Budget, Estonia, Financial Services, Legislation

"The budget volume grows, the main source of growth is personal income tax," said Mayor of Tallinn Edgar Savisaar at the city government's press conference on Wednesday.

Tallinn's financial director Katrin Kendra said that next year's budget is as big as this year's city budget together with supplementary budgets. "In the next year's budget, the city's revenues and expenses grow by about 2%. Investment activities are designed to get 70 million euros. The major areas of investment are still roads-streets, education and sports," said Kendra.

Savisaar said the priority of the budget for next year is kindergarten space as the city wants to guarantee a municipal kindergarten seat to every child that needs it. Savisaar said that another priority is streetlights. Also the Kalev Sports Hall renovation takes four to five million euros. Road and street repairs get 25.7 million euros.

Tallinn's debt burden is estimated to be 51% by the end of the year and this could rise to 53% next year.