GDP

The Bank of Lithuania estimates that Lithuania’s economic growth might slow down by up 1% of GDP over the next 4 years a result of US tariffs on the European Union.

Lithuania has achieved rapid convergence towards OECD living standards over the past 30 years. Policies should now focus on addressing rising ageing-related costs by improving public spending efficiency, broadening the tax base and encouraging formal economic activity to ensure future fiscal sustain...

Lithuania will have sufficient financial resources in order to raise its defence spending to 5-6% of GDP in 2026-2030, claims Prime Minister Gintautas Paluckas. According to him, financial institutions, like the European Investment Bank (EIB), are already taking interest in lending to Lithuania.

Prime Minister Gintautas Paluckas has revealed that Lithuania may raise its budget deficit above 3% of GDP and exceed the Maastricht criteria without the European Commission’s approval in order to increase its defence spending.

Lithuania’ economy should grow by up to 4% annually in order to increase people’s incomes, defence spending and to form a national division by 2030, says the president’s economic adviser.

The State Defence Council convened for a sitting on Friday and President Gitanas Nausėda afterwards revealed that it was agreed on 5-6% of GDP defence spending in coming years.

The Bank of Lithuania on Friday released the balance of payments data for the third quarter of 2024, which shows that the surplus on the current account balance (CAB) declined by 20.0%, compared to the second quarter of 2024, and stood at EUR 498.6 million, or 2.4% of gross domestic product (GDP). T...

In 2023, Lithuania registered its gross domestic product (GDP) per capita expressed in purchasing power standards at 87% of the European Union’s (EU) average, the State Data Agency said on Friday, citing the flash estimates published by Eurostat.

On Friday, President Gitanas Nausėda met with Estonian President Alar Karis and Latvian President Edgars Rinkēvičs in Klaipėda for a regular annual meeting of the Presidents of the three Baltic States. The three leaders discussed the security situation in the region, support for Ukraine, energy inde...

Prime minister-designate Gintautas Paluckas has mentioned the need to revise the state budget for 2025 so that defence spending would stand at 3.5% of GDP.

At the end of the second quarter of 2024, the general government gross debt to GDP ratio in the euro area (EA20) stood at 88.1%, compared with 87.8% at the end of the first quarter of 2024. In the European Union, the ratio also increased from 81.3% to 81.5%, reports Eurostat, the EU’s statistical of...

Šiaulių bankas has published its latest economic forecast, projecting Lithuania’s real gross domestic product (GDP) to grow by 2.3% in 2024 due to the country’s low indebtedness, export diversification and timely EU investments.

The SEB bank has upgraded its forecast for Lithuania’s gross domestic product (GDP) growth for 2024 to 2.4% from an earlier projection of 1.5%. The bank’s economist Tadas Povilauskas says the update was prompted by a recovery in real household consumption and a stronger performance of the industrial...

Lithuania’s GDP should expand by 2.8% next year, after rising to 2.2% in the second half of this year, according to Swedbank Economic Outlook published on Tuesday. It will be the largest growth among the Baltic States, predicts Nerijus Mačiulis, the bank’s chief economist.

In the second quarter of 2024, seasonally adjusted GDP increased by 0.3% in both the euro area and the European Union (EU), compared with the previous quarter, according to a preliminary flash estimate published by Eurostat, the EU’s statistical office.

Higher defence spending would be agreed in a simpler way if the ruling coalition had implemented a tax reform, says MP Saulius SKvernelis, leader of opposition Democrats For Lithuania. The decision on defence funding must be taken by the current Seimas, he insists.

The SEB bank on Thursday said Lithuania’s gross domestic product (GDP) should grow by 1.5% in 2024 and by 2.8% the following year, a projection that has remained unchanged since November 2023.

In the euro area the government deficit to GDP ratio declined from 3.7% in 2022 to 3.6% in 2023, and in the European Union (EU) it increased from 3.4% to 3.5%, reports Eurostat, the EU’s statistical office.

Numerous Lithuanian companies and organisations have joined the initiative 4 procentai (4 Percent), calling on the politicians to urgently agree on 4% GDP defence spending and encouraging the public to support the move.

On Monday, Prime Minister Ingrida Šimonytė convened a meeting of political parties, representatives of business and trade unions to discuss prospects of defence funding and sustainable funding resources. Minister of National Defence Arvydas Anušauskas estimates that defence spending should be increa...