This year Lithuania will grow by 2% and accelerate to more than 3% in 2025-26 driven by consumption and exports. However, risks arise from demographics and taxation.
Under the Green Corridor initiative for large-scale investments, Rheinmetall will produce tens of thousands of rounds of ammunition per year in Lithuania.
Kaunas aircraft industry thrives with 2 new aircraft maintenance, 4 new routes, and 1,250+ new jobs in the region including pilots, cabin crew, and engineers.
The annual growth of loans and deposits stands at 4.5% and 5.5%, respectively. Households are offered the highest interest rates on deposits of over 2 years
Large-scale manufacturing projects in defense are part of national security, where tax incentives include a 0% corporate income tax for 20 years.
Last February recorded a rise in the surplus balance of services (+31.6% to €790.7 million) and a decline in primary income deficit (-50.6%).
In Lithuania, healthcare professionals have become a rare commodity, whereas liberalization and privatization would allocate accountability more efficiently.
Lithuania’s optimism assumes a rapidly increasing household real income: will wages keep rising faster than prices with no consequences?
With the fall in exports (18.4%) and imports (12.4%) of services, the surplus balance of services decreased by 25.5%.
Progress in FDI attraction comes even within the public sector, where Wroclaw, Vilnius, Tallinn set a benchmark for business-friendliness.