The Ministry of the Economy and Innovation (EIMIN) is proposing legislative amendments that would create more favourable conditions for the development of large investment projects in Lithuania. The amendments aim to ensure faster and simpler land allocation to investors and to enable them to obtain land on more favourable terms, both from the state and from state-owned companies.

"Lithuania aims to become a competitive country in the global battle for investment. These proposals will help us to act more flexibly, quickly, and effectively, which is necessary to attract large manufacturing projects. We must ensure that investors find not only a reliable partner here, but also a favourable regulatory environment," said Minister of the Economy and Innovation Lukas Savickas.

The amendments provide for the possibility for large investors to acquire or lease state-owned and state-controlled land without auction, and in certain cases at below market price or even free of charge. This would be possible once the commitments set out in the investment agreement have been fulfilled.

It is also proposed to ensure longer land lease terms so that investors can plan their activities with certainty and for the long term. In addition, the procedure for transferring plots of land from other trustees to the National Land Service would be simplified when the land is needed for the implementation of a large-scale project.

This mechanism would become an additional advantage for Lithuania in attracting investment. It should be noted that an increasing number of OECD countries have established mechanisms to ensure land lease or acquisition on preferential terms. Without such a mechanism, Lithuania becomes less competitive and, in some cases, may be removed from the list of countries under consideration altogether.

Source: https://eimin.lrv.lt/