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e- guide The most advanced digital society in the world

– Wired Estonians are pathfinders, who have built an efficient, secure, and transparent ecosystem that saves time and money. e-Estonia invites you to join us on a digital journey. about Estonia

Estonia is an innovative nation in Northern Europe known for its digital ambitions. Thanks to smart e-solutions created here, it takes only a few hours to start a company and minutes to declare taxes. The nation is in the top countries in Europe in terms of start- ups per capita and ranks first in the Entrepreneurship Index by the WEF.

However – there’s a lot more to discover! We have world-famous choir Situated: on the Gulf of Finland music and Simple Session – the most Population: 1.3 million international action sporting event in the world. Meanwhile, we hold the Language: Estonian fourth place in urban air quality in the Size: 45,339 sq. km world, with forests covering about half Capital city: Tallinn of Estonian territory. And still, as a Currency: Euro digital society, almost 90% of Estonian Government: Parliamentary households have broadband coverage. democracy Member of: EU, NATO, WTO, Discover, what our innovative OECD, DIGITAL 5 country has to offer! the journey of a digital pathfinder

Estonia, as a small country, has never enjoyed abundant natural resources or a huge internal market. Yet, we do have a lot of industrious and entrepreneurial people.

Siim Sikkut In fact, according to the World Estonian Government Economic Forum, we are the most Chief Information Officer entrepreneurial country in Europe.

Estonia has realised that our size is In just the last few decades, Estonia actually an advantage which helps us has become a place where new create effective solutions that the world solutions get their start. We are used needs. That´s probably the reason to being pathfinders in digital society Estonia is among the top countries in and government. What began slowly, Europe ranked by start-ups per capita. step-by-step, has become our nation’s The examples range from the private calling card. Estonian tech startups are sector’s Skype to the e-Residency also disrupting industry verticals one program created by government. by one. Our credo: We constantly seek e-Residency is our governmental startup and develop new digital solutions that with great potential to revolutionize allow things to get done faster, better, location-independent, global business and cheaper. Estonian digital solutions, management. (If you haven’t joined yet, in government and beyond, are geared you should – visit e-resident.gov.ee). for practical benefits – not just the cool factor (though they are cool, too). Our credo: We constantly seek and develop new digital solutions that allow things to get done faster, better, and cheaper

Of course, every coin has two sides. In the complicated IT world, you can expect to sometimes err. For a country which has consciously chosen a pathfinder role, adopted rapid reforms, and been a role model for the creation of new solutions, it is inevitable that things sometimes go wrong. It is important to stick to your principles, learn from your mistakes (quickly!), and to talk about them openly – features common to true experts. This is how a successful digital society was built in Estonia, and it’s the way we intend to continue.

We have built a digital government and society from scratch, and so can you. Today, Estonia has shared its e-governance journey with 60 governments that follow our example and employ our competence. If you want to see how a truly successful information society works, come to Estonia – or start by checking out e-estonia.com. Our private companies, experts as well as government officials are happy to share our digital know-how and solutions to make the world a more efficient place. we have built a digital society – and so can you

e-Estonia is an incredible success story that grew out of a partnership between a forward-thinking government, a pro- active IT sector, and a switched-on, tech-savvy population. Being a pathfinder in public sector e-services meant that nothing was prepared for us – we had to cut our own trail to discover how to provide services in a form that did not yet exist, and which could be available to everyone 24/7.

Here are some indicators that show Financial indicators: how IT-solutions have improved -- 98% of companies are everyday life in Estonia. established online -- 99% of banking Savings and efficiency: transactions are online -- At least 2% of state GDP -- 95% of tax declarations are filed is saved due to collective online – it takes only 3 minutes! use of digital signatures -- 840 years of working time saved e-Government indicators: annually thanks to data exchange -- 98% of Estonians -- Time to establish a business reduced have a national ID-card from 5 days to 18 minutes -- Over 30,000 people have applied for e-Residency -- Over 30% of Estonian voters from 116 countries use i-Voting in Estonian elections In 2007, Estonia set a world record for establishing a company online in 18 minutes

