Analytics, Economics, EU – Baltic States, Investments, Legislation, Lithuania

Dalia Grybauskaite at the European Council meeting. Brussels, 18.12.2014. Photo: lrp.lt

"Lithuania's economy is growing rapidly and steadily, but economic recovery of the EU as a whole remains slow. Europe needs new investments to boost growth and competitiveness on global markets and ensure the creation of new jobs," the president said.

The meeting is discussing the European Commission's proposal to set up a new European Fund for Strategic Investments aimed at encouraging private business to invest in strategically and economically important EU projects. Lithuania has identified 24 projects in energy, information technologies, transport and other areas which could qualify for this funding. It would be an opportunity not only to speed up the improvement of energy and transport infrastructure, establishment of new science and technology centers in our country, but also to attract more foreign investments.

Successful operation of the Fund would also contribute to adding over 1.3 million new jobs across Europe, scale up the EU's GDP growth by 2%, and mobilise up to EUR 315 billion of investment over the next three years. The growing economy in the EU would bolster Lithuania's economic growth, too.

To absorb new investments effectively, it is vital to improve the EU's investment environment. Therefore, the European Council is discussing ways to reduce bureaucratic burdens on business as well as the creation of the EU internal energy market and digital single market. These measures will serve the interests of Lithuanian businesses by providing better conditions to operate in all key sectors of the EU market. EU member states are also encouraged to pursue responsible financial policies, implement critical structural reforms, and effectively exploit the existing resources.