Ms Pakosta said it cost about €3,000 (about £2,500) per month to house an Estonian prisoner, below the EU average.
The average annual overall cost of a prison place in England and Wales is £46,696, according to the Prison Reform Trust, external.
Estonia’s government estimates it could earn as much as €30m (£25m) a year from renting out spare prison capacity, as the country seeks to boost its public finances.
When asked if hosting foreign prisoners could damage Estonia’s international reputation, Ms Pakosta said: “Of course it is not the best topic to promote Estonia.
“But I would assure that coming as a tourist to Estonia, coming to a country with such a low criminality rate, is a very good option.
“It’s so safe we even have so many empty prison places. Half of the prison places are empty in Estonia. So everybody is welcome to come here.”
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