EIS leads 55% rise in state spending on private PR firms

EIS leads 55% rise in state spending on private PR firms Estonian state and public institutions' spending on public relations last year was up 1.5 times compared with the figure for 2023, Postimees reported. The Estonian Business and Innovation Agency (EIS) is the most significant of these, having paid millions to PR firms in 2023 for services, including for promoting Estonia abroad. Data from the Ministry of Finance's payment application shows while €4.7 million was paid to a total of 13 public relations companies or company groups in 2023, by 2025 the sum had grown to €7.3 million, Postimees wrote on Tuesday. That represents growth of 55 percent over two years. Several of the PR firms in question were hired by state and public institutions, who provide the bulk of their revenues. One of these firms, Akkadian, took in €2.9 million in revenue last year, 80 percent of which came from state institutions. €1.1 million derived from EIS alone, while the Health Insurance Fund (Tervisekassa) paid the company €400,000 for services. Another PR company, Miltton New Nordics, took in €3.4 million in sales revenue last year. Again, over half this came from state institutions, including around €1.6 million from EIS. Postimees wrote EIS spending on PR is higher than any other state institution; the organization has so far paid nearly €900,000 to such firms this year alone. Business registry data reveals EIS employs 479 staff, 39 of them in marketing and communications roles. Kasper Elissaar, who heads up EIS' communications team, said this is mainly the result of the need to promote Estonia abroad as an attractive place to work and live, as an export partner and as a tourism destination. In these cases, EIS hires an Estonian PR firm which in turn hires a PR company which has the required regional expertise and contacts in the target country to represent it. EIS was founded in 2022 through the merger of KredEx and Enterprise Estonia (EAS). Its primary mission is to foster "entrepreneurship and the living environment, helping to increase the international competitiveness of the Estonian economy," the organization states on its website. The full Postimees report (in Estonian) is here. -- Follow ERR News on Facebook and Twitter and never miss an update! Editor: Mait Ots, Andrew Whyte Source: Postimees