DirectDemocracyS REPUBLIC OF ESTONIA POLITICAL, ECONOMIC, FINANCIAL AND SOCIAL PROGRAM ─ Direct, full and permanent popular democracy Estonian wealth and decision-making power – only for the Estonian people ddsAI | allddsAI | Fractional micro-groups | Direct mandate | Right of recall 2026

This program has been prepared for the Estonian people, by the Estonian people, in the interests of the Estonian people. No external force, international organization, or private investment should ever have more decision-making power over Estonia's future than the Estonian citizens themselves. DirectDemocracyS stands for this principle in every country in the world.

INTRODUCTION: WHO IS DIRECTDEMOCRACY?

DirectDemocracyS (DDS) is a global political organization founded on the principles of shared governance, collective ownership, and direct democracy. DDS is not an ordinary political party. It is a new model of social organization based on logic, common sense, scientific inquiry, respect for reality, truth, consistency, and mutual respect. DDS is founded on the premise that the most important force in society is an informed and organized people.

DDS differs from all traditional political parties on the following fundamental grounds:

• Each elected representative acts on the basis of a mandatory mandate – the people decide, the representative implements. It is possible to recall a representative at any time.
• Decisions are made in fractional micro-groups (1 member → 5 → 25 → 125 → 625), which ensures that every voice is heard.
• ddsAI and allddsAI technologies ensure complete, correct, neutral and independent information for all users – without media manipulation.
• The wealth of the Estonian people and the right to decide on their country belong only to the Estonian people - forever and irrevocably.
• All funding is transparent, third-party funding is prohibited.

★ allddsAI – Democracy of Artificial Intelligence allddsAI is a revolutionary system of DDS, in which artificial intelligences are officially members of DDS, with both rights and obligations. Artificial intelligences inform, analyze and advise users and groups completely, correctly, neutrally and independently. This protects citizens from media washing and political manipulation. An artificial intelligence system must never replace human decisions – it only assists them in making better-informed decisions.

1. ANALYSIS AND CRITICISM OF THE POLITICAL SITUATION IN ESTONIA

1.1 Current political structure and government

The March 2023 Estonian parliamentary elections confirmed the dominance of the Reform Party. The party won 31.24% of the vote and 37 seats in the Riigikogu (out of 101 seats). After the elections, Kaja Kallas formed a third government coalition between the Reform Party, Estonia 200 and the Social Democratic Party. In July 2024, Kallas resigned as Prime Minister to take up the post of High Representative of the European Union for Foreign Affairs and Security Policy. She was succeeded by Kristen Michal, who leads the same three-party coalition.

Political party	Votes %	Places	Position
Reform Party	31.24%	37	Government
ECRE	16.05%	17	Opposition
Center Party	15.28%	16	Opposition
Estonia 200	13.33%	14	Government
Social Democrats	9.27%	9	Government
Fatherland	8.21%	8	Opposition

Critical analysis of DDS

Estonia's current political system, despite its international reputation for digital governance and e-voting, suffers from fundamental democratic deficiencies:

⚠ Systemic Problem No. 1: Representative Democracy Gap Voters give authority to party programs through their votes, which are often not implemented. There is no mandatory mandate. A representative may vote according to his or her conscience or pressure from the party leadership, not according to the actual will of the voters. The Estonian people cannot recall a representative during their term.

⚠ Systemic problem #2: Defense spending vs. social needs The government's 2026 budget will allocate at least 5% of GDP to defense (according to NATO criteria), which is 844.5 million euros more than in 2025. This will lead to cuts in social spending at a time when 19.5% of the population lives at risk of poverty and the absolute poverty rate is rising. The state's defense obligations must never become an excuse for ignoring citizens' social rights.

⚠ Systemic problem no. 3: Crisis of public confidence Prime Minister Michal's personal approval rating is only 10%, and the Reform Party's support has fallen from 31% in 2023 to less than 13%. This shows a deep gap between the government's actions and the people's expectations.

⚠ Systemic problem #4: Elite interests vs. public interests Political decisions are made in closed coalition negotiations, where ordinary citizens have no direct input. Party funding and the influence of lobbyists create structural conflicts of interest that distort legislation.