Healthcare: Cyber security: -- 97% of patients have -- Locked Shields is the countrywide-accessible world’s largest and digital records most advanced international -- 99% of prescriptions are digital technical live-fire cyber defence exercise -- 500,000 queries by doctors and – it takes place annually in Estonia 300,000 queries by patients every year concurrent with the CYCON conference -- Estonian government started live tests X-Road data with KSI Blockchain technology in 2008. exchange platform: Today, KSI Blockchain service is available -- 99% of public services globally in more than 180 countries online with 24/7 access -- Estonia hosts the NATO Cooperative -- 500 million queries annually via X-Road Cyber Defence Centre of Excellence -- No system downtime since 2001 and European IT agency

Public safety: Education: -- Police work has become -- First in Europe 50 times more effective in the OECD PISA test thanks to IT solutions -- Two times more students -- e-Police system available in police cars in ICT-related courses on the average unites over 15 databases, including than in developed countries those of Schengen and Interpol -- 85% of schools use e-School where one -- Estonia was the first country in the million grades are entered every day EU to legalise testing self-driving vehicles on public roads our success story

When Estonia started building our information society about two decades ago, there was no digital data being collected about our citizens. The general population did not have the internet or even devices with which to use it. It took great courage to invest in IT solutions and take the information technology route. Here are some of our best e-solutions that have led to Estonia becoming one of the world’s most developed digital societies.

Principles of Estonian e-governance: may use the infrastructure and it works as an open source. -- Decentralisation – There’s no central -- No legacy – Continuous legal database and every stakeholder, whether change and organic improvement a government department, ministry, or of the technology and law. business, gets to choose its own system. -- Once-only – Data is collected only -- Interconnectivity – All system once by an institution, eliminating elements exchange data securely duplicated data and bureaucracy. and work smoothly together. -- Transparency – Citizens have -- Integrity – All data exchanges, the right to see their personal M2M communications, data information and check how it is used at rest, and log files are, thanks by the government via log files. to KSI blockchain technology, independent and fully accountable. No. 1 in Freedom of the -- Open platform – Any institution Net (Freedom House 2016) the journey of e-Estonia Population Register The state’s database for holding basic information about each person ID-card living in Estonia. Estonia has by far the most X-Road highly-developed national e-Tax board The backbone of e-Estonia. ID card system in the world. Electronic tax filing Invisible yet crucial, it allows Much more than a legal system. Each year, the nation’s public and photo ID, the mandatory around 95% of all tax private sector e-Service national card also provides declarations in Estonia databases to link up and digital access to all of are filed electronically. function in harmony. Estonia’s secure e-services.

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m-Parking e-School Digital signature Mobile Parking is a One of the most widely Since 2002, every Estonian convenient system that can used web applications resident has been able to be used in privately-owned for schools in Estonia, it provide a digital signature. and public parking facilities provides an easy way for Today, this is done via ID- in Estonia, allowing drivers parents, teachers, and card, Mobile-ID, or Smart- to pay for parking using children to collaborate ID, for safe identification their mobile phones. and organise all needed and use of e-services. information for teaching and learning. ID bus ticket On buses and trams, a passenger may dial a Mobile-ID telephone number to buy Allows people to use a a ticket or a monthly pass. mobile phone as a form Because the ticket is tied of secure digital ID. Like to the passenger’s state- Estonian Education the ID-card, it can be issued ID code, any ticket Information System used to access secure controller who checks the A state database that e-services and digitally sign passenger’s ID Card will brings together all documents but has the instantly see that a ticket information related to added advantage of not has been purchased. education in Estonia. requiring a card reader.

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e-Land Registry i-Voting e-Police system A one-of-a-kind web A unique solution that Involves two main tools: application that contains simply and conveniently a mobile workstation information on all property helps engage people in installed in each patrol ownership and rights for the governance process. In car, and a positioning properties and land parcels. 2005, Estonia became the system that shows first country in the world to headquarters every hold nationwide elections officer’s location and status. using this method. Keyless Signature e-Prescription Infrastructure A centralised paperless A blockchain technology system for issuing designed in Estonia and handling medical EV quick-charging and used since 2012 to prescriptions. At the network make sure networks, pharmacy, all a patient The charging infrastructure systems, and data, such needs to do is present an project created an as national health, judicial, ID-card. The pharmacist Estonian network of quick legislative, security, and then retrieves the patient’s chargers. Quick chargers commercial code systems, prescription from the for electric cars blanket are free of compromise, system and issues the Estonia today and ensure all while retaining medicine if it has been freedom of movement for 100% data . prescribed to the patient. drivers of electric cars.

