Last week, PM said defence taxes must be paid by as many people as possible; PM doubted if Litvinism concept should be criminalised
Foreign minister presents state award to US historian
Foreign Minister Gabrielius Landsbergis, who was on Friday, the 22nd of March, on a visit to the United States, on Thursday presented a Lithuanian state award to Timothy Snyder, professor of history at Yale University. Landsbergis and Snyder discussed “regional security issues and the need to continue and increase support for Ukraine”, the Foreign Ministry said in a press release.
President opts not to answer questions in probe into whistleblower report
President Gitanas Nausėda said on Friday, the 22nd of March, he has decided not to answer the questions put to him in writing by a parliamentary inquiry commission into a whistleblower report by a former employee of the State Security Department (SSD). According to Nausėda’s spokesman Ridas Jasiulionis, the president decided “not to bother the parliamentarians with additional work”, because Vytautas Bakas, head of the commission, had already said that he had “answers to the main questions”. Bakas says, however, that Nausėda’s refusal to answer the questions should be treated as a violation of the law. The commission is looking into a whistleblower report by Tomas Gailius, a former SSD employee, on actions by the intelligence agency’s head in vetting the inner circle of Gitanas Nausėda, then a presidential candidate, in 2019. The commission is investigating Gailius’ claims about possible unlawful collection of information on Nausėda’s supporters and staff, possible illegal influence on intelligence activities, possible interference in the 2019 presidential election process, possible unlawful support for the campaign, possible violations of the whistleblower’s rights, and possible unlawful influence in imposing sanctions on Belarus.
Seimas sets aim to boost defence spending to 3% of GDP from 2025
The Lithuanian parliament Seimas approved on Thursday, the 21st of March, a program for strengthening and developing the national defence system, which calls, among other things, for allocating at least 3% of GDP to defence from next year. The document was passed with 95 votes in favour, one against and ten abstentions. The program projects 2.38 billion euros in allocations for the Defence Ministry next year, 2.5 billion euros in 2026, 2.6 billion euros in 2027, and 2.84 billion euros in 2030. Andrius Mazuronis, leader of the opposition Labor Party, said the program cannot include issues on which there is no consensus among the parliamentary parties, such as universal military conscription and 3% of GDP for defence. Laurynas Kasčiūnas, chairman of the parliamentary Committee on National Security and Defence (CNSD) and Prime Minister Ingrida Šimonytė’s candidate for defence minister, said he was surprised at the criticism of the provision on universal conscription.
PM doubts Litvinism concept should be included in Criminal Code
Lithuanian Prime Minister Ingrida Šimonytė doubts whether the concept of Litvinism should be included in the Criminal Code. “I don’t know whether the word ‘Litvinism’ should be included in the Criminal Code because it seems to me that we would be having a very long discussion about what it really means. There should be no such loose concepts in our Criminal Code,” the prime minister told reporters at the Seimas on Thursday, the 21st of March. She made the remarks following intelligence reports earlier this week that politicians and public figures have recently started receiving more emails containing threats from groups allegedly promoting the ideology of Litvinism in Lithuania. However, the State Security Department stresses that there are no organised pro-Litvinism groups in the country, capable of posing a threat to Lithuania. The intelligence bodies say that Belarusian intelligence services are trying to recruit members of the diaspora in Lithuania, some of whom “promote radical political ideologies, such as Litvinism, a radical branch of Belarusian chauvinism”. According to the report, “Litvinism denies the Baltic origin of the dukes of the Grand Duchy of Lithuania and questions the rights of the Republic of Lithuania to the Vilnius region.”
Lithuania among countries asking EU to ban Russian, Belarusian grain imports
Lithuania, along with Latvia, Estonia, Poland and the Czech Republic, is urging the European Commission to ban Russian and Belarusian grain imports into the European Union. The joint appeal by the countries’ agriculture ministers was initiated by Lithuania, the Agriculture Ministry said on Wednesday, the 20th of March. According to the join appeal, it is important for the bloc to protect the EU market from grain possibly stolen from Russian-occupied territories in Ukraine. The ministers underline that the Kremlin finances its war in Ukraine with profits from grain exports, noting that, among other things, Russian grain puts pressure on the EU’s internal market and competes directly with EU farmers’ produce.
Lithuania endorses 35 million euro for Czech initiative to buy ammo for Ukraine
The Lithuanian government on Wednesday, the 20th of March, approved 35 million euros for the Czech-led multinational initiative to procure and send ammunition to Ukraine. The funds were allocated from state borrowing for the Defence Ministry’s expenses related to participation in international assistance initiatives for Ukraine, the government said in a press release. According to Prime Minister Ingrida Šimonytė, Ukraine has the will and ability to defend its freedom and that of Europe, “but faces a significant shortage of ammunition, which is why this initiative is much needed”. Lithuania confirmed its participation in the initiative in early March.
Government allocates 320 000 euro for legal services in dispute with Belaruskali
The Lithuanian government on Tuesday, the 19th of March, allocated 320 000 euros for legal services in its arbitration dispute with Belarus’ fertilizer giant Belaruskali. The government is represented by the law firm Ellex Valiūnas in the case. According to the resolution drafted by the Finance Ministry, the funds are allocated based on a contract signed last November for three months of services. It was announced last November that Belaruskali had launched investment arbitration proceedings against Lithuania, seeking compensation for losses caused by the government’s decision to halt the transit of its fertilizers. Belaruskali had exported around 11 million tons via the seaport of Klaipeda annually for more than a decade, but the shipments stopped on the 1st of February, 2022, after Lithuania’s state-owned railway company terminated its long-term contract with the US-sanctioned Belarusian potash fertilizer giant.
PM thinks defence taxes must affect as many people as possible
Prime Minister Ingrida Šimonytė believes that it would be better to raise broad-based taxes, those paid by larger segments of society, to boost defence funding. Her remarks came Tuesday, the 19th of March, after the Finance Ministry presented four options to raise several hundred million euros in additional defence funding annually. He said that the fairest principle would be that everyone feels a part of it, adding that what she likes less it the proposal to review all the (tax) breaks and incentives. Šimonytė also believes that higher corporate tax rates could also be possible. The Finance Ministry has worked out four options for raising additional budget revenue to boost the fixed funding for national defence to 3 % of GDP, from the current 2.5%. According to the prime minister, the government expects to announce concrete proposals in mid-April.
Central bank slashes 2024 GDP growth forecast to 1.6 percent
The Bank of Lithuania on Monday, the 18th of March, trimmed its Lithuanian GDP growth forecast for 2024 to 1.6%, from its previous estimate of 1.8% in December. Gediminas Simkus, the central bank’s governor, says that the Lithuanian economy has been stagnant for the past two years, but signs of recovery are already visible. The Bank of Lithuania forecasts that the economy will expand by 3.1% in 2025 and by 3.3% in 2026. The central bank expects annual inflation to decelerate to 1.6% this year before picking up slightly to 2.4% in 2025 and 2026. The unemployment rate is forecast to edge up to 7 % this year. Employment is forecast to inch down by 0.2%, and wages are projected to grow by 10.3%.
Follow us on Facebook and X!
Week in Lithuania | President refuses questions in whistleblower probe; bank cuts 2024 GDP forecast
