We speak fluent business
JULY | 2018 Facts & figures
in EU for GDP per capita growth 1st since 20001
GDP growth: − in 20162: 2.3% − in 20172: 3.9% − In 20183: 3.1%
Population2 2.8 million Labour Pool2 1.5 million Unemployment2 7.1%
Source 1: Eurostat, 2017 Source 2: Statistics Lithuania, 2018 2 Source 3: European Economic Forecast, Spring 2018 Globally ranked player
out of 190 out of 137 out of 159 countries countries countries 16 evaluated 41 evaluated 13 evaluated Ease of Doing Global Competitiveness Economic Freedom Business1 Index2 of the World3
out of 180 out of 180 out of 190 countries countries countries 23 evaluated 38 evaluated 18 evaluated Environmental Corruption Paying Taxes Performance Index4 Perception Index5 Ranking6
Source 1: World Bank, 2017 Source 4: Yale University, 2016 Source 2: World Economic Forum, 2017 Source 5: Transparency International, 2018 Source 3: Fraser Institute, 2017 Source 6: PWC, 2017 3 Performance in FDI
Top investing countries by share of total Top business activities according to projects | 2010-2017 jobs planned | 2010-2017
United Denmark Shared Services Centres 37% 15% States 8% Manufacturing 34%
Germany IT Design, Development & Sweden 8% 13% 10% Testing
Business Services 4% 9% UK 6% Finland Logistics 4%
8% Norway Sales, Marketing & Support 3%
Source: Invest Lithuania, 2018 4 What gives Lithuania the edge?
1 Young & talented labour 4 Business friendly environment
2 World-class infrastructure 5 Perfect living pace
3 Great quality to cost ratio
5 Young highly qualified talent
Students by study fields in higher 4 of population with higher education institutions | 2017-2018 56% education1 Business, administration and law 27% Engineering, manufacturing and 19% proficiency in English construction 84% among young professionals2 Health and welfare 16% Social sciences, journalism and 9% information speak at least two Arts and humanities 9% Information and communication 3 5% 50% foreign languages technologies Education 5% Natural sciences, mathematics and 4% statistics Other programmes 6%
Source 1: Eurostat, 2017 (age group 25-34) Source 2: Invest Lithuania’s estimation based on Population Census (2011) Source 3: Europeans and their languages, 2012 Young & talented labour 6 Source 4: Ministry of Education and Science, 2018 Digital infrastructure: fast, reliable and affordable
EU and global leader in connectivity for fixed and communication technology 1st in EU broadband price3
globally in fulfilling business 2,73% 1 2,19% 1st needs for ICT 1,85% 1,57% 1,25% 1,12% 1,06% 0,87% 0,71% in Europe for mobile 2nd 4G coverage2
% of disposable income | Advertised download speed above 12 and up to 30 Mbps | 2015
Source 1: IMD World Competitiveness Yearbook, 2017 Source 2: OpenSignal, 2017 World-class infrastructure Source 3: European Commission Digital Agenda Scoreboard, 2015 7 Logistics: fast connection infrastructure
3 Road & Rail − 1st in CEE for quality of roads1 − Rail cargo services direct to Russia, Belarus, Latvia, Poland, Germany, Ukraine and Asia (incl. China) Air − 3 International Airports, access to major European cities within 2-3 hours flight
Sea − Klaipėda State ice-free Seaport − 14.5 m deep port, handling up to 65 million tons of cargo annually, the largest port in the Baltic States2
Source 1: World Economic Forum, Global Competitiveness Report, 2017-2018 Source 2: www.portofklaipeda.lt World-class infrastructure Source 3: Girteka Logistics, 2014. Estimates based on two-driver shared shift model 8 Cost & quality combined
Ranked alongside Ireland, Germany, Switzerland for One of the lowest office rental its business environment, Lithuania can also prices in the region2 guarantee a fantastic cost to quality ratio.
Average gross hourly wages (Eur), 20171
41,8
26,7 21,3
8,7 7,6 5,7 4,1
Source 1: Eurostat, 2017 (wages in industry, construction and services, except public administration, defense, compulsory social security) Great quality to cost ratio Source 2: European Office Market. Edition 2017, BNP Paribas Real Estate 9 Business friendly environment
6 Free Economic Zones (FEZ): 0-15% corporate profit tax − 0% corporate tax for the first 10 years* 21% VAT − 50% discount on corporate tax over the next 6 years* 0-15% dividends − 0% tax on dividends* − 0% tax on real estate* 15% personal income tax 9% social security tax paid by employee Industrial Parks (IP) 6-12 months delivery of build-to-suit 31.18% social security tax paid by employer manufacturing facilities
Business friendly environment * Conditions apply 10 Perfect living pace
Lifestyle − Vilnius – among TOP 10 cities globally with the best work life balance1 − 98% of Vilnius inhabitants are satisfied with living here (highest percentage among EU capitals)2 Keeping you connected with Cost of living the fastest public Wi-Fi − According to the Mercer Cost of Living Index 4 2016, Vilnius is one of the five least expensive globally EU capitals to live in for expatriates3
Source 1: Expert Market, 2016 Source 2: European Commission, 2016 Source 3: Mercer's 2017 Cost of Living Ranking Perfect living pace Source 4: Ooma tests, 2017 11 LITHUANIA – YOUR TOP OPTION FOR: Global Business Services Manufacturing Technology
Sectors 12 #1 Global Business Services
professionals employed ~15,000 in the sector1
the largest number of languages 34 used in a single center2 The best yearly growth of destination 15% SSC sector2 for shared services and most desired outsourcing Top 3 employers are SSCs4 in CEE3
Source 1: Invest Lithuania, 2018 Source 2: Lithuania’s business services report, 2017 Sectors Source 3: Central and Eastern Europe Shared Services and Outsourcing Awards, 2018 13 Source 4: cvmarket.lt, 2017 For companies like us that develop advanced solutions, Lithuania provides the perfect mix of exceptional infrastructure and exceptional talent.