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e-Health system Smart Grid X-Road Europe A nationwide system A digitally enabled electrical Estonia was the first in integrating data from grid that gathers, distributes, the world to interconnect Estonia’s healthcare and acts upon information decentralized components providers to create a regarding the behaviour of of state- and public common record every all participants (suppliers sector databases at patient can access online. and consumers) in order the national level. to improve the efficiency, importance, reliability, economics, and sustainability of electricity services. Data Embassy Currently in its testing period, the Data Embassy is an extension of the e-Receipt Estonian government A portal that enables Reporting 3.0 in the cloud, meaning end users to manage The goal of the Reporting the state owns server their receipts, as well 3.0 project is to reduce the resources outside its as documents related burden on entrepreneurs territorial boundaries. to those, such as concerning obligatory Estonia’s first Data letters of guarantee submission of data to Embassy in Luxembourg and product manuals, state institutions by the will be operational by in a single, convenient automatisation the end of 2017. web environment. of data flow.

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e-Residency Opening a bank Testing intelligent A transnational digital account online transportation for which anyone in Estonian law was amended Estonia took an important the world may apply allows to allow e-residents to step when the government the user to run a trusted open business bank made it legal to test location-independent accounts entirely online. self-driving vehicles on all EU business online with national and local roads. all the tools needed to conduct business globally. building blocks of e-Estonia

e-Estonia’s success relies on an open-minded citizenry, who are eager to use e-solutions, and a strong infrastructure that has made it possible to build a safe and user-friendly e-services ecosystem.

e-Governance e-Identity Thanks to a safe, convenient, Thanks to a digital identity and flexible digital ecosystem, issued to every Estonian and Estonia has reached an e-Resident of Estonia, the unprecedented level of transparency country is years ahead of countries still in governance and built broad trust trying to work out how to authenticate in its digital society. For example, our people without physical contact. In government uses e-Cabinet to pass Estonia, every person can provide laws, while citizens use i-Voting to have digital signatures using their ID-card, their say. As a result of digital signatures, Mobile-ID, or Smart-ID, so they can Estonia annually saves 2% of GDP and safely identify themselves and use has become a hassle-free environment e-services. Digital signatures have for business and entrepreneurship. been used in Estonia since 2002, and Estonia is probably the only country over 370 million signatures have been in the world where 99% of public provided since then – this is more services are available online 24/7. than in the entire . Estonia is the first in the world to offer 99% of all public services online 24/7

Interoperability services experience with cyberattacks in 2007, The 21st-century keywords, scalable KSI Blockchain technology citizen-centred state, and was developed in Estonia. Besides service-oriented information securing its own e-services with system, require information systems blockchain, such as e-Law and e-Court, to function as an integrated whole to Estonia also became host to the NATO support citizens and organisations. To Cooperative Cyber Defence Centre do that, organisations and information of Excellence and the European IT systems, such as the Population Register agency. Also in regular use, e-Police, or State e-Services Portal, must be Alarm Centre, and e-Ambulance Fast interoperable and able to work together Reaction keep Estonian streets safe. so that data is requested from the citizen once. Estonia’s solution for maintaining Healthcare a modern state is the data exchange Estonia’s healthcare system layer X-Road, which saves Estonians has been revolutionised 800 years of working time every year. by innovative e-solutions. Patients and doctors, not to mention Security and safety hospitals and the government, benefit Being a digital society means from convenient access and savings exposure to cyber threats. that e-services deliver. Each person in With solid investments in Estonia has an online e-Health Record cybersecurity infrastructure, Estonia and can use e-Prescription to get has developed extensive expertise in medicine without paper prescriptions. this area, becoming one of the most The electronic ID-card system and recognised and valued international blockchain technology are used cybersecurity experts. After our to ensure health data integrity and mitigate internal threats to data. Estonia was the first in the world in 2005 to vote using an internet-based solution

Location-based services Thanks to the location-based aspect of many of our public services, Estonia has been able to increase the well-being and safety of its citizens. In 2000, Estonia made headlines by pioneering a system that can instantly pinpoint the location of any GSM mobile phone used to make an emergency call. Today, Estonia continues its commitment to innovation and new technologies by offering the opportunity to use Estonia as a test bed for self-driving technologies and intelligent transportation systems.

