Analytics, Economics, EU – Baltic States, Legislation, Lithuania, Markets and Companies

International Internet Magazine. Baltic States news & analytics Tuesday, 23.07.2019, 12:28

OECD head calls on Lithuania to fight informal economy

BC, Vilnius, 05.07.2018.Print version
The secretary general of the Organization of Economic Cooperation and Development (OECD) says that Lithuania, the organization's newest member, must combat the informal economy, reports LETA/BNS.

Photo: lrp.lt

"You should reduce taxing of low income level and improve tax administration. Informal economy is a problem for all countries in the world. But in an ageing society and low productivity country, you really have to fight the informal economy," Angel Gurria said at a news conference in Vilnius on Thursday.


Gurria noted that Lithuania's per capita labor productivity remains below the OECD average. 


"Lithuania's export is doing better, but it is mostly concentrated in low level added value areas. Lithuania has an ageing problem and the dependency ratio would continue to grow. This is something you should prepare in terms of labor laws, health laws and financial consequences," he said.


Lithuania has officially become the 36th member of the Organization of Economic Cooperation and Development (OECD).


The instrument of ratification of Lithuania's accession to the Convention on the OECD was deposited with the French government on Thursday, the Lithuanian president's office said. 


President Dalia Grybauskaite on Thursday bestowed a state award on OECD Secretary-General Angel Gurria, on a visit to Vilnius, for his support to Lithuania in its efforts to join the organization.


The president said that Lithuania is ready to work together with the OECD to look for the best solutions to address global economic challenges.


In a special economic survey of Lithuania, the OECD notes that although the country's economy has grown at a faster rate than many OECD member countries in the past 10 years, it still faces a high degree of social exclusion and needs solutions to deal with the challenges posed by the ageing population and to reduce emigration. 


Lithuania opened its membership negotiations three years ago and finalized the talks in April.






Search site