History Of Estonia (1920–1939)
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The history of Estonia from 1918 to 1940 spanned the
interwar period In the history of the 20th century, the interwar period, also known as the interbellum (), lasted from 11 November 1918 to 1 September 1939 (20 years, 9 months, 21 days) – from the end of World War I (WWI) to the beginning of World War II ( ...
from the end of the Estonian War of Independence until the outbreak of
World War II World War II or the Second World War (1 September 1939 – 2 September 1945) was a World war, global conflict between two coalitions: the Allies of World War II, Allies and the Axis powers. World War II by country, Nearly all of the wo ...
. It covers the years of parliamentary democracy, the
Great Depression The Great Depression was a severe global economic downturn from 1929 to 1939. The period was characterized by high rates of unemployment and poverty, drastic reductions in industrial production and international trade, and widespread bank and ...
and the period of corporatist authoritarian rule.


Parliamentary democracy

Estonia won the Estonian War of Independence against both Soviet Russia and the German Freikorps and '' Baltische Landeswehr'' volunteers. Independence was secured with the Tartu Peace Treaty, signed on 2 February 1920. The first Estonian constitution was adopted by the Constituent Assembly on 15 April 1920. Established as a parliamentary democracy, legislative power was held by a 100-seat parliament or
Riigikogu The Riigikogu (, from Estonian ''riigi-'', "of the state", and ''kogu'', "assembly") is the unicameral parliament of Estonia. In addition to approving legislation, the Parliament appoints high officials, including the prime minister and chi ...
. Executive power was held by a government headed by a State Elder, separate from the office of
Prime Minister A prime minister or chief of cabinet is the head of the cabinet and the leader of the ministers in the executive branch of government, often in a parliamentary or semi-presidential system. A prime minister is not the head of state, but r ...
, and both answerable to the parliament. The Republic of Estonia was recognised (''de jure'') by
Finland Finland, officially the Republic of Finland, is a Nordic country in Northern Europe. It borders Sweden to the northwest, Norway to the north, and Russia to the east, with the Gulf of Bothnia to the west and the Gulf of Finland to the south, ...
on 7 July 1920,
Poland Poland, officially the Republic of Poland, is a country in Central Europe. It extends from the Baltic Sea in the north to the Sudetes and Carpathian Mountains in the south, bordered by Lithuania and Russia to the northeast, Belarus and Ukrai ...
on 31 December 1920,
Argentina Argentina, officially the Argentine Republic, is a country in the southern half of South America. It covers an area of , making it the List of South American countries by area, second-largest country in South America after Brazil, the fourt ...
on 12 January 1921, by the Western Allies on 26 January 1921 and by India on 22 September 1921. In 1921,
Estonia Estonia, officially the Republic of Estonia, is a country in Northern Europe. It is bordered to the north by the Gulf of Finland across from Finland, to the west by the Baltic Sea across from Sweden, to the south by Latvia, and to the east by Ru ...
became a full member of the
League of Nations The League of Nations (LN or LoN; , SdN) was the first worldwide intergovernmental organisation whose principal mission was to maintain world peace. It was founded on 10 January 1920 by the Paris Peace Conference (1919–1920), Paris Peace ...
and developed successful economic relations with many countries, including the
Soviet Union The Union of Soviet Socialist Republics. (USSR), commonly known as the Soviet Union, was a List of former transcontinental countries#Since 1700, transcontinental country that spanned much of Eurasia from 1922 until Dissolution of the Soviet ...
. The backbone of the Estonian economy became agricultural exports to the West, due to tens of thousands of small farm holdings being established as a result of land reforms that ended the Baltic German economic dominance. A new currency, the Estonian kroon, was introduced in 1928. Estonian politics during the 1920s was dominated by unstable coalition governments, with a government lasting on average a period of 11 months. This was due to the large number of political parties holding seats in the Riigikogu, which often resulted in discord on specific issues. The 1920s also saw the development of national culture, with emphasis on Estonian language, history, education and ethnography. National minorities were granted cultural autonomy. Communism persisted as a threat to stability in the early 1920s but receded after a failed December 1924 Estonian coup d'état attempt. A volunteer Estonian Defence League as subsequently established. However efforts to establish a Baltic League comprising the Baltic states, Finland and Poland, failed to materialise.