No. 1 in mobile network coverage (Global IT Report 2016) No. 6 in mobile broadband penetration (Global IT Report 2016) No. 1 most entrepreneurial country in Europe (World Economic Forum 2017)

Business and finance Education The goal of the educational Modern e-solutions make digital revolution in Estonia setting up and running a is to implement modern business in Estonia quick digital technology, such as e-School or and easy. Estonian solutions like digital the Estonian Educational Information signatures, electronic tax filing, the System, more efficiently and effectively e-Business Register, and the availability in learning and teaching, and to of public records online have pared improve the digital skills of the entire down bureaucracy to a bare minimum nation. For example, our goal includes and facilitated an environment where ensuring that every student receives business is easy, yet also secured with the knowledge and skills to access blockchain technology. It’s a simple the modern digital infrastructure for fact: Where business is easy, business future use. Estonia’s success in the will grow. That’s why Estonia is among digital revolution is reflected in the the countries hosting the highest fact that twice as many students concentration of start-ups per capita. pursue IT-careers in Estonia versus the average in other OECD countries. No. 1 in public services in the DESI index (EU Commission 2017) No. 1 in the Digital Development

No. 3 in start-ups per capita (2016) Index (Barclays 2016) an ambitious future

Successful countries must be ready to experiment. Building e-Estonia, one of the most advanced e-societies in the world, has involved continuous experimentation and learning from mistakes. Estonia sees the natural next step in the evolution of the e-state as moving basic services into a fully digital mode: Things can be done for citizens automatically and, in a sense, invisibly.

In order to remain an innovative, We believe that countries will one day effective, and successful Northern compete for e-residents based on European country that leads by example, the quality of their public e-services we need to continue executing our and their business environment. vision of becoming a safe e-state with automatic e-services available 24/7. Data Embassy The Data Embassy is an A new digital nation extension in the cloud of the e-Residency is building a Estonian government, which new digital nation for citizens means the state owns server resources of the world where no-one outside its territorial boundaries. This is held back from their entrepreneurial is an innovative concept for handling potential because of where they state information, since states usually choose to work or reside. This has store their information within their enormous potential for unlocking global physical boundaries. Data Embassy growth by democratising access to resources are under Estonian state entrepreneurship and e-commerce. control, secured against cyberattacks Estonia is the first country to offer e-Residency – a government-issued digital identity available to anyone in the world interested in running a global EU company fully online

or crisis situations with KSI blockchain Cross-border data technology and are capable not only exchange of providing data backups, but also of As businesses and citizens operating the most critical services. become more mobile, the need for truly international e-services Blockchain becomes all the more pressing Although blockchain has only to remove the red tape involved become a hot technology in the cross-border movement of in the private sector in people and companies. Estonia has recent years, Estonia has been testing begun this work with a public sector the technology since 2008 and is data exchange facility, established leading the blockchain revolution. In between Finland and Estonia in 2017. order to provide an unchangeable Estonia hopes that cross-border data historical data record, the technology exchange will soon become possible has been in active use since 2012 in between all European countries. Estonia’s registries, such as national health, judicial, legislative, security, Intelligent transportation and commercial code systems. There Estonia is already an are plans to extend its use to other innovation leader in IT with spheres, such as personal medicine, electronic identity cards, cybersecurity, and data embassies. i-Voting, and e-Residency. In 2017, we took another important step when the government made it legal to test self-driving vehicles on all national and local roads. We believe that self-driving technology helps improve road safety and road use efficiency. Estonia was first in the world to test and use blockchain technology for government

With self-driving cars, Estonia will health, and individuals will take more continue its commitment to providing a responsibility for managing their state-of-the-art platform for innovation own health. Second, patients will be and new technologies as it already able to access information wherever has all the prerequisites in place. they happen to be at a time of their choosing, enabled by point-of-care Reporting 3.0 devices – equipment provided by The goal of Reporting 3.0 the state that patients may use is to reduce entrepreneurs’ themselves. Finally, Estonia will provide burden of obligatory data global health accounts and introduce submission to state institutions. A the benefits of medical procedures new e-Tax and Customs Board portal based on artificial intelligence. will be completed in 2020, where the information exchange between Digital transformation companies and the tax authority will be in education automatic and require only the granting We in Estonia believe that of access to data. This will save time raising smarter kids is the and money, allowing companies to smartest investment a country can make. focus on growth and productivity. But we also understand the importance of lifelong learning. Estonia’s educational Healthcare 4.0 digital revolution implements modern Healthcare 4.0 is Estonia’s digital technology more efficiently and solution for the future. First, effectively in learning and teaching, thanks to personalised improving the digital skills of the entire medicine and genome-based nation. One example: by 2020 all study analysis, people will become more materials in Estonia will be digitized aware of the factors influencing their and available through an e-schoolbag. Estonia was first in the world to interconnect decentralised components of state and public sector databases at a national level

