European fund investments

• Regarding the EU Investment Fund 2021-2027, it is planned to set up to 1 132 million euros for the measures dedicated to business (responsibility of the Ministry of the Economy and Innovation).
• As Lithuania is divided into two regions (the Capital and Mid-West Lithuania) most of the investments, 74%, will be dedicated to the activities implemented in Mid-West Lithuania; the rest of the money will reach businesses operating in the Capital region.
• 263 million euros of the Just Transition Fund will be dedicated to the regions recognised as most affected by transition towards climate-neutral economy.
• Moreover, in comparison to the previous periods, the majority (23%) of the investments will be made using financial instruments and only few investments will be delivered through subsidies.
• Investments to R&D&I. To encourage the shift of the economy towards the production of high value-added products, investments will be made in creating favourable conditions for start-ups and in the transformation of SMEs into high value-added entities in the Mid-West Region. When increasing the supply of innovation, SMEs will be directed towards the commercialization of the final product, while less knowledge-intensive SMEs in the Mid-West Region will be provided with innovation support and advisory services. The capacity of the public sector to engage in pre-commercial procurement will be strengthened, while SMEs will be encouraged to develop innovative products. Attracting foreign direct investments to R&D&I will contribute to the growth of private investment in R&D and technology transfer to less knowledge-intensive SMEs. Strengthening the business position of global value chains will help SMEs participate in international R&D&I initiatives. The total investments: 397.6 million euros (67.9 million euros – Capital Region; 329.7 million euros – Mid-West Region).

• Investments in ‘Reaping the benefits of digitisation for citizens, companies, research organisations and public authorities’. Promoting the development of digital competences in high productivity computing, artificial intelligence, cyber security (investments in digital innovation hubs); Promoting the digitisation of SMEs (e-commerce); Developing new, innovative tools and technological solutions to ensure access to the internet and e-services for all citizens and companies; Creation of the new innovative technological solutions for using of new electronic identification tools and electronic transaction trust services; Promoting the use of open, demand-oriented data from public authorities to develop innovative solutions and digital services (SME’s investments). The total investments: 127.7 million euros (55.5 million euros – Capital Region; 72.2 million euros – Mid-West Region).
• Competitiveness of SMEs. In order to increase the productivity and competitiveness of SMEs investments will be made in the development of short-value chains among SMEs, acceleration and development of start-ups, internationalisation of SMEs (search for new foreign markets and the development of existing ones) and involvement in international value chains. After assessing the problems of low international competitiveness and low labour productivity, SMEs will be encouraged to invest in the implementation of digitisation technologies. Investments in promoting internationalisation and introduction of digital technologies have been planned in both regions, focusing investments in the Capital region on SMEs creating high value-added products. The introduction of digitisation technologies has become particularly important due to the need to build ‘contactless’ economy which became apparent in the face of the COVID-19 pandemic. The total investments: 195.6 million euros (63 million euros – Capital Region; 132.6 million euros – Mid-West Region).
• In order to promote transition to knowledge-based and higher value-added economy, investments will be made in those competences and skills of Smart Specialization areas identified in the EDP that are needed by SMEs, with a particular focus on developing and improving digital skills. In order to boost competitiveness of SMEs, through SME specialisation and management skills, investments will be made to capacity building of EDP participants to implement Smart Specialization. The total investments: 27.5 million euros (8.75 million euros – Capital Region; 18.75 million euros – Mid-West Region).
• Improving energy efficiency and RES consumption in industrial enterprises. The investments are foreseen in increasing energy efficiency and reducing intensity of energy consumption, creating conditions for industrial SMEs to invest in the application of the latest and environmentally friendly equipment and technological solutions in production processes, ensuring the continuity of these production processes. What is more, investments will be made in the installation of RES energy generation capacities based on energy efficiency audit reports, also the development of new RES technologies for more efficient use of RES and their deployment in industrial enterprises to use energy to meet internal needs of SMEs allowing to supply surplus energy to other industrial companies or transfer it to centralised energy networks. The total investments: 120.8 million euros (40.3 million euros – Capital Region; 80.5 million euros – Mid-West Region).
• In order to receive investments from Just Transition Fund, Lithuania has prepared the Territorial Just Transition Plan (hereinafter – the TJTP). Under the TJTP activities are orientated towards two directions: industry decarbonisation and the creation of sustainable jobs. All investments are dedicated to three regions that are mostly affected by the transition towards climate neutrality: Kaunas, Šiauliai and Telšiai regions and municipalities operating in Jonava, Akmenė and Mažeikiai. Totally 263 million euros will be invested in order to diminish the consequences of the transition.

