aA
Lithuania‘s economy to grow faster this year, say analysts
© DELFI / Orestas Gurevičius

Lithuania‘s economy will grow faster this year driven by increases in exports and strong domestic demand, according to SEB Bank.

SEB analysts expect that GDP growth in 2016 will be 2.8% and rise to 3.2% in 2017 much faster than last year.

Lithuania‘s exports this year will grow by 3.5% while imports will rise 2%. SEB Bank analysts said import growth would be driven by rapid growth in consumer demand.

“Domestic consumption will remain a robust support for the GDP growth this year. However, the trends, if compared to the last year, have changed - rapidly growing food, non-alcoholic drinks and tobacco sales, while the demand growth of non0-basic necessity goods, at least so far, is not as impressive as during most of the 2015,” said Gitanas Nausėda, the advisor to the SEB president.

“It is becoming obvious that it will be no longer possible in the future to raise the minimum monthly wage at a pace as in 2015-2016, since the minimum monthly wage and the average wage ratio has gotten closer to the optimum 50% level. However, all is not lost – non taxable income level can and should be increased as it has been growing more slowly than the minimum monthly wage recently,” said Nausėda.

The minimum monthly wage is set to rise to €380 this year on July 1, the average nominal wages this year could grow by 7% and next year – by about 6%.

Alfa.lt

|Populiariausi straipsniai ir video

Lithuania declares nationwide emergency due to coronavirus threat

The Lithuanian government declared on Wednesday a nationwide emergency in an effort to minimize...

Police chief in Kaunas Zukauskas sacked

Darius Zukauskas , chief of Kaunas County Chief Police Commissariat , has been dismissed from the...

Installation of Chinese CCTV in Kaunas raises security concern

The installation of a CCTV system produced by Chinese company Hikvision in Lithuania's...

Foreing ministry asks people to refrain from trips to Tenerife city

Lithuania's Ministry of Foreign Affairs has asked people to refrain from trips to the Tenerife...

Defense ministry moves to introduce 'official use' label in defense system

The Lithuanian Defense Ministry proposes to introduce the " official use " label for sensitive...

Top news

Lithuania declares nationwide emergency due to coronavirus threat

The Lithuanian government declared on Wednesday a nationwide emergency in an effort to minimize...

Coronavirus emergency may mean restrictions, release from obligations for firms

The Lithuanian government's decision to declare a state-level emergency due to the coronavirus...

Vilnius is 7th most accessible city in Europe

Vilnius came in 7th place beating many other European tourist hotspots.

Zalgiris: Friday's Euroleague match against Milan team to go ahead as planned

Friday's Euroleague match between Zalgiris Kaunas and AX Armani Milan in Lithuania's...

Installation of Chinese CCTV in Kaunas raises security concern

The installation of a CCTV system produced by Chinese company Hikvision in Lithuania's...

|Maža didelių žinių kaina