing them of a lack of transparency regarding revenues. He stresses that loans are being taken out to cover the income tax exemption for members of the Riigikogu, while the increase in excise duties (electricity, fuel) and the pointless motor vehicle tax burden ordinary people. He especially accuses the coalition, led by the Social Democrats, of hypocrisy and taking 2,400 euros away from families.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk sharply criticizes the government's budget policy, leveling the accusation against the coalition that they are taking out loans to finance the income tax exemption for high earners. Simultaneously, excise duties on fuel and electricity are being raised, which puts a squeeze on ordinary citizens and businesses. He also accuses the Social Democrats of stripping 2,400 euros from families with children and backing the senseless motor vehicle tax, demanding genuine shame from those who voted in favor of the budget.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi limited himself to just a brief word of thanks.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk, representing the Isamaa Party, moved to reject the draft legislation under discussion during the first reading and promised to submit the relevant document immediately.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi concluded his address with a brief thank you.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk, speaking on behalf of the Isamaa Party, proposed rejecting the bill in question during the first reading, noting that he would immediately present the relevant document.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi announced that our good colleague Rain Epler is invited to the Riigikogu podium to speak on behalf of the EKRE faction.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi announced that the next speaker to take the Riigikogu podium, on behalf of the EKRE faction, will be esteemed colleague Rain Epler.
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Rain Epler sharply criticizes the budget presented by the coalition, accusing the government of lying and irresponsible financial management, as the national debt and deficit are reaching record levels, thereby contradicting promises to put the state's finances in order. He stresses that although the increase in the debt burden is being justified by security concerns, a large portion of the extra funding is actually going to the Ministry of Climate and Rail Baltic, the expediency of which is questionable due to the lack of clear priorities on the Latvian side. This demonstrates that the budget will not deliver the promised "prosperity" or "security."
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Rain Epler is accusing the governing coalition of dishonesty and irresponsible fiscal policy. Instead of reducing the promised debt burden, the budget deficit is soaring to a historically high level, and the national debt is ballooning to 13.5 billion. Moreover, borrowed funds are being disproportionately allocated to the green transition and the ill-conceived Rail Baltic project rather than to national defense, especially given that Latvia doesn't even consider the connection toward Estonia a priority.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi briefly and specifically expressed his consent or confirmation.
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Rain Epler presents sharp criticism aimed at the government's budget priorities, demanding that national defense be prioritized in the geopolitically complex situation, and condemning cuts to the Ministry of Culture at a time when the Ministry of Climate is spending millions on "drowning forests," which conflicts with the purpose of the constitution. He also calls on cultural figures to be less sensitive to harsh metaphors and not to support the "moral bastards" (Reform Party, Social Democrats, Estonia 200) who do not understand the meaning of the existence of the Estonian state and should step down from the helm of the state.
Rain Epler
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Rain Epler sharply criticizes the government’s priorities, arguing that given the complex geopolitical situation, the focus should be on national defense, instead of sinking millions from the Ministry of Climate’s budget into swamps (the flooding of forests), while the Ministry of Culture is implementing cuts that jeopardize constitutional objectives. Finally, he calls on the cultural community to be less soft, not to faint over harsh metaphors, and not to re-elect "moral bastards"—meaning the current ruling parties—who fail to grasp the purpose of the state's existence.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi informed the chamber that although the Estonian Centre Party had not been directly named, the repeated references to EKREIKE spurred the Centre Party faction to deliver a rebuttal, and Vadim Belobrovtsev was called to the rostrum for this purpose.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi offered his thanks and explained that even though the Centre Party had not been named directly, the repeated references to the coalition provided the EKREIKE faction with grounds for a counter-speech, for which Vadim Belobrovtsev was invited to the rostrum.
Vadim Belobrovtsev
Profiling Eesti Keskerakonna fraktsioonAI Summary
Vadim Belobrovtsev accuses the Reform Party of pursuing a policy based on falsehoods, stressing that the abolition of the tax hump—which will cost the state half a billion—will not result in any significant tax relief for the majority of people. Instead, it will boost the incomes of high earners, making the claim that the tax burden is decreasing an outright lie.
