trade partners. The government recently increased its spending on innovation by a considerable amount. The prime minister of Estonian Reform Party has aimed to raise Estonian GDP per capita to one of the EU's highest by 2022.
Because of the global economic recession that began in 2007, the GDP of Estonia decreased by 1.4% in the 2nd quarter of 2008, over 3% in the 3rd quarter of 2008, and over 9% in the 4th quarter of 2008. The Estonian government made a supplementary negative budget, which was passed by Riigikogu. The revenue of the budget was decreased for 2008 by EEK 6.1 billion and the expenditure by EEK 3.2 billion. In 2010, the economic situation stabilized and started a growth based on strong exports. In the fourth quarter of 2010, Estonian industrial output increased by 23% compared to the year before.
According to Eurostat data, Estonian PPS GDP per capita stood at 67% of the EU average in 2008. In March 2011, the average monthly gross salary in Estonia was 843€
However, there are vast disparities in GDP between different areas of Estonia; currently, over half of the country's GDP is created in Tallinn, the capital and largest city. In 2008, the GDP per capita of Tallinn stood at 172% of the Estonian average, which makes the per capital GDP of Tallinn as high as 115% of the European Union average, exceeding the average levels of other counties.
The unemployment rate is around 11.7%, which is above the EU average, while real GDP growth as of 2011 was 8.0%, five times the euro-zone average. As of 2012, Estonia remains the only euro member with a budget surplus, and with a national debt of only 6%, it is one of the least indebted countries in
