Investors’ Confidence Index for Lithuania (ICIL) shows that a confidence of Lithuanian investors’ is recovering after reaching 3-year lows. Currently, ICIL final value is 1,150 out of 2.
Major positive trends in the investment environment in Lithuania remain unchanged. Investors have a very positive outlook towards telecommunications, transport and logistics infrastructure and foreign language skills. The positive rating of telecommunication rose by 4 percentage points. However, positive rating of transport and logistics infrastructure decreased by 11 percent. Also, we can see that 15 percent less investors indicate Lithuanian employees as having a good command of foreign languages.
Study also reveals that education, efficiency of public sector and migration issues still need most attention from the government, according to the respondents.
It is worth mentioning that increased Index value shows positive expectations for raising salaries in foreign capital companies operating in Lithuania. The plans are much more ambitious, compared to the previous quarter, as 77 percent of the respondents plan to increase salaries of their companies’ employees. Investors’ plans to increase the number of employees has also changed slightly: 41 percent of companies surveyed are considering it.
Although the worst-performing areas achieved better results this quarter and are rated higher, some of the leading areas have a negative change. For example, the rate of Lithuania’s openness to new investments is lower than it was in the end of 2018.
In addition to traditional questions, business leaders were asked to evaluate the Government’s institutions and state-owned enterprises. As a result, Fire and Rescue Department was highest ranked institution – 62 percent of respondents are satisfied with department’s work.
Read the full report here.