The Great Depression

Estonia's export oriented economy was severely affected by the
Great Depression The Great Depression was a severe global economic downturn from 1929 to 1939. The period was characterized by high rates of unemployment and poverty, drastic reductions in industrial production and international trade, and widespread bank and ...
, with industry and agriculture declining 20% to 45% respectively. As a consequence incomes declined, unemployment rose and the standard of living declined. This led to political turmoil and a further fragmentation of parliament, with the government changing six times in the two years before 1933. Calls for changing the constitution, reducing the powers of the parliament and establishing a presidency with extended powers found a receptive audience. The Vaps movement grew in popularity and influence and a new constitution drafted by the movement was passed by a referendum in October 1933.


Period of authoritarian rule

The consequences of the depression eased in 1934, with the devaluation of the kroon and improved terms of trade. The passing of the second constitution in 1933 and the planned elections for a new president eased political tensions. With the prospect of Vaps movement achieving electoral victory, Konstantin Päts and Johan Laidoner conducted a military coup d’état on 12 March 1934, arresting hundreds of Vaps members. A six-month
state of emergency A state of emergency is a situation in which a government is empowered to put through policies that it would normally not be permitted to do, for the safety and protection of its citizens. A government can declare such a state before, during, o ...
was declared, postponing the elections and political meetings were banned. In 1935, Päts formed the Patriotic League, the only legal political organization in the country. Päts' goal was to organize the nation not by political views into parties, but by vocation into respective corporate chambers, in a way similar to in Fascist Italy, following the same line as
Austria Austria, formally the Republic of Austria, is a landlocked country in Central Europe, lying in the Eastern Alps. It is a federation of nine Federal states of Austria, states, of which the capital Vienna is the List of largest cities in Aust ...
,
Portugal Portugal, officially the Portuguese Republic, is a country on the Iberian Peninsula in Southwestern Europe. Featuring Cabo da Roca, the westernmost point in continental Europe, Portugal borders Spain to its north and east, with which it share ...
and many other countries of Europe. In 1936, Päts held a referendum on convening a National Assembly to draft a new constitution. During the interwar period, Estonia had pursued a policy of neutrality, but the fate of Estonia in World War II was decided by the German–Soviet Nonaggression Pact and its Secret Additional Protocol of August 1939. In the agreement, the two great powers agreed to divide up the countries situated between them (Poland, Lithuania, Latvia, Estonia, and Finland) with Estonia falling in the Soviet "
sphere of influence In the field of international relations, a sphere of influence (SOI) is a spatial region or concept division over which a state or organization has a level of cultural, economic, military, or political exclusivity. While there may be a formal a ...
". After the invasion of Poland, the Orzeł incident took place when the Polish submarine ORP ''Orzeł'' looked for shelter in
Tallinn Tallinn is the capital city, capital and List of cities in Estonia, most populous city of Estonia. Situated on a Tallinn Bay, bay in north Estonia, on the shore of the Gulf of Finland of the Baltic Sea, it has a population of (as of 2025) and ...
but escaped after the Soviet Union attacked Poland on 17 September 1939. Estonia's lack of will and/or inability to disarm and intern the crew caused the Soviet Union to accuse Estonia of "helping them escape" and claim that Estonia was not neutral. On 24 September 1939, the Soviet Union threatened Estonia with war unless allowed to establish military bases in the country — an ultimatum with which the Estonian government complied.


Downfall

In 1939, the Soviet Union forced a mutual assistance treaty on Estonia, establishing Soviet military bases and ultimately leading to occupation of the country in 1940.


References


Notes

{{DEFAULTSORT:History of Estonia (1918-1940) * *
Estonia Estonia, officially the Republic of Estonia, is a country in Northern Europe. It is bordered to the north by the Gulf of Finland across from Finland, to the west by the Baltic Sea across from Sweden, to the south by Latvia, and to the east by Ru ...