Government support for investors in Lithuania

Last updated: June 22, 2026

Lithuania has emerged as a strategic destination for investors, offering a range of investment support mechanisms designed to foster economic growth and innovation. To ensure government support, Lithuania provides various investment and business incentives, including tax benefits, grants, and public-private partnerships, to attract both domestic and foreign investors.

As global corporations seek highly digitalised, secure and agile environments to scale operations, tailored frameworks ensure rapid market entry and long-term operational predictability. By aligning regulatory systems with developer needs, Lithuania continues to establish itself as a highly competitive, innovation-first economic zone within Europe.

What business support is available in Lithuania?

The Lithuanian government offers a multifaceted approach to investment support, encompassing financial incentives, infrastructural development, and regulatory facilitation. Key areas include:

Tax incentives: Reductions in corporate income tax and value-added tax (VAT) for qualifying investments.
Grants and subsidies: Direct financial assistance for startups and expanding businesses.
Public-Private Partnerships (PPPs): Collaborative projects between the government and private sector entities.
Export development programs: Support for businesses aiming to enter or expand in international markets.

Tax incentives for new and foreign investors in Lithuania

Lithuania’s tax regime is structured to encourage investment through various tax incentives:

Corporate income tax reduction: The standard corporate tax rate is 17%, with potential reductions for small enterprises and specific industries.
Value-added tax (VAT) exemptions: Certain goods and services may qualify for reduced VAT rates or exemptions.
Research and development (R&D) deductions: Companies investing in R&D can benefit from significant tax deductions.

These incentives are designed to enhance the investment environment in Lithuania, making it more attractive for both new and foreign investors.

Government support for large-scale investment

Large-scale investors in Lithuania benefit from one of Europe’s most streamlined investment frameworks – the Investment Highway. Designed to cut pre-construction, territorial planning, and permitting timelines in half, the initiative brings all key government institutions into sync and can move projects from decision to ground-breaking in as little as three months.

Qualifying projects – requiring a minimum capital expenditure of €20 million and at least 150 full-time employees sustained for five years – can access a 0% corporate income tax rate for up to 20 years, auction-free leasing of state-owned land, streamlined migration processes for skilled workers, and a dedicated case manager providing a direct line to government. Tailored workforce and training programmes round out a support package designed to minimise delays, reduce costs, and accelerate time to market.

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Lithuania’s grant programs for new businesses and startups

To stimulate entrepreneurship, Lithuania offers several government grants for investors:

Startup Visa program: Facilitates the entry of non-EU entrepreneurs to establish innovative businesses in Lithuania. Learn more at Startup Visa Lithuania.
Innovation promotion fund: Provides financial support for projects focusing on technological advancements and innovation. Learn more at ILTE.
SME development grants: Targeted at small and medium-sized enterprises to support growth and competitiveness. Learn more at European fund investments – Ministry of the Economy and Innovation of the Republic of Lithuania.

These programs aim to bolster the startup ecosystem, providing essential resources for new businesses.

Public-Private partnerships in Lithuania: opportunities for foreign investors

Lithuania actively promotes public-private partnerships (PPPs) as a means to develop infrastructure and public services. Foreign investors can engage in sectors such as transportation, energy, and healthcare. The government provides a clear legal framework and support for PPP projects, ensuring mutual benefits and risk-sharing.

Financial and economic incentives for technology investors in Lithuania

Recognising the importance of technology in economic development, Lithuania offers specific economic investment programs for tech investors:

Tech parks and incubators: Access to state-of-the-art facilities, science and innovation parks, and resources for tech startups.
Digital innovation hubs: Support for companies integrating digital technologies into their operations.
Grants for high-tech projects: Financial assistance for projects in areas like biotechnology, fintech, and information technology.

These initiatives are part of Lithuania’s strategy to position itself as a leader in technological innovation.

How to access business subsidies in Lithuania

To obtain business subsidies, investors should:

Identify eligibility: Determine which subsidies align with your business activities and sector.
Prepare documentation: Compile necessary business plans, financial statements, and project proposals.
Submit applications: Apply through relevant government agencies or online portals.
Comply with regulations: Ensure adherence to all legal and regulatory requirements.

Detailed information and assistance are available through agencies such as Invest Lithuania and the Ministry of Economy and Innovation.

Investor advantages of Lithuania’s economic growth initiatives

Lithuania’s economic policies focus on sustainable growth and innovation. Investors benefit from:

Stable economic environment: Consistent GDP growth and low inflation rates.
Skilled workforce: A highly educated labor force with proficiency in multiple languages.
Strategic location: Access to EU markets and proximity to Central Eastern Europe and the Nordics.

These factors contribute to a favorable investment environment in Lithuania.

Export development and trade support programs in Lithuania

To enhance international trade, Lithuania offers:

Export credit guarantees: Protection against potential losses in foreign markets.
Trade missions and exhibitions: Opportunities to showcase products and services globally.
Market research assistance: Support in identifying and entering new markets.

These programs aim to strengthen Lithuania’s position in global trade and support businesses in expanding their reach.

Business incentives and funding in Lithuania

Lithuania’s comprehensive investment incentives and business support programmes reflect a clear commitment to building an investor-friendly economy. For corporations, this means direct access to an ecosystem combining financial security, flexible funding, and rapid deployment – whether through greenfield infrastructure or foreign business setup. Reliable infrastructure, structured pathways, and forward-looking economic policies make Lithuania a compelling long-term base for reaching the European market.

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