Estonia, an e-exemplary country

A talk on Estonia, a pioneer in e-administration and e-services, was organised by the Monaco Economic Board (MEB) on 16 February at MonacoTech, attended by 50+ business men and women, and Monaco officials. It was a timely contribution to the Principality’s discussions on its smart city future.

It was while accompany an official trip by HSH Prince Albert II in 2011 that the MEB discovered the astonishing progress Estonia has made in e-administration. The delegation was taken on a tour of the Estonian ICT demonstration centre showcasing the country’s ambitious digital e-Estonia project.

Seven years on, Indrek Vimberg who led the tour was in the Principality to give an update on progress, accompanied by Rein Lang, former minister and now consultant to Nortal which supplied around 40% of the e-Estonia project’s digital tools.

As well as MEB members, the talk was attended by MonacoTech startups, the Ministers of Finance and Economy, Interior, Health and Social Affairs, and Foreign Affairs and Cooperation, and representatives from the administration.

During their presentation, Indrek Vimberg and Rein Lang explained why the Baltic country, independent since 1991, made such a radical digital shift as early as 1995.   

Lack of resources and a post-Soviet administration to rebuild were the driving forces. When he became president in 2006, Toomas Hendrik Ilves told citizens: “Instead of a second-hand Mercedes, buy your children a computer!” Ever since, Estonia has been building on foundations already laid and adapting its legislation.

In 2002, citizens were given an electronic identity card which step-by-step gave them access to all sorts of services, such as the electronic signature (2002), electronic vote (2005) and an e-health system that has done away with paper prescriptions (2010).

The project has also boosted the country’s appeal to businesses, as since 2015 an e-residence system has enabled foreigners to set up a business remotely in just a few clicks. To achieve all this, Estonia has built a complex infrastructure of databases, linked by a secure national digital highway.

The project has had a major impact on the country’s economy. Agriculture which represented 30% of GDP in 1991 is no more than 4%, while the services sector now generates 68%. E-administration has also cut costs and improved efficiency. As an example, Estonia estimates a saving of 2% of GDP thanks to the e-signature alone.

There is no doubt the presentation gave government ministers and those who run the administration food for thought on how to advance Monaco’s future as a smart city.