Analytics, Economics, Lithuania

Dainius Kreivys

According to the data provided by the Lithuanian Department for Statistics, in the fourth quarter, Lithuanian economy grew by 0.1%, and the total annual GDP declined by 15%.

In the fourth quarter, as compared to the third, the annual GDP decline rate slumped went down from 14.3 to 13%.

According to the Minister, such result was better than the official forecast of the real GDP decrease, as the decline predicted by analysts ranged from 18 to 20%.

The rates of the industrial production scale are stabilizing – a significant decline in industrial production that began in February 2009, that stood an average at more than 17% in February-September, began to decline in October, and in the fourth quarter, compared with the same period in 2008, stood at only 8.3%.

The export is recovering – if positive global trends prevail, export rates might reach the pre-crisis level in around second half of 2010.

"Together with the export, domestic consumption is also recovering. Thus, I can predict that in the end of this year, the economic situation will become even more stable, and the annual GDP growth may reach around 1-2%," said Kreivys.