Vadim Belobrovtsev
Profiling Eesti Keskerakonna fraktsioonAI Summary
Vadim Belobrovtsev accuses the Reform Party of winning support through lies, refuting the claim that the tax burden is decreasing. He points out that abolishing the tax hump is a disproportionately expensive reform (costing half a billion euros) that brings noticeable benefits only to the incomes of members of parliament and other high-earners, while leaving tax relief for the majority of people negligible.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi introduced the response address by the Social Democratic Party faction, thanking the previous speaker and subsequently yielding the floor to Reili Rand.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand clarified the Social Democrats' family policy, emphasizing that the state must value every Estonian child, regardless of their birth order or family model, and called on colleagues to stop polarizing different family models.
Reili Rand
Profiling Sotsiaaldemokraatliku Erakonna fraktsioonAI Summary
Reili Rand criticized colleague Aivar Kokk's exaggerated rhetoric and clarified the core principle of the Social Democrats' family policy, which holds that the state must value every Estonian child, irrespective of their family structure or birth order. She further demanded an end to the polarization of different family types within the chamber, arguing for a fair and caring policy.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi explained that although this was not a reply to a reply, the Isamaa faction had the right to respond due to the mention of EKREIKE, and subsequently gave the floor to Aivar Koka to deliver a reply on behalf of the Isamaa faction.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi clarified that although this did not constitute a direct counter-response to a previous counter-response, the Isamaa faction was entitled to reply because EKREIKE had been mentioned during the preceding discussion. He subsequently yielded the floor to Aivar Kokk to deliver the rebuttal on behalf of Isamaa.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk criticizes the Social Democrats for scrapping benefits for large families, considering it an illogical and politically damaging move, especially since the benefit cuts are being presented as child-friendly policy, which will haunt the party for a long time.
Aivar Kokk
Profiling Isamaa fraktsioonAI Summary
Aivar Kokk is accusing the Social Democrats of hypocrisy regarding family policy. He points out that they initially voted in favor of increasing support for large families, only to subsequently take 2,400 euros away from them. He stresses that this move will continue to plague the party for a long time, regardless of their stated recognition of the importance of all children and family types.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi thanked the previous speaker and invited Helle-Moonika Helme to the rostrum to deliver a response speech on behalf of the EKRE faction.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Chairman Toomas Kivimägi invited Helle-Moonika Helme, as the representative of the EKRE faction, to present a response speech.
Helle-Moonika Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
Helle-Moonika Helme is defending the former EKRE, Isamaa, and Center Party government against accusations made by the Reform Party, emphasizing that the previous coalition left the economy with 8% growth and a lower debt burden, whereas the current government has driven the national debt past 11.5 billion euros. Therefore, she calls for an end to the unnecessary finger-pointing and urges action for the benefit of the Estonian state.
Helle-Moonika Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
Helle-Moonika Helme criticizes the Reform Party-led coalition for unnecessary rhetoric and constantly pointing the finger at the previous government, which consisted of EKRE, the Centre Party, and Isamaa. She emphasizes that the previous administration left them a legacy of 8% economic growth and a lower debt burden, whereas the current government has driven the national debt to a record level of 11.5 billion. Therefore, they should stop being defensive and start working for the benefit of the Estonian people.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi closed the debate and announced that despite the leading committee's recommendation to conclude the first reading of Bill 737 (the draft State Budget Law for 2026), four parliamentary groups—those of the Estonian Centre Party, the Social Democratic Party, Isamaa, and the Conservative People's Party of Estonia—have submitted an identical proposal to reject the bill, and therefore, preparations for the vote on its rejection will now begin.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi concluded the debate and announced that despite the lead committee's recommendation to conclude the first reading of Draft Law 737 on the 2026 State Budget Act, four factions have submitted an identically worded proposal to reject the bill. Consequently, this joint rejection proposal was immediately put to a vote.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi announced that the first reading of Bill 737 has concluded, as the proposal failed to gain support (32 voted in favor, 44 against), and set the deadline for submitting amendments as 5:15 PM on October 22 of the current year.
Aseesimees Toomas Kivimägi
AI Summary
Deputy Speaker Toomas Kivimägi announced that the Riigikogu failed to find support for the first reading of draft bill 737, as the voting results were 32 in favor and 44 against. However, the proceedings will continue, and the deadline for submitting proposals for amendments has been set for October 22nd at 5:15 PM.