FDI in figures

According to the Lithuanian Statistics Department, foreign direct investment as of January 2008, reached LTL 34.60 billion, or by 19.6% more than on January 1st, 2007.

Why you should choose to invest in Lithuania

Strong points

Lithuania is ranked among the fastest growing economies in the European Union, it offers investors a diversified economy, a well educated workforce, a low corporate tax system, the region's best developed road network, a stable and democratic system, as well as membership to the European Union and proximity to nearby Eastern European countries. The Lithuanian law offers equal protection for both foreign and domestic investment.

Weak points

Lithuania's income level is still behind the standards of the European Union thus offering an internal market where selling prices should be adjusted. This fact is also encouraging emigration of Lithuanians in other European countries. Wage inflation (nearly 18% in 2007) is also an element to be taken into consideration for foreign investors.

Government measures to motivate or restrict FDI

Lithuania's law ensures equal treatment between for both foreigners and domestic investors. No special permit is necessary from government authorities to invest foreign capital in Lithuania. Nearly all sectors of the economy are freely accessible with limited exceptions. The government has also created free economic zones with tax benefits and one-stop-shop services, to encourage investment.

Procedures relative to foreign investment

Freedom of establishment

Freedom of establishment is guaranteed. Foreign entities are allowed to establish branches or representatives offices ; there are no limits on foreign ownership or control.

Acquisition of holdings

A majority holding interest in the capital of a local company is legal in Lithuania.

Obligation to declare

There are no particular regulations or obligations to declare for foreign investment. However, there are some areas of the economy where investment is limited (investment in sectors related to the security and defence of the State, licensing is necessary for activities related to human life, health and which are potentially risky, non-Lithuanians are generally not able to buy agricultural or forestry land).

Competent organization for the declaration

Lithuanian Development agency

Requests for specific authorizations

Licensing is necessary for activities related to human life and health.

Finding assistance for further information

Investment aid agency

Lithuanian Development Agency

Other useful resources

Ministry of Economy