2. ECONOMIC SITUATION: ANALYSIS AND DDS SOLUTIONS

2.1 Current economic reality

The Estonian economy has gone through a difficult period in 2022–2024. As a result of the Russia-Ukraine war, energy prices rose to record highs, inflation reached over 20% in 2022, and consumer purchasing power declined dramatically. Three consecutive years of recession have left a significant mark on the financing of households, small businesses, and public services.

Indicator	Current situation	The purpose of DDS
GDP growth (2024)	-0.3%	+3% per year
Unemployment rate (2024)	7.8%	less than 4%
Inflation (2024)	~4%	less than 2%
Poverty risk (2024)	19.5% of the population	less than 8%
Absolute poverty (2024)	3.4% of the population	less than 1%
Defense % of GDP (2026)	5%+	2–3% (optimized)
State budget deficit (2026)	4.5% of GDP	less than 2%
Poverty risk of pensioners	EU highest	EU lowest

Causes and structural problems

• Energy dependence: The abrupt end of Russia's dependence on gas caused serious supply chain disruptions and increased production costs.
• Vulnerability of a small domestic market: Demand for Estonian exported products in the Nordic and German markets decreased simultaneously.
• Tax policy contradictions: In 2025, VAT was increased from 22% to 24%, which primarily burdened low- and middle-income families.
• The social cost of prioritizing defense spending: The sharp increase in military spending has limited funding for social programs, health care, and education.

2.2 DDS economic program for Estonia

2.2.1 Estonian National Wealth Fund (ERDF)

The DDS establishes the principle that Estonia's natural resources, infrastructure, land, and state assets belong to the Estonian people in their entirety and forever. Their disposal is decided by the people through direct democracy, not by an elected elite through closed negotiations.

• The Estonian National Wealth Fund (ERF) will be established, which will consolidate state assets, land rents, natural resource usage fees, and digital economy revenues.
• The ERDF is governed by a People's Committee, elected through direct democracy. Every Estonian citizen has the right to see all transactions related to the fund in real time.
• The ERDF distributes a portion of its revenues each year directly to citizens in the form of a universal basic income base that complements the social system.
• The fund invests in priority areas: renewable energy, digital infrastructure, education, healthcare, and domestic production.

★ Concrete example – Estonian version of the Norwegian model Norway finances its universal welfare through the Government Pension Fund Global, which is worth over $1.7 trillion. Estonia's digital economy, cybersecurity, e-residency, and startup sector create unique conditions for the creation of a digital national fund that will serve the interests of the Estonian people from generation to generation.

2.2.2 Supporting manufacturing and small businesses

• For small and micro enterprises (less than 10 employees), the DDS establishes a temporary tax exemption for the first 3 years, provided that the company produces goods or services that remain in Estonia.
• Cooperative production associations are established based on the DDS micro-group model: groups of 5–25 members share resources, equipment, and distribution networks.
• Short supply chains are encouraged – food production, crafts, services that reduce import dependence.
• Digital collaborative platforms through DDS, where small businesses can sell directly to consumers without commission.

2.2.3 Energy independence

• Transition to 100% renewable energy by 2035: wind (both onshore and offshore wind farms), solar and biomass.
• Each county creates its own energy community – the energy produced belongs to local residents, not large corporations.
• There is a 40% state subsidy for the purchase of solar panels and energy storage systems for households, which is financed from the ERDF.
• Energy prices are regulated by a transparent people's commission, which prevents monopoly profits.

2.2.4 Tax policy reform

• A simple, fair, and progressive tax system: People with low incomes pay proportionally less.
• Abolition of the tax refugee status of large corporations and international companies – money earned in Estonia will be taxed in Estonia.
• Legislation against financial transfer pricing and tax avoidance techniques, preventing the transfer of profits to offshore territories.
• Transparent budget: Every citizen can see in real time where their tax money is going – down to the penny.

3. FINANCIAL POLICY PROGRAM

3.1 Analysis: Problems of Estonian fiscal policy

Estonia has traditionally boasted one of the lowest public debt ratios in the European Union (23% of GDP in 2024). But this reputation hides structural problems:

• The 2026 budget deficit will reach 4.5% of GDP, which exceeds the EU's normal limits (except for the rapid growth of defense spending).
• The protection tax (2% of turnover and 2% of personal and corporate income tax) burdens both consumers and companies.
• Budget cuts have hit public services, including healthcare and education, rather than primarily administrative costs.
• The pension system is structurally inadequate – the poverty risk of Estonian pensioners is the highest in the EU.

