EIMIN initiates changes that will create a better environment for attracting investment
The Ministry of the Economy and Innovation (EIMIN) is initiating amendments to the Law on Companies, which are aimed at improving the Lithuanian capital market and creating an even more favourable investment environment in Lithuania.
"We are continuing the work we have started to improve the investment environment in Lithuania. To this end, we intend to improve the Law on Companies to make the Lithuanian capital market even more attractive. For this purpose, we have set up a working group that will propose the necessary changes to stimulate the growth of the capital market by simplifying decision-making processes in companies," said Aušrinė Armonaitė, the Minister of the Economy and Innovation.
The amendments to the law initiated by the Ministry relate to the new regulation of the institution of redeemable shares, as well as the delegation of key decisions to management bodies and the protection of the rights of minority shareholders, including the organisation of the general meeting of shareholders and other issues.
"At the same time, we want to ensure that the amendments to the Companies Act are not only based on best practice and the European Model Companies Act, but are also in line with the legal framework of the European Union. This would significantly improve the business environment and investment opportunities in Lithuania," says Ieva Valeškaitė, the Vice-Minister of the Economy and Innovation.
The Ministry of the Economy and Innovation has been continuously improving the investment climate in the country. The Seimas has already approved amendments to the Law on Companies prepared by the Ministry of Economy and Innovation, which improve the business environment for growing companies in order to attract investment, promote the use of digital tools in decision-making and ensure that shareholders, especially small shareholders, can exercise their rights.
The amendments have made it possible to reduce the administrative burden on businesses, liberalise the legal framework to improve the functioning of companies from their establishment to attracting investment. One of the most important changes in the law is the possibility for companies to issue different classes of shares, allowing investors to decide for themselves the need for specific classes of shares.