First Reading of the Draft Resolution of the Riigikogu "Approval of the State's 2024 Financial Year Consolidated Report" (Bill 720 OE)
Session: 15th Riigikogu, 6th Session, Plenary Sitting
Date: 2025-11-06 00:09
Participating Politicians:
Total Speeches: 17
Membership: 15
Agenda Duration: 23m
AI Summaries: 17/17 Speeches (100.0%)
Analysis: Structured Analysis
Politicians Speaking Time
Politicians
Analysis
Summary
The Riigikogu debated the draft resolution on the approval of the State's 2024 consolidated annual economic report, submitted by the Government of the Republic, during its first reading. Minister of Finance Jürgen Ligi presented the report, noting that 2024 was a difficult year for the economy, particularly concerning consumer confidence, although fundamental indicators were improving. The statistical deficit of the general government sector reached 601 million euros (1.5% of GDP), which was smaller than expected thanks to good tax revenue collection and cost savings. During the year, a negative supplementary budget was adopted, and a security tax was introduced, and the VAT rate was raised, the main impact of which will manifest in the coming years. The National Audit Office audited the report and found that it fairly reflected the state's financial position, but made remarks regarding the accounting of Ministry of Defence inventories and deficiencies in the internal control systems of the Centre for Defence Investments and the Defence Forces, noting that this is a recurring problem. Annely Akkermann, Chair of the leading committee, the Finance Committee, provided an overview of the debate, which focused primarily on the lack of connection between performance indicators (metrics) and funding. The Committee proposed concluding the first reading.
Decisions Made 2
The first reading of Bill 720 concluded.
The deadline for submitting amendments was set as November 19th at 5:15 PM.
Most Active Speaker
Annely Akkermann, the Chair of the Finance Committee, was the most active speaker (the most prominent one), presenting the lead committee’s report and answering several questions concerning the correlation between performance indicators and funding, and issues regarding the Ministry of Defence’s internal control.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller proceeded to agenda item 20, which was the first reading of the draft resolution, submitted by the Government of the Republic, on the approval of the State's 2024 consolidated annual report. He then invited Minister of Finance Jürgen Ligi to serve as the rapporteur.
Rahandusminister Jürgen Ligi
AI Summary
Finance Minister Jürgen Ligi presented the consolidated annual economic report for 2024 to the Riigikogu (Parliament), describing the year as rather poor, characterized by low consumer confidence and the necessity of adopting a negative supplementary budget to improve the fiscal position, followed later by the introduction of a security tax. Thanks to good revenue collection and savings measures, the general government statistical deficit remained smaller than expected, reaching 1.5% of GDP. However, due to the negative result, the Stabilization Reserve cannot be increased. The National Audit Office audited the report and deemed it generally reliable, with the exception of remarks concerning deficiencies in the accounting and internal control of the Ministry of Defence. The presenter requested that the report be approved.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller concluded the previous discussion, confirming that no questions had been submitted, and then gave the floor to Annely Akkermann, Chair of the Finance Committee, so that she could provide an overview of the debate held in the lead committee.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann, on behalf of the Finance Committee, provided an overview of the preparations for the first reading of Draft Bill 720, during which the 2024 consolidated report was thoroughly discussed. The focus was on the criticism from the National Audit Office and committee members regarding the lack of connection between performance indicators and budget funds. A consensus was reached that the metrics must be further developed, and a proposal was made to proceed with the draft bill in the plenary session.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller thanked the previous speaker and subsequently gave the floor to Aivar Sõeru, noting that at least one question had also been submitted to him.
Aivar Sõerd
Profiling Eesti Reformierakonna fraktsioonAI Summary
Aivar Sõerd criticizes the chairman of the Finance Committee, arguing that state budget financing lacks a connection to actual performance indicators. He cites traffic safety as an example, where the deterioration of metrics (such as an increase in the number of fatalities) does not bring about the necessary additional funding; instead, financing problems actually worsen. He demands an explanation for this contradictory trend.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann analyzes the complexity of cross-national and qualitative metrics (such as security) in the budgeting process, noting that while priorities (like national defense) are crucial, not all outcomes can be purchased with money, and maintaining the target level requires continuous financing. She stresses that budgeting is moving in the right direction—towards focusing on measuring results rather than categories of expenditure—but Estonia still has a long way to go to fully implement this new approach.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller gave the floor to Madis Kallas, inviting him to approach the podium.
Madis Kallas
Profiling Fraktsiooni mittekuuluvad Riigikogu liikmedAI Summary
Madis Kallas drew attention to the repeated observations made by the National Audit Office regarding deficiencies in the internal control systems of the Centre for Defence Investments and the Defence Forces. He then asked whether the committee had discussed the possibility of Parliament providing additional assistance through special committees, given the difficult times and the context of large defense expenditures, as existing resources are insufficient to resolve the situation.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann confirmed that the Finance Committee has repeatedly addressed the economic problems documented in black and white in the State Audit Office's audit with the Minister of Defence, who has promised to implement measures to resolve the situation. She then directed the listeners to the State Auditor present at the session for further clarification, noting that the Auditor has also received additional materials.
Aseesimees Arvo Aller
AI Summary
Vice-Chair Arvo Aller and Helle-Moonika Helme were called to the podium to deliver their presentations.
Helle-Moonika Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
Helle-Moonika Helme addresses Annely, asking her to re-explain exactly how the amount of money allocated to road construction is connected to the number of traffic accidents, since the previously provided answer regarding the relationship between the metrics and the financial need remained unclear.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann emphasizes that while it is crucial to invest in better roads and reconstruct dangerous spots to bring down the number of traffic accidents, good traffic culture is equally critical, because there are things that money just can't buy.
Aseesimees Arvo Aller
AI Summary
Vice-Chairman Arvo Aller called upon Helle-Moonika Helme to approach the podium and deliver her presentation.
Helle-Moonika Helme
Profiling Eesti Konservatiivse Rahvaerakonna fraktsioonAI Summary
Helle-Moonika Helme emphasizes that although better roads would reduce the number of traffic accidents, the Reform Party governments have created a severe funding shortage in road construction and maintenance. She sees a direct link between this lack of funding and the rising number of accidents, and therefore demands increased financing for the road network.
Annely Akkermann
Profiling Eesti Reformierakonna fraktsioonAI Summary
Annely Akkermann agrees that better roads reduce the number of traffic accidents, and emphasizes that road construction funding in the 2026 budget will increase significantly. This increase will enable the construction of several dozen kilometers of four-lane roads toward both Pärnu and Tartu. Furthermore, the financing will utilize both 85 million euros allocated from the motor vehicle tax and Military Mobility funds designated specifically for the Pärnu direction.
Aseesimees Arvo Aller
AI Summary
Deputy Chairman Arvo Aller concluded the round of questions and the faction debates, following which the first reading of Draft Act 720 was concluded, and the deadline for submitting amendments was set for November 19 of the current year at 5:15 PM.