5 (next to be held 7 March 1999)
election results: percent of vote by party--KMU 32.22%, RE 16.18%, K
14.17%, Pro Patria and ERSP 7.85%, M 5.98%, Our Home is Estonia and
Right-Wingers 5.0%; seats by party--KMU 41, RE 19, K 16, Pro Patria
8, Our Home is Estonia 6, M 6, Right-Wingers 5

Judicial branch: National Court, chairman appointed by Parliament
for life

Political parties and leaders: Coalition Party and Rural Union or
SAVISAAR, chairman]; Union of Pro Patria or Fatherland League
ANDREJEV] made up of two parties: United People's Party and the
Russian Party of Estonia; note--Our Home is Estonia split when two
Russian Party of Estonia members withdrew; United People's Party
parties: Social Democratic Party or ESDP and Rural Center Party or
VEIDEMANN, chairwoman] (created by defectors from Center Party in
late spring 1996, Development Party faction split and now holds five

International organization participation: BIS, CBSS, CCC, CE,
EAPC, EBRD, ECE, EU (applicant), FAO, IAEA, IBRD, ICAO, ICFTU, ICRM,
IFC, IFRCS, IHO, ILO, IMF, IMO, Interpol, IOC, ISO (correspondent),
ITU, OPCW, OSCE, PFP, UN, UNCTAD, UNESCO, UNMIBH, UNTSO, UPU, WEU
(associate partner), WHO, WIPO, WMO, WTrO (applicant)

Diplomatic representation in the US:
chief of mission: Ambassador Grigore-Kaleu STOICESCU
chancery: 2131 Massachusetts Avenue NW, Washington, DC 20008
consulate(s) general: New York

Diplomatic representation from the US:
chief of mission: Ambassador Melissa WELLS
embassy: Kentmanni 20, Tallinn EE 0001
mailing address: use embassy street address

Flag description: pre-1940 flag restored by Supreme Soviet in May
1990--three equal horizontal bands of blue (top), black, and white

Economy

Economy--overview: Estonia's continued adherence to market
reforms, disciplined fiscal and monetary policies, and a liberal
free trade regime resulted in GDP growth in 1998 of 5.5% and a
decrease in inflation to 6.5% from 11.2% in 1997. A high but
slightly decreased current account deficit was estimated at 8.6%.
The fall in GDP growth is largely due to the impact of Russia's
financial crisis and reduced investment in emerging markets in the
wake of the Asian financial crisis. Like other small emerging
markets, Estonia will face difficulties in 1999 as a result of
continuing fallout from Asia. Key events of 1998 were the start of
official EU accession talks, banking se