Half of Estonian GDP is created in Tallinn

29.09.2008, 09:11

According to Statistics Estonia, the value added created in Harju county covered 61.1 pct of the Estonia’s gross domestic product (GDP) in 2006. Concentration of active economic activity in Tallinn played the main role in it. The value added created in Tallinn accounted for 50.8 pct of Estonia’s GDP.

The share of Harju county’s value added has gradually increased in the GDP of Estonia, for example ten years ago, i.e. in 1996, the share of Harju county comprised 53 pct of Estonia’s GDP.

In 2006, Harju county was followed, at a great distance, by Tartu county and Ida-Viru county whose shares in the GDP of Estonia were 9.8 pct and 7.2 pct respectively. Three counties which had contributed the least to the GDP of Estonia for several years running were Hiiu, Põlva and Jõgeva counties (with the respective proportions of 0.5 pct, 1.1 pct and 1.2 pct in the GDP).

In 2006, the GDP of Estonia per capita was EEK 152,610, while the respective indicator of Harju county was EEK 239,987 or 157.3 pct of the Estonian average. But the relevant indicator of Tallinn accounted for 172 pct of the Estonian average.

Harju county was followed by Tartu and Pärnu counties, where the indicators of GDP per capita were 88.3 pct and 73.1 pct respectively of the Estonian average. The smallest GDP per capita was continuously observed in Jõgeva and Põlva counties in 2006, respectively 43.8 pct and 47.4 pct of the Estonian average.

In 2006, 67.2% of the value added of Estonia was produced in the tertiary sector, 29.7% in the secondary sector and 3.1% in the primary sector. Over the last ten years, the share of primary sector has been continuously decreasing and the share of tertiary sector has been increasing.

It is characteristic of Estonia that in the counties which share of the GDP in the country’s GDP is large (Harju, Tartu and Ida-Viru counties), the share of primary sector is very small. But in the counties which share of the GDP in the country’s GDP is the smallest (Jõgeva, Hiiu and Põlva counties), the primary sector has a relatively large share.

Thus, in 2006, 73.8 pct of the Harju county’s value added was produced in the tertiary sector and only 0.8 pct in the primary sector. In Tartu county, the tertiary sector accounted for 66.9 pct and the primary sector 2.9 pct. But in Ida-Viru county, which is one of the three counties characterized by the largest GDP, almost half of the value added (49.6 pct) was produced in the secondary sector. This reflects the important role of mining, electricity and manufacturing in the economic activity of this county. The share of primary sector was very modest (1.6 pct) in Ida-Viru county.

In Jõgeva, Hiiu and Põlva counties, the share of primary sector was 19.3 pct, 15.5 pct and 17.0 pct respectively.

Primary sector includes the economic activities of agriculture, hunting and forestry; and fishing. Secondary sector includes mining and quarrying; manufacturing; electricity, gas and water supply; and construction. Tertiary sector includes wholesale and retail trade; hotels and restaurants; transport, storage and communication; financial intermediation; real estate, renting and business activities; public administration and defence; compulsory social security; education; health and social work; other community, social and personal service activities.