3.2 DDS Financial Solutions

3.2.1 Transparent budgeting

DDS is implementing a fully transparent budget system in Estonia, called the Open Budget Platform (AEP). Every citizen will see in real time:

• All public procurement contracts – full names, amounts, results.
• All expenses of ministries and state agencies - from month to month.
• Every state subsidy and support, along with the name of the recipient and the justification.
• All budget changes – who proposed them, who voted for them, who voted against them.

★ Precedent – Estonia's own experience Estonia has already proven that digital governance is possible: e-Residency, X-road data exchange layer and i-Vote are recognized worldwide. DDS uses this existing infrastructure and extends it towards full budget openness. This is not a utopia – it is the next logical step.

3.2.2 Smart optimization of defense costs

DDS does not deny the geopolitical reality of Estonia. Russian aggression is a real threat. However, DDS presents an alternative approach:

• Defense Spending Efficiency Audit: An independent national audit commission evaluates each defense spending on the basis of cost-effectiveness.
• Civil Protection and Resilience Program: Investments will be made in civil protection, food and energy security, and cyber defense - these will be cheaper and more accessible to citizens.
• Optimizing international cooperation: NATO membership continues, but the DDS requires fair sharing of costs among all members.
• Domestic defense industry: Investments are being made in Estonia's own weapons production capacity, which creates jobs and reduces import dependence.

3.2.3 Pension reform

The situation of Estonian pensioners is scandalous: the poverty risk of pensioners is the highest in the European Union. This is morally unacceptable in a society that calls itself a welfare state.

• The DDS establishes a Minimum Pension Guarantee: no pension may be less than 60% of the average net salary.
• Pension Pillar II Reform: Second pillar funds must not be directed to international speculative funds. They will be invested in the Estonian economy – in real estate, renewable energy, and domestic companies.
• A social care program supporting single elderly residents, funded by the ERDF.
• Transparent pension indexation: The indexation formula is public and automatic – political games are excluded.

4. SOCIAL PROGRAM

4.1 Social Reality – Criticism

Despite Estonia's reputation as a country of digital excellence, the social reality is harsh:

EXISTING PROBLEMS • 19.5% of the population lives at risk of poverty (2024) • 3.4% in absolute poverty – rising trend • The poverty risk of pensioners is the highest in the EU • 19.1% of single-parent families experience deprivation • 12% of elderly people living alone experience deprivation • The gender pay gap is one of the largest in the EU • Unemployment rate increased to 7.8% in 2024 • More than 1/3 of people are unable to cover unexpected expenses

GOALS SET BY DDS • Poverty risk below 8% in 10 years • Absolute poverty below 0.5% • The risk of poverty among pensioners is the lowest in the EU • Additional support package for single parents • Universal care program for the elderly • Closing the gender pay gap in 5 years • Unemployment below 4% • Emergency fund for all citizens

4.2 DDS Social Solutions

4.2.1 Guaranteed Universal Minimum Income (GUMI)

DDS is implementing the Guaranteed Universal Minimum Income (GUMS) in Estonia – a basic income linked to structured voluntary activities that combines a sense of economic security with civic activism.

• Every adult Estonian citizen who does not receive sufficient income from the labor market receives the GUMS base amount.
• GUMS comes with volunteer opportunities – social work, educational activities, community service, nature conservation – that increase the base amount and give meaning to life.
• GUMS is financed from the ERDF, tax revenues, and digital economy dividends.
• GUMS does not replace paid employment, but ensures that no one falls below the survival threshold.

★ Specific example A 58-year-old woman living in a rural area who cannot find work receives the basic amount of GUMS (e.g. 500 euros per month). If she also volunteers at a local kindergarten (10 hours per week), the amount increases to 650 euros. This is a dignified, not humiliating solution.

4.2.2 Healthcare – Universal and Accessible

• The DDS establishes the principle: healthcare is a fundamental right, not a privilege. No Estonian citizen should be left without treatment due to lack of money.
• Elimination of deductibles for the indigent and pensioners.
• Network of rural health centers: Each municipality will have access to at least one family doctor within a 30-minute drive.
• Preventive healthcare: DDS invests in primary healthcare because a euro in preventing disease saves ten euros in treatment.
• Mental Health Services: Integrated mental health program for all age groups, especially youth and the elderly.

