Tallinn, the capital of Estonia, is located on the northern coast of Estonia on the Gulf of Finland and has a population of circa 400,000. Estonia is the most economically advanced of the Baltic States and has amongst the highest levels of GDP per head of any of the recent EU entrants. In 2006, Estonian economic growth reached 11.4%, a record level since Estonia’s independence in 1991, driven principally by domestic demand. GDP growth of 8.6% is forecast for 2007.