Lithuania is a parliamentary republic headed by a directly elected president. The term of office of the president is 5 years, with the possibility of re-election. The Lithuanian political system can be characterized as semi-presidential. Executive power rests with the government, which is headed by the prime minister. The unicameral parliament (Seimas) has 141 deputies elected for 4 years. Lithuania has been in the Eurozone since 2015 and in the OECD since 2018. The Lithuanian economy ranks among the small and external influences of the vulnerable economy. Until now, it has shown relatively high resistance to dramatic economic fluctuations, the country’s economic growth is long-term. The COVID-19 pandemic did not cause significant damage to important sectors of the Lithuanian economy, production remained uninterrupted, exports were stable, continued wage growth was reflected in household consumption, which helped to revive local business. In 2021, Lithuania’s economy grew by 5, 1%, thus surpassing the pre-pandemic level. Mutual trade between the Czech Republic and Lithuania is characterized by a long-term positive balance and potential on both sides, in 2020 it exceeded EUR 1 billion for the first time and continues to grow. Opportunities for Czech companies result mainly from adopted government programs and directions for the country’s further development. This includes rail transport – the government has decided on the repair and modernization of approx. 850 km of tracks and the renewal of the vehicle fleet, the essential development direction is air transport – the government is counting on the modernization of three Lithuanian international airports by 2028. Other opportunities are in the modernization of urban transport and in areas of renewable energy sources. A significant opportunity is the decommissioning of the Ignalina nuclear power plant. During business negotiations, one must act rationally, pragmatically and professionally and not be discouraged by the initial inaccessibility of the Lithuanians.

Practical telephone numbers (emergency services, police, firemen, information lines, etc.)

• Integrated common emergency line (fire brigade, police, first aid): 112

Important web links and contacts

Government: https://lrvk.lrv.lt/lt

Presidential Office: https://www.lrp.lt/lt/kontaktai

Ministry of Foreign Affairs: http://www.urm.lt/

Ministry of the Interior: https://vrm.lrv.lt/

Ministry of Economy and Innovation: https://eimin.lrv.lt/

Ministry of National Defense: http://kam.lt/

Ministry of Finance: https://finmin.lrv.lt/

Ministry of Agriculture: https://zum.lrv.lt/

Ministry of Health: https://sam.lrv.lt/

Ministry of Energy: https://enmin.lrv.lt/

Ministry of Culture: https://lrkm.lrv.lt/

Ministry of Education, Science and Sports: https://www.smm.lt/

Ministry of Social Security and Labour: https://socmin.lrv.lt/

Ministry of the Environment: https://am.lrv.lt/

Ministry of Transport: https://sumin.lrv.lt/

Ministry of Justice: https://tm.lrv.lt/

The most important information about COVID-19 in Lithuania: https://koronastop.lrv.lt/

Press agencies:

• BNS – Baltic News Service – www.bns.lt(LT, EN, RU)
• ELTA – Lithuanian News Agency – www.elta.lt(LT, EN, RU)

Daily News:

• Verslo žinios (business newspaper) – www.vz.lt(LT)
• Lietuvos rytas (daily newspaper with the highest circulation) – www.lrytas.lt(LT)
• 15 min.lt – online news – www.15min.lt(LT, EN, RU)
• DELFI – online news – http://ru.delfi.lt(LT, RU, PL)
• ALFA – online news – www.alfa.lt(LT)
• BALSAS – online news – www.balsas.lt(LT)
• Economy – online news – www.ekonomika.lt(LT)

Professional journals:

• Made in Lithuania – www.madeinlithuania.lt(EN)
• Verslas ir Politika (business and politics) – www.verslaspolitika.lt(LT, EN)
• Business and Exhibitions – www.businessandexhibitions.com(LT, EN)

Business Guides and Sectoral Publications:

• Danske Bank – www.danskebank.com(EN)
• PricewaterhouseCoopers – www.pwc.com(EN)
• VAE – publication on the Visaginas NPP project – www.vae.lt(EN)
• Terminal (LNG) – www.kn.lt(EN)

Other resources:

• Lithuanian Free Market Institute – www.lrinka.lt(LT, EN)
• Enterprise Lithuania (government pro-export agency) – www.enterpriselithuania.com(LT, EN, RU)
• Invest Lithuania (government investment promotion agency) – www.investlithuania.com(LT, EN)
• Investment Forum – www.investorsforum.lt(LT, EN)

PaulSourcing: Ten Commandments for Doing Business with Lithuania

The PaulSourcing agency has prepared ten recommendations for doing business with Lithuania for Czech entrepreneurs interested in business relations with Lithuania. In 2020, it was supplemented with 4 current tips for trade with the Baltics.

4 recommendations for entering the Baltic market during the coronavirus pandemic:

1. Market research Before starting intensive market penetration activities in the Baltic region, the differences between Latvia, Lithuania and Estonia should be taken into account, which may affect the success of market entry. These are linguistic, cultural, but above all socio-economic differences, which reflect the different economic level of individual countries, as well as the price level and purchasing power of the population. The coronavirus experience may affect business processes and the needs of local firms, but representatives of these companies will find it difficult to change their way of business communication. The team of PaulSourcing’s foreign office in the Baltics (ZK Pobaltí) will inform you about the specifics of business negotiations with Lithuanians, Latvians, Estonians and the Russian-speaking population living in the region.
2. Finding a business partner The differences between Lithuania, Latvia and Estonia go hand in hand with the need to find a suitable business partner in each country separately. Only big players on the market, with branches in the individual Baltic states, can provide high-quality service to the entire region. Free databases (own for each country) provide a limited amount of information, a comprehensive search for suitable business partners requires the use of keywords in local national languages ​​(possibly in Russian). Estonian company websites in particular have a different language mutation than Estonian rather exceptionally. Searching for potential business partners, finding out their turnover and approaching contact persons from these companies also belong to the activities of ZK Pobaltí.
3. Personal meetings In order to establish a long-term business partnership, personal (and repeated) meetings with representatives of local companies are often necessary. In the Baltics, you don’t do business with a company, but with a person. ZK Pobaltí monitors the current restrictions for business trips to Lithuania, Latvia and Estonia for you and regularly updates the situation on the website.
4. New investment opportunities The Baltic states have announced significant investments in infrastructure and municipal projects as part of supporting their economies in the post-coronavirus era. ZK Pobaltí will publish information about these projects, announced tenders and opportunities for Czech exporters on its website.

The Ten Commandments for Trading with Lithuania

1. Don’t be put off if he doesn’t answer the first Be active, be patient, don’t let the contact “fizzle out”.
2. Highlight the friendly relations between the two countries Express your admiration for Lithuanian history and emphasize the traditionally friendly Czech-Lithuanian relations.
3. Be informed Find out at least basic information about Lithuania, its history, people and culture.
4. Do not be fooled by the first impression .
5. Talk about mutual benefits Emphasize mutual benefits when concluding contracts.
6. Pay attention to your appearance and appearance Pay attention to prestige, presentation, clothing and form of appearance. They are more important than us.
7. Make the conversation easier by using first names You can normally use first names and nicknames when addressing you. Lithuanian surnames are difficult to pronounce.
8. Business cards always in English Negotiations are conducted in Russian or English, but choose business cards in the English version.
9. First a meeting, then lunch Try to schedule the interviews between ten and eleven in the morning. The possibility of success in the negotiation will increase if you continue with lunch at the restaurant.
10. Trust in the experience of Lithuanian partners in the field of trade Do not underestimate your Lithuanian partners, they are skilled traders.