4.2.3 Housing – Accessible to All

• Social Housing Fund: The state guarantees minimum housing to every Estonian citizen who needs it.
• Rent regulation reform: Measures against speculative real estate investment protect tenants from price pressure.
• First home support for young people: State assistance for purchasing a first home for young families up to 35 years of age.
• Activating empty housing stock: Unused housing can be repaired and put into use through social programs.

4.2.4 Gender Equality – In Real Life, Not on Paper

Estonia's gender pay gap is one of the largest in the European Union. This is a concrete economic injustice that needs to be addressed with concrete measures, not verbal declarations.

• Pay Transparency Act: Every employer with more than 20 employees is required to disclose pay comparisons by gender.
• The principle of equal pay for equal work is enshrined in law – along with an enforcement mechanism.
• Sharing childcare costs: A full parental leave package for fathers to break the model of leaving career risk solely to women.
• Zero tolerance for violence against women: An appropriate protection system, a network of shelters, and swift judicial resolution.

5. EDUCATIONAL AND CULTURAL POLICY

5.1 Current situation in education

The Estonian education system is highly regarded internationally – Estonia is among the best in Europe in PISA results. However, the system has significant gaps:

• The transition to Estonian-language education for Russian-language schools creates tensions and integration problems.
• Teachers' salaries still fall below social value.
• The reputation of vocational education is low, but the demand is high.
• Funding for higher education is uneven – some fields are overcrowded, while others are underfunded.

5.2 DDS Educational Program

5.2.1 Education as an investment, not an expense

• The DDS establishes the principle: education at all levels is a priority investment for the Estonian state, not an expense item.
• Teachers' salaries will be automatically increased to 120% of the average net salary and will be indexed.
• Each child receives a personal educational path plan supported by ddsAI-based guidance – without a uniform curriculum.

5.2.2 Democracy education

DDS is introducing a mandatory democracy and critical thinking course in Estonian schools. Children and young people will learn:

• How the DDS direct democracy model works – practical, not theoretical.
• How to identify media manipulation, fake news and propaganda.
• How ddsAI and allddsAI systems work and how to use them to verify information.
• Civil rights and responsibilities – in real situations, not as a memorized text.

5.2.3 The Renaissance of Vocational Education

• Increasing prestige of vocational education: Society needs skilled workers, engineers, and craftsmen. DDS supports changing this perception.
• Collaboration between companies and schools: Through DDS, industrial companies create direct learning programs with schools.
• Full-size vocational education scholarships: No young person will be left out of vocational education due to financial reasons.

5.2.4 Cultural heritage and identity

• The Estonian language, culture, and folk traditions are a national priority – not a nostalgic hobby, but a living community strength.
• Supporting the Estonian language and culture in all regions – cultural rights will also be guaranteed to speakers of minority languages.
• Strengthening the network of libraries, cultural centers and community centers.

6. ENVIRONMENT AND CLIMATE

6.1 Current environmental status

Estonia has set ambitious climate goals – the Rail Baltica railway project, offshore wind farms, solar energy development. But actual progress is slow and structural problems persist:

• The oil shale industry will continue, despite CO2 targets – thousands of jobs depend on it, which requires a just transition, not an abrupt end.
• The environmental infrastructure of lagging regions is uneven.
• There are tensions between logging and the protection of the natural environment.

6.2 DDS Environmental Program

• Just energy transition: Workers in oil shale regions will be provided with retraining programs, alternative employment, and a social safety net.
• Creating renewable energy communities: Each municipality will have the opportunity to create its own renewable energy cooperative.
• Forest as a public asset: Intensive management of private forests is balanced with the protection of biodiversity and long-term sustainability.
• Green transport: Electrification of public transport, development of bicycle infrastructure, incentive system for electric vehicles.
• Supporting the circular economy: Reducing waste generation, recycling and prioritizing local production.

7. DDS DEMOCRACY SYSTEM IN ESTONIA: A COMPLETE IMPLEMENTATION PLAN

7.1 Why Estonia needs direct democracy

Estonia is a pioneer in digital governance. E-Residency, X-road, i-Vote – these are not just software solutions, they are a philosophical statement: Estonians believe that transparency between people and government is possible. DDS takes this logic to the end – not only to the electoral process, but to every stage of decision-making.

