Innovation friendly environment
Lithuania is a sandbox for daring ideas and novel solutions. From one of Europe’s first AI-operated convenience stores to the world’s first digital collectors’ coin, Lithuania has tested and introduced many firsts. And it’s not just innovation for innovation’s sake, as many experiments have become a part of the Lithuanian experience.
A business ecosystem that’s primed for innovation and growth
Having transformed itself into the largest Fintech hub in Europe in only a few short years, Lithuania has proved that it knows how to kick-start and fast-track processes and how to connect stakeholders quickly to help companies innovate, thrive and grow.
Seizing on the opportunities offered by the fallout from Brexit, the country was quick to develop a robust regulatory framework and supportive infrastructure for companies looking to disrupt the financial sector. And because the country is able to be agile due to its size, it can deliver the kind of support that’s impossible for larger, more established business centres.
Vilnius to become tech center of Europe
Vilnius is poised to have one of the largest tech campuses in Europe by 2024. Tech Zity, a real estate developer focusing on infrastructure for tech startups, has announced a €100 million infrastructure project that will house 5,000 digital ecosystem workers in a single sprawling campus in Vilnius’ New Town district. According to the developers, the project will be 30% larger than any tech campus developed in Europe so far. Tech Zity announcement comes hot on the heels of the opening of Cyber City, an innovative tech campus courtesy of Tesonet, one of the country’s most prominent startup accelerators and the mothership of NordVPN, Lithuania’s second unicorn.
Where ease of doing business meets an entrepreneurial mindset
Investors chose Lithuania for many reasons. First of all, there is less red tape. Bureaucratic processes are shorter and decisions can be made faster. You can open a business in 24 hours with an electronic signature, taxes are easy to pay, and commercial lease rates remain highly competitive by EU standards. According Eurostat, 56%of the 25-34-year-old population have higher education. 85% of young professionals speak English, in Vilnius this figure is even higher. Lithuania ranks 2nd globally for digital skills availability, according to the International Institute for Management Development.
But it’s not just the numbers that are allowing businesses to prosper, it’s also the mindset of the people. Just look at the local companies that have sprouted and grown to become disrupters and leaders in their field: Vinted, Nord Security, Trafi, Tesonet, Kilo Health, Brolis Semiconductors, Transfer Go and Paysera. Meanwhile, the list of major foreign companies who have set up operations in Lithuania – Danske Bank, Nasdaq, Continental, Hollister, Hella, McKesson, and Thermo Fisher Scientific are testament to how reliable, safe, and nurturing the country is.
Invest Lithuania, a public agency to promote FDI and business development, works hard to ensure that Lithuania is listed among the countries that treat investors best.
Where you can test your ideas in a regulated environment
Lithuania provides the perfect sandbox for innovators who want to test their ideas in real market conditions before they roll them out globally. Via tailored industry-specific regulatory sandboxes provided by the relevant authorities, startups and incumbents can test out innovations in fields as diverse as finance, energy and transport.
The Bank of Lithuania has been recognised as one of the world’s most progressive regulators. Guided by the aim of being a partner to the financial sector, and not only a watchdog, the Lithuanian central bank has a proven track record for ensuring a regulatory environment that’s conducive to innovation.
Experimentation is safe here. Today, Lithuania has solidified its place among the most reputable jurisdictions in the world, climbing to the 8th place among the lowest-risk jurisdictions, according to the Basel Index.
Where we generate great ideas for a greener future
In response to the global waste-and-recycling challenge, Lithuania has implemented a successful deposit-refund system for beverage packaging, yielding remarkable results.
Introduced to the public in 2016, the deposit-refund system presents a mechanism that incentivizes consumers to return their used plastic, metal, and glass beverage containers. When purchasing a drink, a small deposit is added to the product’s price. This deposit serves as motivation for consumers to return the containers after use so they can reclaim the deposit amount.
Thanks to this innovative system, Lithuania now boasts an impressive recycling rate, collecting and recycling over 90% of all beverage packaging. This forward-thinking approach has not only protected the country’s natural beauty but has also reduced greenhouse gas emissions and conserved valuable resources.
Furthermore, the deposit-refund system has garnered immense support from the Lithuanian public, with an overwhelming 99% of consumers believing that it is a necessary solution for preserving the environment for future generations.
At Lithuania’s forefront of promoting a green and circular economy, we invite countries and societies worldwide to join us in adopting the deposit-refund system. If you are interested in co-creating and implementing a deposit-refund system in your country, we encourage you to connect with us at [email protected].
For more information on Lithuania’s successful journey towards you can find here.