Last week, Lithuania announced it plans to borrow 6.7 billion euros next year, 3 percent GDP defence budget plan scrapped.
Bronze Age settlement found under water in Lithuania
A Bronze Age settlement has been discovered under water in Lake Belys in Lithuania’s Švenčionys District, archaeologists announced on Friday, October 14. They found pile structures near the island and beams of wooden buildings scattered in the lake during sonar exploration of the lake’s bed. Three rows of wooden piles were found on the submerged slope of the island, which is likely to be a defensive barrier protecting the access to the settlement on the island. Among the piles, many shards of striated pottery, animal bones used for food and burnt stones were found. Archaeologists believe the island was the site of a fortified settlement from the late Bronze Age to the early Iron Age.
Lithuanian schools can take in 26 000 more Ukrainian children
Lithuanian schools can still take in up to 26 000 more Ukrainian children who have fled the war and taken refuge in the country, Education, Science and Sport Minister Jurgita Šiugždinienė said on Friday, 14 October. The number of children from Ukraine registered with Lithuanian educational establishments totalled over 13 000 as of this week, the ministry said in a press release, noting that although the peak of refugee arrivals was recorded in spring, Ukrainians are still coming to Lithuania every week. About 3 000 places for Ukrainian children are still available at Lithuanian kindergartens, it said.
Avia SG to acquire six Boeings for passenger-to-freighter conversion
AviaAM Leasing, the aircraft leasing subsidiary of Avia Solutions Group, an aviation business group owned by Lithuanian entrepreneur Gediminas Žiemelis, announced on Thursday, 13 October, it is set to purchase six Boeing 777-300ER passenger aircraft and have them converted into lower-emission freighters by 2026. Avia Solutions Group said it has acquired the first of the six aircraft it has ordered. Jonas Janukėnas, the group’s CEO, says this is AviaAM Leasing’s first such large-scale project for converting the popular passenger aircraft type.
Conservative MPs banned to propose own budget ideas
The presidium of the Homeland Union-Lithuanian Christian Democrats on Thursday, 13 October, instructed the ruling party’s parliamentarians to vote only in favour of next year’s budget proposals that have been approved by the government. The presidium’s resolution obliges members of the Homeland Union’s political group in the Seimas to support the government’s proposed draft 2023 budget and related legislation during the debate and voting on the bill at the parliament. The presidium notes in the resolution that the 2023 state budget deficit limit set in the bill is close to five percent of GDP, a threshold that is important for the country’s fiscal reputation.
Lithuania joins German-led initiative to develop joint air defence in Europe
Lithuania has joined the German-led European Sky Shield Initiative to develop air defence capabilities in Europe through joint acquisitions, the Defence Ministry said on Thursday, 13 October. Lithuanian defence Minister Arvydas Anušauskas and his counterparts from 14 other countries – Belgium, Bulgaria, the Czech Republic, Estonia, Finland, Germany, Hungary, Latvia, the Netherlands, Norway, Romania, the Slovak Republic, Slovenia and the United Kingdom – signed in Brussels a letter of intent for the development of the initiative. According to the Lithuanian ministry, the initiative is aimed at carrying out joint acquisitions, developing the capabilities of the ground-based air defence systems of NATO’s European countries and improving their interoperability, including with the Alliance’s Integrated Air and Missile defence System (NATINAMDS).
Lithuania scraps 3 percent GDP defence budget plan for now
Lithuania’s defence budget for 2023 had been planned with a target of spending 3 percent of GDP on national defence, but the plans had to be adjusted due to the energy crisis, Defence Minister Arvydas Anušauskas said on Thursday, 13 October. The minister said he is not abandoning the 3-percent-of-GDP defence spending target, but added that the crisis situation has to be taken into consideration. President Gitanas Nausėda has repeatedly suggested increasing Lithuania’s defence spending to 3 percent of GDP next year. Finance Minister Gintarė Skaistė maintains that doing so would bring Lithuania’s budget deficit above 5 percent of GDP, which would significantly increase its borrowing costs. Last week, the government proposed to allocate more than 1.77 billion euros, or 2.52 percent of next year’s projected GDP, to national defence.
President’s comparison about relationship with woman sparks outrage
President Gitanas Nausėda’s remark in which he likened Lithuania’s commitment to host a German brigade to a relationship with a woman has caused a public discussion about whether it was appropriate. In a recent interview, Nausėda said: «The German army, you know, is not a girl you can invite to have a good night by the lake under the sky…This is a serious army that needs to be offered a marriage contract, and that marriage contract needs to very clearly set out Lithuania’s commitments» . The remark sparked both jokes on social media about what else to bring to the lake with the German army, and accusations of sexism and calls for an apology. Equal Opportunities Ombudsman Birutė Sabatauskaitė demanded an «apology for a comment that demeans women and girls, and ridicules them and makes them not subjects, but objects that do not have a voice.» Viktorija Čmilytė-Nielsen, the speaker of the Lithuanian parliament, said that she would find it difficult to explain to European Parliament President Roberta Metsola or other female parliamentary leaders what «taking a girl to the lake» or a «marriage contract» means in Lithuanian international relations. Mažvydas Jastramskis, an associate professor at Vilnius University’s Institute of International Relations and Political Science, also said that Nauseda’s remark is sexist and categorises women.
Ruling Conservative MPs disagree over VAT on food
Four conservative MPs – Mindaugas Skritulskas, Mykolas Majauskas, Justas Džiugelis and Kazys Starkevičius – on Tuesday, 11 October, backed the minor coalition partner Freedom Party’s proposal to keep the reduced 9 percent VAT rate for food serving businesses in place throughout 2023, rather than during the first half of the year as proposed by the government. The Freedom Party’s proposal passed the first vote in the parliament. According to the daily Lietuvos Rytas, the behaviour of his fellow conservative MPs caused the patience of Gabrielius Landsbergis, the Homeland Union’s leader, to snap during the parliamentary group’s meeting on Tuesday. Reportedly, Landsbergis told the group’s members that they had to support the government and its budget bill, adding that those who did not like it were free to leave the party and its parliamentary group.
Lithuania plans to borrow around 6.7 billion euros next year
The Lithuanian government plans to borrow around 6.673 billion euros domestically and abroad next year, with the government debt is expected to reach around 30.2 billion euros, or 43 percent of GDP, by the end of 2023, the government announced on Monday, October 10. The government plans to borrow around 2 billion euros domestically by issuing government securities, and also borrow 4 billion euros by issuing Eurobonds abroad. A further 639 million euros would be borrowed from international financial institutions, according to the government’s 2023 borrowing program. Some 1.998 billion euros will be used to repay the country’s debt, including 1.765 billion euros for the internal debt and 233 million euros for the foreign debt.
Week in Lithuania: Ruling Conservative MPs disagree over VAT on food; President’s remark on German army and marriage sparks outrage
