1

Introduction to the Baltic States

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3

Structure

1 Estonia

General Data

Economic Data

Remarkable Facts

Excursus: Foreign Investment

2 Latvia

• General Data

• Economic Data

• Development Remarkable Facts

• Excursus:

Labor Market

3 Lithuania

• General Data

• Economic Data

• Development

• Remarkable Facts

• Excursus: Migration

4 Sources

• Development

4

Estonia

Governement: Parliamentary Republic Total area: 45 000 km² Population: 1.31 million Density: 28 inhabitants per km² Capital: Tallinn (396 000 inhabitants) ISO-Code: EE

Eesti Vabariik

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Unemployment rate:

7,7% ( 5,0 % )

Inflation rate (consumer prices):

0,5% ( 0.9 %)

GDP - per capita (PPP):

$20,090 ( $ 67,966)

Economic Data 2014

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Latest Development

1990 Declaration of Independence (Singing Revolution)

1993 Accession to the European Council

1994 Decampment of the last Russian troops

2002 Hosting of the Eurovision Song Contest

2004 Accession to the European Union and Nato

2011 Introduction of the Euro

2011 Tallin becomes European Capital of Culture

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Remarkable Facts

One of the least religious countries in the world

(75 % of Estonians are calling themselves irreligious)

Possibilty to vote by text message since 2011, besides,

possibility to vote online

Highest HIV rate in Europe with 1.5 % of people between 15 and 49 diagnosted with HIV

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Foreign Investment

Total amount of 15,9 Billion Euro (2014)

93% of investors would choose Estonia again

500 German companies operating in Estonia

Flat tax of 21%

No corporate income tax after reinvesting

Lower costs of production

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Latvia

Government: Parliamentary Republic Total area: 65 000 km² Population: 1.98 million Density: 31 inhabitants per km² Capital: Riga (698 000 inhabitants) ISO-Code: LV

Latvijas Republika

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UUnemployment rate:

10,1% ( 5,0 % )

Inflation rate (consumer prices):

0.7% ( 0.9 %)

GDP - per capita (PPP):

$15,730 ( $ 67,966)

Economic Data 2014

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Development

1991 Declaration of Independence

1991 Accession to the OSCE

2003 Hosting of the Eurovision Song Contest

2004 Accession to the European Union

2006 Hosting the Ice-hockey World Cup

2014 Introduction of the Euro

2014 Riga becomes European Capital of Culture

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Remarkable Facts

High minority of Russian people (nearly 30%)

Holding of one of the largest song and dance festivals worldwide (with over 40,000 participants)

40% of the total square are forested

Latvia is home to the widest waterfall in Europe: Ventas Rumba (110 meter wide, 2 meter high)

Latvia has more than 2500 lakes

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Labour Market

Minimum wage of 360 Euro per month (2015)

High unemployment rate among young people (19,8%)

Little importance of labour unions (>10% of all employees)

Rate of part-time jobs equals 7,4% (2014)

Since the EU-entry the number of high-qualified emigrants has increased

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Lithuania

Government: Parliamentary Republic Total area: 65 000 km² Population: 2.88 million Density: 45 inhabitants per km² Capital: Vilnius (537 000 inhabitants) ISO-Code: LT

Lietuvos Respublika

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Unemployment rate:

11.3% ( 5,0 % )

Inflation rate (consumer prices):

0.2% ( 0.9 %)

GDP - per capita (PPP):

$16,467 ( $ 67,966)

Economic Data 2015

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Development

1991 Declaration of Independence

1992 International Rehabilitation Loan

2004 Accession to the EU and Nato

2007 Member of the Schengen-Area

2009 Vilnius becomes European cap. of culture

2011 Hosting EuroBasket

2015 Introduction of the Euro

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Remarkable Facts

Lithuanian was the last nation in Europe that converted to Christianity

Lithuania was the first to declare independence from the Soviet Union in 1990

Lithuania has the world’s highest suicide-rate

National sport is basketball

Vilnius University is the oldest university in Eastern Europe

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Migration

Since the declaration of independence 1/3 of the population has left the country (825 000 citiziens)

One of the highest emigration rates in Europe

Since 2010 the immigration rate has raised (80% are returning Lithuanian residents)

Most popular immigration country is the United Kingdom, followed by Ireland, Germany and Norway (2014)

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Discussion Questions

Do you consider the Baltic states as Northern-

or Eastern- European states?

Where to you see the reasons of the rather positive economic

development compared to other ex-communistic states?

Have you ever taken a holiday in the Baltic states into

consideration? Or even a longer stay?