Lithuania could lose up to 5 percent of GDP due to Russian sanctions

“The current food product embargo will reduce Lithuania’s GDP by 0.8 percent. A possible halt in used vehicle exports may reduce GDP by further 0.1 percent. A halt in exports of all other goods would reduce GDP by 4.1 percent more,” Gitanas Nausėda, an adviser to the president of SEB Bankas, said at a news conference on Tuesday.

The analyst underlined that this was the largest possible GDP decline due to Russia’s trade restrictions if the country’s businesses failed to sell their products in other markets.

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“If absolutely all groups of goods were included, our maximum losses might amount up to 5 percent of the gross domestic products. This is quite painful,” he said.

In a worst-case scenario, Lithuanian businesses would have to cut their production and staff, Nausėda said.

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