Lithuania:

Country Economic Overview

an overview of the lithuanian economy

Contents

An Overview of the Economy

A member of the WTO and the EU, Lithuania has been defined by the UN as a country with a high average income. It has sustained steady GDP growth, especially since joining the EU in 2004 within which Lithuania conducts most of its trading. Its healthy economy, fuelled by EU membership, is sustained by a variety of sectors, with tourism contributing a constant 6% to the GDP, whilst there is a gradual move towards a emphasis on the biotechnology industry. It has a well developed infrastructure and low unemployment of 5.7%.

statistics  
GDP (PPP) (IMF) (US$Billions) 59.6
GDP (PPP) (CIA) (US$Billions) 59.6
GDP Growth (IMF) (%) 8.8%
GDP Growth (CIA) (%) 8.8%
GDP Per Capita (PPP) (IMF) (US$) 17,661
GDP Per Capita (PPP) (CIA) (US$) 17,700
GDP by Sector (%) Agriculture: 5.2%
Services: 60.6
Industry: 34.2%
Inflation (%) 5.8%
Population Below the Poverty Line (%) 4%
Labour Force (Millions) 1.587
Labour Force by Occupation (%) Agriculture: 15.8%
Services: 56%
Industry: 28.2
Unemployment (%) 3.5%
Main Industries Metal cutting machine tools, electric motors,
television sets, refrigerators and freezers,
petroleum refining, shipbuilding, furniture making,
textiles, food processing, fertilisers, agricultural
machinery, optical equipment, electronic components.
computers, amber jewellery.

Sources: CIA World Factbook, IMF
 

GDP

Lithuania has been maintaining an average GDP growth of 7.8% and although 2007 growth was forecasted to be around 7.5% it actually surpassed this prediction and was recorded at just over 8%.

economic indicators 2003 2004 2005 2006 2007
GDP (US$Billions) 18.6 22.5 25.7 29.8 38.4
GDP Growth (%) 10.0% 6.7% 6.8% 6.5% 8.8%
GDP Per Capita (US$) 5,372 6,551 7,536 8,768 11,354
GDP Per Capita (PPP) (US$) 11,820 12,980 14,337 15,656 17,700
Inflation (%) -1% 1% 1.1% 2.7% 5.4%
Unemployment (%) 12.5% 10.3% 8.0% 4.8% 5.7%
Foreign-Exchange
& Gold Reserves
(US$Billions)
3.5 4.6 3.8 5.2 6.3
Mobile Phone Users 867,000 1,235,000 1,510,000 4,353,000 4,718,000
Internet Users 201,000 282,000 358,000 1,083,000 1,083,000

Sources: CIA World Factbook, IMF

Major Exports & Imports

Lithuania offers highly skilled and efficient production at a fraction of western European costs. The export and import industries are constantly growing, with trade increasingly orientating towards the west. Since rebounding from the 1998 Russian financial crisis, Lithuania is the Baltic state that has conducted the most trade with Russia.

Major exports 2007

Mineral products, textiles and clothing, machinery and equipment, chemicals, wood and wood products, foodstuffs.

major imports 2007

Mineral products, machinery and equipment, transport equipment, chemicals, textiles and clothing, metals.

export partners % of total
Russia 12.8%
Latvia 11.1%
Germany 8.6%
Estonia 6.5%
Poland 6.1%
Netherlands 4.8%
Sweden 4.5%
UK 4.4%
US 4.3%
Denmark 4.2%
France 4.2%
import partners % of total
Russia 24.3%
Germany 14.9%
Poland 9.5%
Latvia 4.8%
Source: CIA World Factbook
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