During the 2014–2020 programming period, major focus and support is given to research, development and innovation R&D&I (about EUR 396 million), small and medium-sized business development (about EUR 541 million), the enhancement of energy efficiency of industrial enterprises (EUR 23 million), the dissemination of information related to natural and cultural objects (about EUR 25 million), the development of social business ((EUR 2,9 million) and the increase of competence of human resources (about EUR 84 million).

The support for R&D&I covers the most important areas like research, development and innovation, the promotion of clustering, the promotion and spread of innovation, the attraction of foreign direct investment and the enhancement of demand for innovation. 

The 2014–2020 programming period is different from the previous one (2007-2013) as the support under business instruments are exclusively granted to small and medium-sized business. In 2014-2020,  the granting of the EU fund investments is encouraged through financial instruments rather than subsidies. Another distinctive feature of the 2014–2020 programming period is access to support at more favorable terms for those companies which will be implementing projects in the regions.

In 2014-2020 programming period, the support for small and medium-sized business is focused on the promotion of entrepreneurship, the enhancement of productivity and export (including also private tourism support initiatives) as well as the introduction of eco-innovation.

In addition, considerable focus will be placed on investment through financial instruments (loans, guarantees, risk capital funds, etc.) as this support granting approach is less likely to distort competition. Moreover, this generates the return of funds which may be re-invested in other companies.

During the 2014-2020 programming period, EU innvestments to both small and large industrial enterprises are given seeking to reduce their energy intensity aiming to promote the use of renewable energy resources and the enhancement of energy efficiency of industrial enterprises; investments are also given to companies for carrying out of energy audits.

Unlike in 2007-2013 programming period, when the EU support was mainly targeted at public tourism infrastructure, in 2014-2020 programming period, the EU fund investments for public tourism are exclusively aimed to increase awareness about the objects of natural and cultural heritage. The EU investments (about EUR 25 million) are focused on various tourism marketing instruments, designed to promote natural and cultural heritage objects, situated on the national tourism routes, as well as the object marking.

The EU investments (about EUR 2.9 million) are provided for the promotion of new social business aiming to focus on addressing social problems of socially vulnerable individuals who are sensitive to socio-economic challenges and risks. A new 'Support for social business' pilot measure is implemented and aimed to provide society with the services and goods needed to solve specific social problems. 

During the 2014-2020 programming period, the Ministry of the Economy and Innovation offers EU investments for implementing projects aimed to raise and develop apprenticeship and sectorial competences as well as create the forecasting and development mechanism of the monitoring of human resources.

During programming period of 2007-2013, the EU investment areas under the competence of the Ministry of the Economy and Innovation were focused on business, including research & development, business environment, tourism and energy sectors. During the 2007–2013 programming period, according to measures administrated by the Ministry of the Economy and Innovation more than 3.6 thousand projects for 1.5 billion euro were successfully implemented. The projects were completed according to the guidelines adopted by European Commission in Decision C (2013) 1573 (the provisions of the guidelines for the closure of adopted operational programs supported by the European Regional Development Fund, the European Social Fund and the Cohesion Fund (2007-2013)) and the Minister of Finance Order on the approval of the timetable for the development, coordination and submission to the European Commission of the action plan for the completion of the European Union structural support 2007-2013 programming period and the documents which must be submitted to the European Commission before 31^st  March, 2017.  

General description

uropean Union structural assistance in 2007-2013 was provided under these main documents:  

http://www.esparama.lt/2007-2013/en/eu-structural-assistance-to-lithuania

The investment areas under competence of Ministry of Economy during programming period of 2007-2013 were focused on business, including research & development, business environment, tourism and energy sectors.

• Ministry of Finance
• Lithuania's European Union funds investments official website
• Information and consultation for applicants and project managers
• Investment and business guarantees
• Innovation agency
• Invest Lithuania
• Energy agency
• Lithuania travel 
• Lithuanian innovation centre