Lithuania profile

Demography and Health

Lithuania is a relatively small population country, with about 2.89 million people in 2024, ranking 138 in total population globally. The demographic profile shows a natural decrease: birth rate of 7.2 per 1,000 people and a higher death rate of 12.9 per 1,000, underscoring an aging population and the accompanying social and economic adjustments. Positive net migration (2,617 in 2024) helps partially offset natural decline, but overall population dynamics continue to trend toward aging. Life expectancy at birth stands around 77 years (2023), and mortality among children under five is low at 3.4 per 1,000 live births, signaling solid health outcomes for youth. Health system financing appears robust, with current health expenditure at 7.29% of GDP (2023) and per-capita health expenditure in PPP terms about 2,434 international US dollars (2022), while the density of physicians is 5.13 per 1,000 people (2022), indicating good access to medical care for a middle-income country. The burden of risk factors alongside mental health is reflected in a suicide mortality rate of 22.1 per 100,000 population (2021), suggesting a need for ongoing social and mental health support. Poverty remains a concern for a portion of the population, with 20.9% living under national poverty lines (2021), and undernourishment affects about 2.5% (2022). Overall, Lithuania’s demography and health indicators point to a well-developed health system facing typical Northern European aging dynamics and ongoing social policy challenges. The country also has a high level of internet penetration and social indicators that are generally favorable for health information access and telemedicine potential.

Economy

Lithuania displays a small, export-oriented economy with a GDP per capita of about $29,386 in 2024, and a PPP-adjusted GDP per capita around $54,414, reflecting a relatively high standard of living within the region. The economy benefits from price stability and low inflation, with an inflation rate of 0.716% in 2024, which supports consumer purchasing power and investment planning. The country is highly open to trade: exports of goods and services equal 74.1% of GDP in 2024, while imports account for 68.9% of GDP, illustrating a strong external orientation and integration into European value chains. Economic performance is also supported by a moderate unemployment rate of 6.84% in 2023, indicating a fairly solid labor market by international standards. Lithuania invests in knowledge-intensive activities, as evidenced by high-technology exports totaling about $3.74 billion in 2023, and by research and development expenditure at 1.05% of GDP in 2022. Innovation is further indicated by 81 resident patent applications in 2021. The economy benefits from a favorable current account position, with a surplus of about 2.48% of GDP in 2024, and net inflows of foreign direct investment amounting to 4.24% of GDP in the same year, signaling confidence from investors in Lithuania’s growth and reform trajectory. Yet social challenges persist, including a poverty rate around 20.9% of the population (2021) and a moderate level of energy-intensive growth that is gradually shifting toward more sustainable sources. Overall, Lithuania’s economic structure shows a transition toward higher productivity sectors, supported by open trade, a growing knowledge economy, and a conducive investment climate, albeit with room to improve social protection and inclusivity.

Trade and Investment

Lithuania is highly trade-oriented, with exports constituting 74.1% of GDP (2024) and imports at 68.9% of GDP, reflecting extensive participation in international supply chains and a reliance on imported goods for domestic consumption and investment. The country’s external orientation is reinforced by robust high-technology exports, which reached about 3.74 billion US dollars in 2023, illustrating a meaningful contribution of advanced manufacturing and tech-driven sectors to external trade. Foreign direct investment net inflows stand at 4.24% of GDP in 2024, signaling ongoing investor confidence and integration into European investment networks. The quality of trade and transport infrastructure supports efficient cross-border commerce, as shown by a Logistics Performance Index score of 3.5 (2022) and a relative rank of 11 in its category, suggesting Lithuania benefits from relatively well-developed logistics and supply chains. Intellectual property activity also points to an innovation-friendly environment, with 81 patent applications by residents in 2021, indicating a growing capacity for localized innovation. In sum, Lithuania’s trade and investment landscape is characterized by openness, a rising technology footprint, steady capital inflows, and infrastructure that underpins efficient international commerce.

Governance and Institutions

Governance indicators portray a country with relatively strong regulatory quality and rule of law, alongside respectable levels of political stability and government effectiveness. In 2023, regulatory quality is measured at 1.34 with a global rank of 23, while the rule of law is 1.27 (rank 26). Political stability and absence of violence/terrorism registers at 0.742 (rank 49), and control of corruption stands at 0.782 (rank 39). Government effectiveness is 1.05 (rank 34). Taken together, these indicators suggest a governance environment that supports market institutions, policy predictability, and anti-corruption efforts, albeit with some volatility and room for improvement in political stability. The data imply Lithuania maintains a pro-business framework underpinned by credible institutions and policy enforcement, which helps attract investment and sustain reforms.

Infrastructure and Technology

Infrastructure and technology in Lithuania are characterized by strong digital connectivity and competitive logistics. Internet usage stands at 88.5% of the population in 2023, indicating broad digital access and potential for e-government, online education, and digital health services. The country scores well on logistics-related infrastructure with a Logistics Performance Index of 3.5 (2022) and a high relative standing (rank 11), signaling efficient trade corridors, ports, and freight handling. Lithuania also invests in science and technology, with a research and development expenditure of 1.05% of GDP in 2022, and R&D intensity supported by a patent environment that shows 81 resident patent applications in 2021 (rank 67). This combination of digital maturity, supportive policy environment for innovation, and solid trade infrastructure underpins modernization and productivity gains. Health infrastructure is reinforced by a physician density of 5.13 per 1,000 people (2022) and a relatively high share of health spending in GDP (7.29% in 2023), reflecting an emphasis on accessible medical care alongside investment in facilities and technologies. Renewable energy consumption accounts for 33.2% of total final energy consumption (2021), illustrating a meaningful shift toward cleaner energy inputs, while per-capita greenhouse gas emissions reach 7.2 t CO2e (2023), underscoring continued emissions reductions as part of environmental transition. Level of water stress, measured as freshwater withdrawal relative to resources, is 1.83 (rank 153) in 2021, suggesting varying pressures on water resources and the importance of sustainable water management as Lithuania grows.

Environment and Sustainability

Lithuania demonstrates a mixed environmental profile with meaningful progress and ongoing challenges. Renewable energy makes up about one-third of total final energy consumption (33.2% in 2021), reflecting successful diversification of energy sources and alignment with European energy transition goals. Total greenhouse gas emissions per capita (excluding LULUCF) are 7.2 t CO2e in 2023, with a rank of 54, indicating that Lithuania remains below many larger economies in per-capita emissions but still faces the imperative to reduce carbon intensity amid growth and modernization. Water resources stress is indicated by a level of water stress at 1.83 (rank 153) in 2021, pointing to the need for careful water management and efficiency improvements as demand grows. The country’s environmental strategy benefits from relatively stable inflation and steady economic activity, which facilitate investments in sustainable infrastructure and clean technologies. The combination of modest vulnerability indicators and a clear drive toward renewable energy suggests that Lithuania is pursuing a forward-looking sustainability agenda, though continued emphasis on energy efficiency, emissions reductions, and resource management will be essential to achieving longer-term resilience.