The Estonian economy is recovering. The revival in the economy in 2026 will be supported above all by the rebound in foreign markets and by measures taken by the state. Income tax changes will leave people with more money available, and the increase in spending by the state will steer additional funds into the Estonian economy. The outlook for the economy is still overshadowed by the difficult geopolitical situation and uncertainty about the future, including a lack of clarity about how the state finances will be returned to a path of sustainability.