OREANDA-NEWS. December 08, 2010. Estonia, the smallest of the Baltic states, is also the calmest of the three and its government's prestige has actually risen after getting the green light to enter the euro zone from January 2011, writes Reuters in its report on political risks in the Baltics.

Reuters says that Estonia's centre-right coalition seems well placed to win a parliamentary election in March.

Euro zone entry in January is expected to boost the ruling parties in elections due in March 2011 and would keep Estonia on a centre-right path, Reuters writes. The government of Estonia has said it will continue to pursue a conservative fiscal policy.  Estonia's budget deficit is already the smallest in the European Union.