Lithuania’s population decline hitting industry

Metalurgijos darbininkai
AP/Scanpix

Although recently the national economy has been recovering and growing, negative demographic trends are causing concerns about emerging problems, said Lithuanian Confederation of Industry expert Juozapas Preikša.

For the last 15 years Lithuania’s population has been annually declining by 1% on average, while the working-age population shrinks, the number of retirees is growing.

“This means a potentially higher tax burden, difficulties for the social system and the decreasing international attractiveness for the industry and the whole Lithuanian economy,” said Preikša.

“The food and beverage industries should have felt the biggest changes, but they are enjoying strong domestic consumption rates. Domestic consumption and a low level of deflation had the most positive impact on Lithuanian industry and allowed to recover the losses suffered due to the tensions in the external markets,” commented on the situation Preikša.

15min.lt

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