Eesti Pank is hosting a public seminar on 18 December to discuss whether and how the state should steer the economy. The discussion will focus on how states have become increasingly interested in steering economic development more forcefully, and the opportunities and dangers that this brings for businesses operating both in global and local markets. It will also discuss what the best solution for Estonia might be. The seminar can be watched as a live broadcast on the Eesti Pank website or its Facebook page.

Increased geopolitical tensions have hurt international trade, pushing states to pay more attention than before to economic independence and security of supply as they try to ensure their access to strategically important commodities and technologies, and to accelerate the green transition. Governments are increasingly looking to achieve those goals through industrial policy, which can mean for example subsidising companies, providing tax breaks, or granting exemptions from rules. Policy steps like this can have a monetary cost though, and can have unintended consequences for the structure of the economy.

Eesti Pank wants the seminar to provide more clarity about why states are following industrial policies and what the opportunities and risks from them may be. Policy makers and business leaders are invited to discuss how support programmes aimed at companies affect the global and local business environment, and what a small country like Estonia should do.

The seminar will be opened by Governor of Eesti Pank Madis Müller, who will discuss the global trends steering economic and industrial policy, and by Senior Economist from the OECD Lukasz Rawdanowicz, who will discuss the new results and impact of industrial policy.

The first round of discussion will look at corporate subsidies in Estonia and the European Union. The speakers will be Maive Rute, Deputy Director-General for internal market, industry, entrepreneurship and SMEs at the European Commission; Aare Järvan, member of the management board of the Estonian Business and Innovation Agency; Mart Laatsit, Head of Division for Innovation, at the Faculty of Engineering at Lund University; and Urmas Varblane, Professor at the School of Economics and Business Administration of the University of Tartu, member of the Estonian Academy of Sciences, and chair of the Eesti Pank Supervisory Board.

The second discussion will hear the opinions of businesses about how global trends have affected them, and what the future may hold. Speaking at the seminar will be Kadri Kiisel, Chair of the Management Board of LHV Pank and Chair of the Council of the Estonian Banking Association; Katre Kõvask, CEO of YOOK Production; Otto Pukk, CEO of Incap Corporation; and Ivo Suursoo, Chairman of the Board at OIXIO Group, and Head of the Chamber of Innovation Acceleration and Vice-Chair of the Council at the Estonian Employers’ Confederation. Both discussions will be chaired by Deputy Governor of Eesti Pank Ülo Kaasik.

The seminar will be in Estonian, and the foreign guest will speak in English. There will be no simultaneous interpretation of the seminar.

Further information:
Hanna Jürgenson
Communications Officer of Eesti Pank
Tel: 56920930
Email: [email protected]
Press enquiries: [email protected]