In 2024, the Government implemented all the set borrowing targets and ensured the necessary financing needs, provision of on-lent loans and fulfilment of the state's obligations with borrowed funds. The Government also adhered to all borrowing and state guarantee limits and properly managed the risks of interest rate fluctuations, refinancing, exchange rate changes and guaranteed debt.
Public debt in 2024 at a glance:
- In 2024, the Government borrowed EUR 5,522.3 million to cover the Government’s financing needs and debt obligations.
- 45.3% of the total required amount in 2024 was borrowed through the placement of government securities (GS) on foreign markets via a joint placement (syndicate) in the form of Eurobonds, with two issues of EUR 1.5 billion in nominal value over a 10-year period and EUR 1 billion in nominal value over a 7-year period.
- Following the announcement of 49 GS auctions in 2024, EUR 1,560 million of nominal value GS registered in Lithuania were distributed or replenished and EUR 685 million of nominal value Eurobonds were replenished.
- Also, in 2024, the Ministry of Finance continued the distribution of Government Savings Notes (GSNs). Last year, EUR 78.4 million in nominal value savings notes were distributed, of which EUR 13.3 million were defence bonds (launched in October).
- Loans amounting to EUR 698.8 million were received under contracts signed with the Council of Europe Development Bank and the European Commission in 2024 and previous years.
- At the end of 2024, the outstanding balance of state on-lent loans granted to economic entities amounted to EUR 352.2 million.
- The State guarantees granted amounted to EUR 1,026.2 million or 1.3% of gross domestic product (GDP) at the end of the year.
- General government debt stood at EUR 29,972.4 million at the end of 2024, i.e. 38.2% of GDP.
- Last year, the costs of managing debt on behalf of the State amounted to EUR 391.7 million, of which EUR 388 million was paid in interest on the loans taken out on behalf of the State and the GS distributed.
The full publication “General Government Debt 2024” is available here.
The Government plans to borrow around EUR 8.8 billion in 2025. The general government debt is forecast to stand at around EUR 35 billion at the end of 2025, or 42.4% of projected GDP.
Additional information:
Government securities (GS) are the main instrument of government borrowing. These are debt securities issued on behalf of the State on the domestic or foreign markets, confirming the right of the holder to receive, within the prescribed time limits, an amount corresponding to their nominal value, interest or other equivalent.
Joint distribution (syndicate) means a method of distributing GS whereby a group of financial institutions (syndicate) jointly organises and carries out the distribution of GS issue.
Eurobonds are a form of GS. These debt securities are issued by the state in foreign currency on international markets.
GS auctions means a method of distributing GS where the issuer of the GS (Ministry of Finance) accepts and executes bids to acquire the GS on the primary securities market through the organiser of the GS auction.
Government savings notes are one of the forms of GS. It is a safe and return-generating investment, similar to term deposits in a bank.
