aA
In order to improve the city's investment environment, Kaipėda City Municipality during the July city's council meeting has approved an incentive model that should entice Service sector investors to Klaipėda. This is the first time in Lithuanian when municipality endorses the incentive tailored to service sector investors, writes "Klaipėda ID".
Klaipėda
Klaipėda
© Klaipėdos savivaldybė

A reimbursement related to premises rent is to be given to all new and expanding service sector companies after a 12-month period. The requirements are: one - more than 20 new workspaces created in Klaipėda city, two - keeping them at least for 36 months. The financial incentive program for SSCs was initiated and created by Klaipėda city development agency Klaipėda ID in collaboration with the public enterprise Invest Lithuania and Klaipėda city municipality administration International affair and economic development department.

"We are excited to see Klaipėda city systematically completing the set goals of "Klaipėda 2030" strategy, which are aimed at attracting shared service centres. The new financial incentive of rent compensation contributes heavily to the value proposition for the investors,"- says Simas Simanauskas, the director of Klaipėda ID.

The incentive is aimed at foreign service sector investors and the already present companies in order to motivate them to expand and most of all - create new, well paid workspaces in Klaipėda. It is no secret - service sector companies are one of the most desired employers in Lithuania, that in combination with higher education schools provide an excellent environment for top-tier workers to learn and flourish. It is expected that this incentive will also contribute to the rejuvenation of the real estate office space supply.

SSCs contribute to the economic wellbeing of the city by nourishing and creating new workspaces, which culminate in more accumulated taxes. It is calculated, that taking in consideration only the collected income tax, the incentive will pay for itself in about 6 months’ time, and with the added financial stream multiplicative effect - in 3 months’ time.

"We always support proactive city initiatives that aim to draw potential investors' attention. This approved incentive initiative no doubt will improve Klaipėda's region investment environment. Shared service centres create sizable economic benefits for the city with high added value workplaces and with the increasing number of SSC's talents and professionals have a broader choice of fulfilling job opportunities in Klaipėda. The next goal should be to fuel the future students' desire to study foreign languages and relevant to the service sector programs," - says Laisvis Makulis, Head of Business Services of Invest Lithuania.

DELFI EN
It is forbidden to copy the text of this publication without a written permission from DELFI.
|Populiariausi straipsniai ir video

Sapoka: country's economy is withstanding pandemic challenges very well

Lithuania's economy is coping very well with challenges induced by the coronavirus crisis, and the...

Zalatorius steps down as head of Lithuania's banking association

Mantas Zalatorius , suspected of corruption, is stepping down as head of the Association of...

Coronavirus-triggered economic crisis less severe than in 2009

Lithuania's gross domestic product contracted by 3.7 percent in the second quarter of 2020 from a...

Kucinskas is under investigation in Lithuania as well

Vidmantas Kucinskas , the founder of the Arvi business group who has been recently detained in...

Sources: Game Insight hit by Chinese hackers (2)

Game Insight , a Lithuanian developer and publisher of free-to-play mobile games and social-network...

Top news

Corruption-suspected health vice minister hands in resignation letter (1)

Lithuania's Deputy Health Minister Lina Jaruseviciene recently named a suspect in an investigation...

Checkpoint on Lithuanian-Belarusian border to be opened

Lavoriskes-Kotlovka border checkpoint on the Lithuanian-Belarusian border will be opened on Tuesday.

Tornau wins competition for cultural attaché to UK

Ula Marija Tornau has won the Lithuanian Culture Ministry's competition for the post of cultural...

17 new coronavirus cases

On Monday 17 new COVID-19 cases were detected in Lithuania. Overall, it adds to 2137 confirmed...

2-week isolation for returnees from France, Malta ordered

Lithuanian nationals returning from France and Malta have to self-isolate for two weeks as of...

|Maža didelių žinių kaina