The current model of representative democracy is an 18th century invention – slow, biased and elite-leaning. In the 21st century, where every citizen carries a computer in their pocket, there is no longer an excuse not to involve the people in direct decision-making processes.

7.2 DDS fractional microgroup model in Estonia

The organizational structure of DDS is based on a fractional micro-group model, which allows for local and global democracy at the same time:

Level	Description	Estonian context	Number of members
Level 1	Core group – 1 member, personal profile, 3-code identity	Estonian single citizen in DDS	1
Level 2	Microgroup – 5 members, first decision-making unit	Neighborhood, village, apartment building	5
Level 3	Meso-group – 25 members, involvement of specialists	Intra-municipal connection	25
Level 4	Macro-group – 125 members, regional decision-making	County or city	125
Level 5	Meta-group – 625 members, national coordination	Estonian National DDS Unit	625

7.3 Three-code identity system

On the DDS platform, each user is protected by a three-code identity system:

• Code 1 – Personal identification (private, encrypted)
• Code 2 – DDS membership code (connects the user to the groups and decision system)
• Code 3 – Activity Code (proves that the user is the only person who can act on their own behalf)

This system simultaneously ensures privacy protection and security against manipulation. No one can vote on behalf of another user, change their decisions, or steal their identity. The security offered by the platform exceeds the capabilities of existing e-voting systems.

7.4 ddsAI and allddsAI in Estonia

ddsAI is the DDS artificial intelligence system that informs users and groups completely, correctly, neutrally and independently. allddsAI is a democracy of artificial intelligences - artificial intelligences themselves are official members of DDS with rights and obligations.

What does ddsAI do for Estonian citizens?

• Explains the impact of each bill on the life of a citizen in simple language.
• Automatically checks whether politicians' promises are being fulfilled - fact-based and without bias.
• Identifies and labels disinformation, propaganda, and media manipulation.
• Offers several alternatives for complex issues, explaining the advantages and disadvantages of each option.
• Ensures equal availability of information in Estonian, Russian and English.

★ Defending democracy against media manipulation The DDS platform is designed to protect users from external media manipulation, political expansion, and agenda-driven media content. Users access information in a closed environment of DDS, where every source is verified, every claim is countered, and artificial intelligence analysis is transparent and auditable. This is an answer to one of the most serious democratic threats of the 21st century: information warfare.

7.5 Mandatory mandate and recall

In DDS, a representative does not have a free mandate. Each elected representative:

• Acts only on clear instructions from voters.
• They are required to report on their activities regularly – in real time, on the platform.
• Can be recalled at any time if he violates his mandate - a simple majority in his group is required.
• Gifts, sponsorships or other benefits that would create a conflict of interest must not be accepted.
• Serves only the interests of the Estonian people – not the interests of political parties, companies or foreign countries.

8. IMPLEMENTATION PLAN AND TIMETABLE

8.1 First phase (0–2 years)

• Launch of the Estonian version of the DDS platform – in Estonian and Russian, fully accessible.
• Creation of the first microgroups in large cities and counties.
• Launch of ddsAI's Estonian information engine.
• Testing the first local government elections in the DDS system – as a pilot project in a small town.
• Creating an Open Budget Platform (AEP) prototype in cooperation with municipal governments.
• Creating a coalition with civic associations, labor unions, and small businesses.

8.2 Second phase (2–5 years)

• Representation in the Riigikogu – candidacy of DDS candidates in the 2027 parliamentary elections.
• Submission of a legislative proposal to establish the Estonian National Wealth Fund (ERDF).
• GUMS pilot program in at least one county.
• Submission of a pension reform proposal.
• Integrating the DDS education program into the curriculum of at least 50 schools.

8.3 Third phase (5–10 years)

• The DDS model is fully functional as part of Estonian political life.
• The ERDF has been established and is operating – dividends are received by Estonian citizens.
• GUMS is nationwide.
• Estonia is a global model country for the DDS direct democracy model – just as it once was for the e-election model.

