On September 11th and 12th, a meeting and conference of the Nordic Smart Government and Business network, which connects the Nordic countries, took place near Stockholm, Sweden. It was intriguing to observe that interest in real-time economy applications extended beyond the region. A representative from the Australian Taxation Office was invited to speak about databased reporting, and the team of the Estonian Ministry of Economic Affairs and Communications presented the vision of Estonia's real-time economy and our activities.
We have established a strong connection with the Nordic Smart Government and Business network within the framework of the project "Supporting productivity and competitiveness of Estonian SMEs through Real-Time Economy and single contact point digital solutions" financed by the TSI fund. As one of the outcomes, the project mapped the developments in the field of the real-time economy in nearby countries. Additionally, we laid down the basic principles of a common vision.
It was a pleasure to be part of the warm reception and to share Estonia's accomplishments and plans with a large audience.
These countries share common goals: we aim to create the best possible business environment and ensure that data exchange with the country is straightforward and beneficial for entrepreneurs. We all face similar challenges, such as reducing the administrative burden, establishing a necessary and secure IT infrastructure, and ensuring that users have trust and are highly satisfied with the system.
In Estonia, we've made significant progress in digitization; entrepreneurs no longer rely on paper for their processes, setting us apart from other countries. However, we now encounter a specific challenge: we have 36 different self-service environments. While we can digitally establish a company within 15 minutes, the administration of the company is complex due to fragmented obligations and opportunities across various authorities. This fragmentation results in the right information not reaching the entrepreneur at the right time. To address this, the entrepreneur's digital gateway and the concept of a personal state prove to be invaluable.
We also keep our primary audience in mind. The Estonian business environment is predominantly composed of nearly 94% of micro-enterprises with fewer than 10 employees, and they simply lack the capacity to devote time and resources to administrative processes. Entrepreneurs create value when they focus on their core business!
When considering the activities that an entrepreneur will undertake throughout their business lifespan, we can reasonably predict what activities they will engage in during the startup, maintenance, and closure or restructuring phases. The state also possesses a wealth of data regarding the company's field of activity, location, and other parameters and profile, which provides an opportunity to offer services to entrepreneurs in a targeted manner. The digital gateway for enterprises plays a vital role in this context.
The core principle of the real-time economy is to simplify the company’s administration, making it easily comprehensible with minimal resources. At the European Union level, an initiative is in progress, aiming to reduce the administrative burden on entrepreneurs by at least 25%. We provided our Nordic colleagues with an extensive overview of ongoing projects and initiatives. Additionally, we're delighted to be part of a consortium in the digital wallet project.
Furthermore, we can collaborate across borders to manage a common framework, promote data exchange, advocate for the effective application of new technologies, harmonize legal regulations, and facilitate the sharing of experiences and solutions among countries.
Our approach received a very positive reception, and it is likely that valuable contacts were established for the future.