Industry 4.0 Real-Time Economy Introduction of Industry The-Real Time Economy 4.0-type solutions could (RTE) is an environment impact everything from where financial and how quality is monitored to how administrative transactions connecting much effort goes into supply chain citizens, business and public-sector management. Several players in entities are in structured standardized Estonia’s ICT sector focus on Industry digital form. These transactions are 4.0 solutions development. At the increasingly generated automatically centre of their strategy is a concept and completed in real time without called Real-Time Factory which, as the store and forward processes. Digital name suggests, allows managers to services should be designed so that track key performance indicators in real they are easy to use and secure for the time, showing where improvements EU citizen (also for the handicapped can be made and allowing the entire and those who do not use the internet). factory to operate as one integrated Incentives should be provided for the system. Tallinn-based SimFactory, migration from paper, e-mail, and for example, specializes in helping manual versions, and data connected from all relevant sources. For example, electronics manufacturers adopt solutions like real-time payments, the Real-Time Factory approach, e-ID services, real-time e-Invoicing, giving them the kind of data-driven and e-Receipts, automated and real- production that can streamline time accounting and VAT-reporting, every aspect of their operations. automated credit and investment risk evaluation and processing, can hugely benefit the digital single market through direct cost savings. IT sector

IT plays a central role in Estonian life tax declarations are filed on paper. because people trust IT solutions. To date, Estonia has shared Essential e-solutions in Estonia that its e-governance journey with enable the digital society to function 60 governments and exported smoothly were all built by local Estonian its solutions to over 130 countries companies. Our IT sector has over around the world. The Estonian 20 years of expertise and experience IT sector and ambitious start-up in automating public and private sector community (known affectionately as services. Today, virtually all state- the Estonian Mafia) dare to create related operations can be done online innovative e-services that change the 24/7 – prescriptions are issued digitally world – from Skype to e-Residency. and only a tiny fraction of individual the Estonian ICT cluster

The Estonian ICT cluster is the can cooperate in order to find partners main force behind cooperation and and develop new solutions, create new development in the Estonian IT sector. products, and improve their competitive It forms a collaborative platform ability on international markets. for enterprises which combines competences and provides access to Contact: a dynamic network of companies. For example, most public and private Doris Põld Maarja Rannama e-solutions in Estonia have been made Cluster Manager Cluster Project Manager using ICT cluster partners. Through [email protected] [email protected] the ICT cluster, Estonian IT companies +372 511 4411 +372 5558 2672 the e-state of mind

The e-Estonia Showroom is an executive and their needs, focusing on presenting briefing centre and innovation hub, the e-Estonia concept and coordinating offering a full overview of Estonia’s G2G, B2G, and B2B relations. e-solutions. Our goal is to inspire 2 global policymakers, political leaders, 360 m with hands-on exhibits corporate executives, investors, During the visit, guests receive an and the international media with inspirational introduction about the Estonia’s success story and build links underlying mechanisms involved in to leading IT service providers. digitising a society, an overview of 45,000 visitors and the main challenges and policies, an understanding of the infrastructure, 2,700 delegations hosted e-solutions, and services as well as from 130 countries contact with the IT industry. Apart from The e-Estonia Showroom operates in a hosting delegations and arranging 360 square-metre space and includes B2B meetings, we can also create hands-on exhibits. We have hosted custom-tailored visit programmes and 45,000 visitors and 2,700 delegations deliver professional presentations at from 130 countries. Working closely with international conferences and events. our public and private sector partners, we astound delegations by tailoring the Get in touch and book a visit content of every briefing to suit guests online: e-estonia.com

The showroom is convenient- ly located just a two-minute find us drive from the airport and seven minutes from the city centre: 2a Lõõtsa, 11415 Tallinn, Estonia get in touch and book a visit online: e-estonia.com