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In 1996, Estonia ratified a border agreement with Latvia and completed work with Russia on a technical border agreement.
President Meri was re-elected in free and fair indirect elections in August and September in 1996.
During parliamentary elections in 1999, the seats in Riigikogu were divided as follows: the Centre Party received 28, the Pro Patria Union 18, the Reform Party 18, the People's Party Moderates ( election cartel between Moderates and People's Party ) 17, Coalition Party 7, Country People's Party ( now People's Union ) 7, United People's Party's electoral cartel 6 seats.
Pro Patria Union, the Reform Party, and the Moderates formed a government with Mart Laar as prime minister whereas the Centre Party with the Coalition Party, People's Union, United People's Party, and Members of Parliament who were not members of factions formed the opposition in the Riigikogu.

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