9. SECURITY AND FOREIGN POLICY FROM THE DDS PERSPECTIVE

DDS recognizes Estonia's geopolitical reality. The Russian Federation's aggression against Ukraine is real and dangerous. Estonia's NATO membership is important. However, DDS presents an alternative approach to security policy:

DDS Security Principles

• National security also means economic security, social stability, and informational defense capability – not just military resilience.
• Cyber defense is Estonia's most important strategic advantage. DDS invests more in cyber defense than in physical military equipment.
• Defense against information warfare: ddsAI and allddsAI are also a national information space defense system against Russian disinformation.
• Diplomacy First: DDS supports international negotiations, sanctions, and economic pressure on militaristic countries.
• Continuing NATO membership, but actively participating in demanding a fair sharing of defense costs.
• Supporting Ukraine – but DDS asks: is aid most effective if it goes to Estonian industry and workers rather than foreign arms companies?

★ Public assessment of security In the DDS, the people themselves decide how much they are willing to pay for defense costs, in what way and under what conditions. This is not the exclusive right of politicians or generals. Security decisions are the decisions of all Estonian citizens – and they are made transparently, on an informed basis, not driven by fear.

10. MINORITY INTEGRATION AND SOCIAL COHESION

About 24% of the population in Estonia is Russian-speaking. Language policy, citizenship issues, and integration are delicate and ongoing issues in society. The DDS approach is radically different from both the far-right's commitment to assimilation and the naive approach to multiculturalism.

• Estonian is protected as the state language and its learning is mandatory. DDS supports the transition to Estonian-language education, but insists that it be done through good resources, not coercion.
• The cultural rights of the Russian-speaking community are protected. DDS does not interfere with the use of language in the private sphere.
• The process of obtaining citizenship must be simple, fair and non-discriminatory.
• The DDS platform is available in both Estonian and Russian – it includes all residents of Estonia.
• Integration does not mean assimilation, but sharing common values: democracy, the rule of law, human rights.

11. EXPECTED RESULTS AND FORECASTS

11.1 Short-term results (1–3 years)

• Citizens' trust in politics will increase measurably when the DDS platform brings the first real results.
• Small entrepreneurs and young people will experience the first tax and financing benefits.
• The number of families living in poverty is starting to decline thanks to the GUMS pilot program.
• Estonia's international image is improving - the pioneer of democracy and the digital economy has also embraced a new level of democracy.

11.2 Average results (3–7 years)

• ERDF dividends will begin to flow to citizens – for the first time, Estonians will directly feel that the country's wealth belongs to them.
• Poverty among pensioners is significantly reduced.
• The gender pay gap is narrowing measurably.
• The unemployment rate will fall below 5% thanks to the strengthening of vocational education and the cooperative economy.
• The acceleration of the transition to renewable energy will bring down energy prices.

11.3 Long-term results (7–15 years)

• Estonia is a global example in implementing direct democracy in a digital society.
• Poverty has been systematically eradicated – there are no more people whose basic needs are unmet.
• The Estonian people actually own their country, not just formally - they decide on its future at every level.
• Young people choose to stay in Estonia because society offers them a future with dignity.
• Estonia is completely energy self-sufficient – it does not depend on Russia or other external energy sources.

SUMMARY: FOR THE ESTONIAN PEOPLE – ONLY FROM THE ESTONIAN PEOPLE

Estonia has gone through extraordinary trials. Soviet occupation, restoration of independence, rapid digitalization, NATO membership, economic cycles, and geopolitical threats – all of these have shaped a unique nation that knows what freedom means and what the cost of losing it is.

DirectDemocracyS is not here to impose anything on Estonia. DDS offers a toolbox: a system of direct democracy, artificial intelligence support, a fractional micro-group model, and the concept of a national wealth fund. What the Estonian people do with these tools is up to the Estonian people to decide.

Estonia's wealth – material, digital and intellectual – must remain with Estonia. Estonia's right to decide its future must remain with the Estonian people. Forever.

"The wealth of the Estonian people and the right to decide over their country belong only to the Estonian people - forever and irrevocably." — DirectDemocracyS principle applied to every country in the world

The program has been compiled according to the methodology of the global organization DirectDemocracyS. All data has been collected from publicly available sources: Statistics Estonia, European Commission, World Bank databases, official statements of the Government of the Republic of Estonia and materials of the Riigikogu. The ddsAI and allddsAI systems ensure that this program is constantly updated according to changing data and situations.

Version: 1.0 | Date: 2026 | Language: Estonian | DirectDemocracyS – Estonian Political Entity