Arminta Saladžienė, Head of Nasdaq Baltic
Nasdaq Technology and Business Support Competence Center
FTE 280 Languages English, French, German, Spanish, Russian Established 2015, Vilnius Functions Development and QA Verification of Trading, Clearing, CSD and Governance IT Platforms System Operations, IT Operations Analytics Solutions
Accounts Payable and Receivable, Payroll, Financial Control, Business Control, etc.
Sectors 14 #1 Global Business Services Presence in Lithuania
Technology & HR Centre Global Operations Center
Functions: IT, HR Functions: F&A, HR, IT, Customer operations, Procurement, other Languages: English, French, German, Italian, Spanish Languages: 34 languages Headcount: 1110 Established: 2009, Vilnius Headcount: 1950 Established: 2010, Vilnius
Shared Service Center BPO
Functions: F&A, HR, IT, Legal Functions: IT, Customer operations Languages: English, Danish, Norwegian, Swedish, Finnish Languages: English, Swedish, Danish, Norwegian Headcount: 2760 Established: 2012, Vilnius Headcount: 650 Established: 2007, Vilnius
Shared Service Center Excellence Center
Functions: F&A, IT, HR Functions: F&A, HR, Customer operations, IT, Analytics Languages: English Languages: 10 languages Headcount: 680 Established: 2014, Kaunas Headcount: 280 Established: 2015, Vilnius
Sectors 15 #2 Manufacturing
of Lithuania’s GDP is generated 19% by its manufacturing sector1
of all manufacturing production 65% is exported1
DE, PL, US, main export LV, SE destinations1
Sectors Source 1: Statistics Lithuania, 2017 16 Our efficiency rates in Lithuania are outstanding. The local team of innovative engineers and the flexible production line we’ve put in place have allowed us to exceed the demands of the constantly shifting market needs.
Raimundas Petrauskas, Managing Director at Schmitz Cargobull Baltic
Schmitz Cargobull Baltic FTE 540 Established 1999, Panevėžys Products Thermo-insulating panels Isothermal transportation equipment: insulated trucks, trailers and semi-trailers
Sectors 17 #2 International Manufacturing Presence in Lithuania
Manufacturing plant / R&D Manufacturing plant
Products: Reagents Products: Iso-thermal trucks, trailers and semi-trailers Headcount: 810 Headcount: 540 Established: 2010, Vilnius Established: 1999, Panevėžys
Manufacturing plant Manufacturing plant
Products: Respiratory care products Products: Electronic circuit boards Headcount: 2410 Headcount: 770 Established: 1996, Pabradė Established: 1993, Kaunas
Manufacturing plant Manufacturing plant
Products: Electrical distribution systems Products: Tobacco Headcount: 1700 Headcount: 540 Established: 2014, Panevėžys Established: 1993, Klaipėda
Sectors 18 #3 Technology
Lithuania’s consistent focus on tech education helps to further secure its reputation as a highly attractive location for global tech business players, such as UBER, WIX, UNITY and many others.
IT specialists in 31,500 Lithuania1
increase in IT study 2x funding in 20171
increase in IT student 20% pipeline over 2013-20162
Source 1: MOSTA, 2017 Sectors Source 2: Ministry of Education and Science, 2016 19 As advocates of the ‘can-do’ attitude, when we first visited Lithuania we were thoroughly impressed by the creativity, energy and entrepreneurial spirit of the people we met. That’s the Wix way, and so Lithuania seemed like a natural fit for our company.
Boaz Inbal, Manager of External Dev. Centres at Wix.com
Wix.com FTE 100 Established 2013, Vilnius Products Wix.com applications and strategic Wix projects, IT and R&D projects
Sectors 20 #3 Top Global Tech and Start-up Businesses in Lithuania
Technical office Technical office
Critical infrastructure support, DevOps, software Activity: R&D and QA for Unity engine Activity: development Headcount: 85 Headcount: 35 Established: 2007, Vilnius Established: 2015, Vilnius
Development unit Development unit
Activity: Software development, QA, Product Design for Activity: Development of public transport app designed to plan Wix.Com web development platform journeys using real-time data Headcount: 100 Headcount: 35 Established: 2013, Vilnius Established: 2007, Vilnius
Development office Head office
Activity: Adtech solution development, product management Activity: Software development, advanced analytics, product strategy Headcount: 480 Headcount: 140 Established: 2006 in Vilnius and 2013 in Kaunas Established: 2012, Vilnius Sectors 21 Interested? Here’s how Invest Lithuania can help
Invest Lithuania is the official agency for Foreign Direct Investment and Business Development. We’ll partner with you to get your business set up and off to the best start possible:
Decision-making Business Establishment Business Development We’ll help you make the most informed We’ll connect you with everyone you need to Once you are up and running we’ll be there decisions for your new operations: know to guarantee a soft landing for your set up: with aftercare and support: − Tailored in-depth market and industry − Intros and meetings with key market players − Assistance with one-off problems, insights, and relevant governmental institutions, − Lobbying for greater governmental − Advice on business costs, − Sourcing of governmental financial support. support. − Information concerning the local labour and legal framework.
All of our services are free of charge
22 Contact info Invest Lithuania
T. +370 5 262 7438 E. [email protected] A. Upes str. 23, 08128 Vilnius, Lithuania www.investlithuania.com