Press release, 22 April 2014
(from the plenary sitting)
The Prime Minister Algirdas Butkevičius has presented the Annual Government Performance Report at the Seimas plenary sitting.
The Prime Minister noted that in 2013 the Government was consistently carrying out its activity programme and implementing the tasks set.
“We were trying to prove and we did prove that the measures for getting through the outcomes of the economic crisis that we proposed were a suitable alternative to the drastic austerity policy applied earlier. We selected priority actions that ensured the growth of residents’ income, development of business and labour market as well as decrease of social exclusion. They served as engines for our economic growth,“ Mr Butkevičius said.
The review of priority areas of the Government Report highlights that the growth of Lithuanian economy is one of the fastest in the European Union although one could find few examples of the economic recovery at the moment: “the Lithuanian GDP per capita today has exceeded the highest point recorded before the onset of the crisis. Despite the restrictions imposed on the import of Lithuanian dairy products to Russia and the unfavourable economic situation in the main export countries, Lithuania’s export grew by 6.5% and reached nearly LTL 84.8 billion.”
The Report indicates that the growth of GDP, which paused for a while in the third quarter of 2013, subsequently regained its former rate and reached the level of 3.3%.
The Report also reads that based on the data of the Europe Investment Attractiveness Survey carried out in 2013, Lithuania ranks as the most attractive Baltic country and the second in Europe. As many as 38 foreign companies made investments in the country and, as a result of the implementation of all these investment projects, 3580 new jobs are planned to be created.
The Prime Minister argued that the improving expectations, and the growing rate of employment and salary levels have resulted in the rapid increase of household consumption. The real household consumption expenditure grew by 4.84% per year and this mostly contributed to the growth of the whole economy; the Government’s decision to raise the minimum wage to LTL 1000 also had a major effect.
The Government Report calls 2013 “the year of a breakthrough” in renovating apartment buildings: new models of renovation and funding of apartment buildings were developed; plans were worked out and modernisation of 41 apartment buildings was completed. Currently modernisation of 185 apartment buildings is under way.
Reduction of unemployment and social exclusion are among the Government’s key priorities and acute problems of society. “Based on preliminary data, we managed to decrease migration from 26.9 (in 2010) to 13.1 ( in 2013) per 1000 residents. Certainly, it was not only thanks to the measures implemented by the Government in the areas of youth employment and social integration; the country’s improved general economic and social situation played a certain role here as well,” the report reads.
The Government Report considers the strategic projects implemented successfully the basis for the country’s long-term competitiveness. With security threats in the Eastern Europe emerging, the timely construction of our strategic energy facilities is gaining special significance. This is the basis for our country’s security and strengthening of our economic independence,” Mr Butkevičius said.
The Government Report indicates that the challenges related to the unstable economic and financial environment were not the only concern. In addition to that, in 2013 Lithuania had to take the leading role on the European level. During the Lithuanian Presidency of the Council of the EU, “a number of essential agreements were reached to ensure financial, economic and energy security of the EU. International experts and partners praised Lithuania notably for the successful negotiations on the EU’s multiannual financial framework and its individual programmes; the agreement on the bank recapitalisation instrument and deposit guarantees.”
Mr Butkevičius underlined that in 2014 the Government will focus on its continuous priorities aimed at resolving today’s most relevant tasks: “Being aware of possible threats for the exporting business sector, the Government puts every effort to accelerate diversification of export and search for new markets. The new circumstances make us review the financing priorities and allocate more funds to national defence.”
The Annual Government Performance Report will be discussed by the Seimas Committees. A special discussion of the Seimas is planned to be held during its plenary sitting on 13 May 2014. Under the Statute of the Seimas, a corresponding resolution may be adopted at the end of the discussion.
Saulë Eglë Trembo, Public Relations Unit, Communications Department of the Seimas, Office of the Seimas, tel.+370 5 239 6203, e-mail: [email protected]
