Business

During recent years, the Government has continued to take effective measures for improving the business climate, reducing bureaucracy and streamlining administrative procedures. Lithuania officially became a member of the North Atlantic Treaty Organization on 29 March 2004 and joined the European Union on 1 May 2004.

The worldwide economic recession in 2008-2009 has a negative influence into economic of Lithuania as well. According to the latest data from Statistics Lithuania, real GDP shrank by -2,8 % in the first quarter of 2010 and +1,3 % in the second quarter of 2010 comparing to the same period of the previous year.

According to the Department of Statistics of the Republic of Lithuania, the main economic indicators are as follows (second quarter of 2010):

Ratio of the registered unemployed persons to working age population – 18,3 %;
Annual inflation rate – 1,9%;
Average gross earnings of employees in the whole economy – LTL 1,601.8;
Exports – LTL 13 086,3 m;
Import – LTL 14 505,8 m;
Foreign direct investment – LTL 33 465,4 m;
Gross domestic product at current prices – LTL 24 527 m;

Lithuania has privatized main part of the formerly State-owned enterprises. More than 70% of the economy’s output is generated by the private sector. More than 90% of the banking sector controlled by foreign, mainly Scandinavian capital.

Lithuania’s well-developed industrial base includes electronics, chemicals, machine tooling, metal processing, construction materials, food processing and light industry, including the manufacturing of textiles, clothing, furniture and household appliances, and is complemented by strong transportation and service sectors.

The country has four international airports, an ice-free seaport and a satellite-based telecommunications system. Its already extensive road network is being upgraded with the assistance of the EU, the EBRD and the European Investment Bank. The EU has recognised Lithuania as the prime transport centre in the region linking the EU with the East.

Practical information

Employment relations

Labour Force. Lithuanian labour force – 1.6 million; over two-thirds employed in the private sector. Lithuanian employee skills – 42% with high education, 24% with specialised education (i.e. technical certificates).

Wages. Lithuania's labour costs are among the lowest in Central and Eastern Europe. Since 1 January 2008, the minimum monthly salary is LTL 800 (EUR 232).

Employment Contracts. The parties must agree on the following conditions when signing an employment contract: the employee's place of work, description of duties and salary.

Additional clauses (i.e., those covering probation periods, shorter working hours, etc.) may be included in an employment contract upon agreement of both parties. Probation hiring periods may not exceed 3 months.

Working Hours. The regular workweek is 40 hours. A shorter period may be negotiated. There is a minimum annual vacation of 28 calendar days, not including public holidays. Maternity leave and childcare leave are available until a child is 3 years old.

Education. Lithuania has the best-educated workforce in Central and Eastern Europe. According to the Lithuanian Department of Statistics, its proportion of graduates is the highest in CEE, with 3.7 university graduates per year per 1,000 inhabitants. All five major cities in Lithuania now have their own universities. 
 

 

Lithuanian Banks:
Bank of Lithuania	http://www.lb.lt/
AB SEB Bank	http://www.seb.lt/
Swedbank, AB	http://www.swedbank.lt/
AB Nord/LB Lithuania	http://www.nordlb.lt/
AB Ūkio Bank	http://www.ub.lt/
AB DnB Bank	http://www.dnb.lt
Šiaulių Bank	http://www.sb.lt
UAB Medicinos Bank	http://www.medbank.lt/
AB Citadele	http://www.citadele.lt/
AB bank Finasta	http://www.finasta.com/lit/lt
Danske Bank A/S	http://www.danskebankas.lt/
Nordea	http://www.nordea.lt/
Allied Irish Banks (AIB)	http://www.aib.ie/
AS UniCredit Bank	http://www.unicreditbank.lt/
Balti Investeeringute Grupi Pank AS	http://www.bigbank.lt/
MP Bank hf.	https://www.mpbank.lt/

 

Useful links:
Chamber of Notaries	http://www.notarai.lt/
Council of the Lithuanian Bar Association	http://www.advoco.lt/
Centre of Registers	http://www.registrucentras.lt/
Central Mortgage Office	http://www.lhr.lt
State Patent Bureau	http://www.vpb.lt
National Consumer Rights Protection Council	http://www.nvtat.lt
State Security Department	http://www.vsd.lt
State Tax Inspectorate	http://www.vmi.lt
State Labour Inspectorate of the Republic of Lithuania	http://www.vdi.lt
Board of the State Social Insurance Fund	http://www.sodra.lt
Migration Department	http://www.migracija.lt
Competition Council	http://www.konkuren.lt
State Data Protection Inspectorate	http://www.ada.lt
Lithuanian Development Agency	http://www.lda.lt