Country Guide to Lithuania
- Area: 65,300 sq km
- Population: 3.4million (UN, 2005)
- GDP: $23.5 billion (2005 est.)
- GDP per capita: purchasing power parity $14,100 (2005 est.)
- Seaside resorts: Palanga, Nida, Juodkrantė
- Spa towns: Birštonas, Druskininkai
- Major Airports: Vilnius, Kaunas
- Flight Time from UK: 2h50min
- Time: GMT +2
Overview
The effective break-up of the USSR in 1991 led to Lithuanian independence after 51 years’ of Soviet domination. By 1995 the subsequent transition to a market economy was more or less complete.
During the 1990s Lithuania's trade patterns continually shifted towards the West. This has culminated with Lithuania joining the European Union (EU) in May 2004.
EU membership has catapulted Lithuania onto the global stage, with more and more people becoming aware of the country's rich panoply of castles, lakes and forests, and more people flocking to see Vilnius, one of Europe's most enchanting cities.
Tourist Industry
Figures from the Lithuanian Department of Statistics show that for 2005 against 2004, hotels accommodated 22.6% more guests (foreigners making up 65% of them) and the number of foreign guests who stayed at countryside tourism cottages rose by 40.1%.
In an attempt to increase Lithuania’s attraction as a tourist destination, the county’s infrastructure has received heavy investment, natural and cultural heritage has gained legal protection (with the Old Town of Vilnius, the Curonian Spit and Kernavė Archaeological Site included in the UNESCO World Heritage List), and recreational and entertainment facilities have been encouraged.
Tourism from Great Britain is increasing. As the latest figures of Lithuanian Department of Statistics show, the number of tourists from Great Britain in 2004 rose by 19.8% compared with the proceeding year, and in 2005, it increased by 8.2%.
Tourism receipts (US$ million)
Property Market
Vilnius recently won the ‘European Region of the future’ award at MIPIM 2006, the world’s largest international real estate event. Vilnius has also been awarded the European City of Culture for 2009 and is due to host the 2011 European Basketball Championships. Not surprisingly, international attention is beginning to turn to Lithuania’s highly promising property market.
During 2003-2005, property prices in Vilnius grew by 30%
In just the first 3 months of 2006, prices grew by 15%
Overall, Lithuania is predicted to experience a 20% rise in property values in 2007*, the highest capital growth of any European residential property market.
*Estate agents Knight Frank
Over 2,200 new apartment units in Vilnius were completed in 2005 - nearly all were sold prior to completion. Another 2,600 units were built in 2006, with over 70% already pre-sold.