International credit rating agency Morningstar DBRS has reaffirmed Lithuania's A (high) long-term credit rating with a stable outlook, the second such confirmation in six months, the finance ministry has said.
"The stable outlook reflects Morningstar DBRS's view that Lithuania's prudent fiscal policy and low level of public debt help mitigate risks arising from a potential increase in the fiscal deficit in the near term," the ministry said in a statement.
The agency noted that real GDP grew by 2.9% last year, driven chiefly by strong domestic demand, and forecast growth would accelerate to 3.1% in 2026 before easing to 2% in 2027.
Continued economic expansion will be supported by robust consumption and active investment, Morningstar DBRS analysts said, though prolonged geopolitical tensions keeping energy prices elevated pose downside risks.
The ministry said the government expects the fiscal deficit to rise from 1.8% of GDP in 2025 to around 3% between 2026 and 2028. While the general government debt-to-GDP ratio is projected to increase over the forecast period, the agency said it should remain at a moderate level.
Morningstar DBRS expects Lithuania to continue adhering to EU fiscal rules and to introduce further budgetary adjustments as pressures build in the medium term.
The agency previously confirmed Lithuania's A (high) long-term borrowing rating in October.
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