Estonia's AI program gets €11M boost but no immediate economic return expected

The anticipated economic impact of the Eesti.ai initiative will not be reflected in financial indicators this year, as the project is still in its launch phase, said project team lead Kirke Maar.

In January, the government launched the Eesti.ai program, which is intended to help boost Estonia's economy through artificial intelligence. The initiative will implement AI-related projects in areas such as healthcare, education, and workforce skills.

Projects under Eesti.ai will receive an additional €10.98 million from the supplementary budget, which will reach its second reading in parliament next week.

Prime Minister Kristen Michal has stated that the initiative should help grow Estonia's economy by 25 percent within five years. ERR asked Eesti.ai team lead Maar whether any measurable financial impact could realistically be expected by the end of this year.

Maar noted that this year is still the launch phase, making it unrealistic to assess the initiative's impact on the overall economy in monetary terms by year-end.

"However, by then it will be possible to measure initial intermediate results at the level of individual projects. These may include time savings, reduced manual work, improved data quality, more efficient workflows, and the first pilots and deployments of AI solutions in companies," Maar said.

According to her, project-based metrics will provide more meaningful and accurate insights this year. "The long-term economic impact will only emerge once the use of AI moves from isolated pilots into the everyday workflows of companies, the public sector, and individuals," Maar added.

The €11 million from the supplementary budget is intended to cover activities in Eesti.ai's first implementation phase this year. The initiative includes 15 projects across six areas: workforce skills, healthcare, education, business, AI infrastructure, and the public sector. Eleven of these projects will receive funding from the supplementary budget.

More specifically, €5.2 million will go to the Government Office to implement the population skills program "The Most AI-Savvy Nation."

The Ministry of Justice and Digital Affairs will receive €1.055 million for initiatives related to legislation and automating public sector workflows, including licensing costs needed by the public sector. The State Shared Service Center will receive €0.55 million to improve simple procurement processes using AI.

The Ministry of Education and Research will receive €1.9 million. Of this, €1.3 million will be used to develop practical AI solutions to support teachers and students, €25