Business climate Economy of Lithuania

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lithuania attracts foreign investors because of low tax, skilled workforce, reliable infrastructure , rule of law. cumulative foreign direct investment (fdi) in 2009 €9.2 billion. manufacturing sector constituted 28% of total fdi, real estate , business activity sector received 20% of total fdi, , financial intermediation received 19%. four-fifths of fdi came eu countries, sweden (17% of total fdi) @ top followed germany (10%) , denmark (9%).



tax burden in eu, 2008


lithuania seeks become innovation hub 2020. reach goal, putting efforts attracting fdi added-value sectors, services, software development, consulting, finance, , logistics. well-known international companies such microsoft, ibm, transcom, barclays, siemens, seb, teliasonera, paroc, philip morris, thermo fisher scientific established presence in lithuania.


lithuania has created attractive business environment startups, 2 free economic zones (fez) in kaunas , klaipėda. fezs offer developed infrastructure, service support, , tax incentives; specifically, company set in fez exempt corporate taxation first 6 years, tax on dividends , real estate tax. there 9 industrial sites in lithuania, can provide additional advantages having well-developed infrastructure, offering consultancy service , tax incentives.


on other hand, regulatory red tape , corruption have been cited dampening investment climate in lithuania, particularly affecting small , medium enterprises.








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