WIIW The Vienna Institute for International Economic Studies - Wiener Institut für Internationale Wirtschaftsvergleiche

The Lithuanian economy experienced a short-lived recession in the second quarter of 2020, recovering quickly and experiencing just a small GDP decline of 0.8% for the full year 2020. Better-than-expected export performance and swiftly rebounding household consumption were coupled with a slump in imports. In 2021 the ongoing restrictions due to the second and third wave of infections will keep the economic revival subdued. The government continues to deliver substantial fiscal stimulus, and the announced public investments will support recovery over the next two years. For 2021 we expect real GDP to grow by 2.1%, followed by a faster upswing of 3.8% in 2022 and 3.1% in 2023.