2020.08.05 09:30

Lithuania's stimulus plan may contain unstimulating projects, auditor says

Erika Alonderytė, BNS2020.08.05 09:30

The Lithuanian government's 6.3-billion-euro stimulus plan for the economy after the Covid-19 crisis may contain projects that are unnecessary and will give no stimulus to the economy, Deputy Auditor General Živilė Simonaitytė has said.

“We see risks that the State Investment Program's long-frozen projects, which were regarded as not very important for Lithuania, may be included into the plan,” she told reporters on Tuesday.

Read more: Lithuania unveils €6.3bn 'DNA of the Future' economic stimulus plan

The National Audit Office has launched an assessment of Covid-19 actions, including the plan dubbed The DNA of the Future Economy, that will show if the investments and spending envisaged in the plan serve the purpose of stimulating the economy. The results are expected to be announced in the autumn, according to Simonaitytė.

The Finance Ministry says the plan earmarks about 6.3 billion euros in long-term investment by the end of 2021. These include 2.2 billion euros for new additional investment and 4.1 billion euros for accelerating investment that was already planned.

The Plan for the DNA of the Future Economy focuses on five priorities: human capital, digital economy and business, innovation and research, economic infrastructure, and climate change and energy.

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