<\/p>\n
Lithuania\u2019s economy posted solid growth in the first quarter of this year despite geopolitical risks and lingering uncertainty, but economists warn that the outlook for the remainder of the year is less optimistic.<\/p>\n
Official statistics showed that Lithuania\u2019s GDP grew by 3.4 percent year-on-year and by 0.6 percent quarter-on-quarter in the first quarter. \u0160iauli\u0173 Bankas\u2019 chief economist, Indr\u0117 Genyt\u0117-Pik\u010dien\u0117, noted that preliminary data had already indicated impressive growth in industrial output and solid retail trade, excluding fuel sales.<\/p>\n
\u201cThis indicates that the household consumption pillar remains strong, with purchasing power continuing to rise despite the rebound in inflation. Wage growth is outpacing inflation, and consumption remains resilient. Lower interest rate pressures and an uptick in lending have also supported the positive indicators,\u201d she told BNS.<\/p>\n
SEB economist Tadas Povilauskas said that the better-than-expected annual GDP growth is good news for Lithuania in the EU context.<\/p>\n
\u201cI had projected 3 percent annual growth, and we got 3.2 percent (seasonally and calendar-adjusted), so it was actually slightly better than expected,\u201d Povilauskas told BNS.<\/p>\n
\u201cThis slight overshoot is good news. With both our quarterly and annual growth figures, we\u2019ll again rank fairly high in the EU, which shows that the first quarter brought no major negative surprises for the economy,\u201d he added.<\/p>\n
According to Povilauskas, the main driver of GDP growth, both quarter-on-quarter and year-on-year, was the industrial sector.<\/p>\n
\u201cWhat\u2019s encouraging is that most industrial sectors expanded \u2013 furniture manufacturing, wood products, metal processing, and optics,\u201d he said.<\/p>\n
Genyt\u0117-Pik\u010dien\u0117 noted that the positive momentum seen in early 2024 has so far continued, but economic sentiment and consumer expectations are beginning to weaken, indicating that anxiety and geopolitical risks are already weighing on the outlook for both households and businesses.<\/p>\n
\u201cThe strong economic expansion we\u2019re witnessing now is not guaranteed to last. The full-year result may be more modest than the strong start suggests, due to growing uncertainty,\u201d she told BNS.<\/p>\n
The \u0160iauli\u0173 Bankas analyst added that this will depend on the level of political will and the extent of European fiscal support for defense.<\/p>\n
Povilauskas said second-quarter GDP growth is likely to remain around 3 percent, but the second half of the year is more uncertain, with growth potentially slowing to about 2 percent.<\/p>\n
\u201cFor now, we\u2019re pleased with the first quarter, but we all know that import tariffs for Europe came into effect on April 2. As a result, there are expectations of slower economic growth in the coming quarters,\u201d the SEB analyst said.<\/p>\n
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Lithuania\u2019s economy posted solid growth in the first quarter of this year despite geopolitical risks and lingering uncertainty, but economists warn that the outlook for the remainder of the year is less optimistic. Official statistics showed that Lithuania\u2019s GDP grew by 3.4 percent year-on-year and by 0.6 percent quarter-on-quarter in the first quarter. \u0160iauli\u0173 Bankas\u2019 […]<\/p>\n","protected":false},"author":1,"featured_media":3916,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-3915","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bez-rubriki"],"featured_image_src":{"landsacpe":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2025\/05\/Lithuania-4-1024x445.jpg",1024,445,true],"list":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2025\/05\/Lithuania-4-463x348.jpg",463,348,true],"medium":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2025\/05\/Lithuania-4-300x194.jpg",300,194,true],"full":["https:\/\/relinvestmentsgroup.com\/wp-content\/uploads\/2025\/05\/Lithuania-4.jpg",1024,663,false]},"_links":{"self":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts\/3915","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/comments?post=3915"}],"version-history":[{"count":1,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts\/3915\/revisions"}],"predecessor-version":[{"id":3917,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/posts\/3915\/revisions\/3917"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/media\/3916"}],"wp:attachment":[{"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/media?parent=3915"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/categories?post=3915"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/relinvestmentsgroup.com\/en\/wp-json\/wp\/v2\/tags?post=3915"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}