STARTUP ECOSYSTEM
Lithuania Innovation index
A steady climb towards global competitiveness
Lithuania is making consistent strides in innovation, as evidenced by its performance in the Global Innovation Index (GII) and the country’s growing focus on research and development (R&D). While challenges remain, Lithuania’s upward trajectory signals a commitment to fostering a knowledge-based economy.
Global Innovation Index: rising through the ranks
In 2023, Lithuania ranked 34th out of 132 countries in the Global Innovation Index (GII), reflecting a significant climb of five positions compared to the previous year. This improvement underscores Lithuania’s progressive advancements in areas such as:
- Technology Infrastructure: investments in broadband expansion and digital transformation have enhanced Lithuania’s technological backbone.
- Business Environment: supportive policies and funding initiatives are enabling startups and small businesses to thrive in competitive markets.
- R&D Spending: the government’s commitment to boosting innovation through targeted R&D initiatives has bolstered Lithuania’s standing on the global stage.
These advancements reflect Lithuania’s ambition to establish itself as a regional innovation leader, particularly within the Central and Eastern European (CEE) region.
Sources: Global Innovation Index 2023.
Research and Development spending: driving innovation growth
Lithuania’s R&D expenditure has been a focal point of its innovation strategy, contributing to economic development and fostering cutting-edge solutions:
- Current spending: in 2022, R&D expenditure accounted for 1.03% of GDP, reflecting Lithuania’s ongoing investment in scientific research and technological development.
- Future goals: the government has set an ambitious target to increase R&D spending to 1.5% of GDP by 2024, aiming to bridge the gap with innovation-driven economies in the European Union.
Source: Official Statistics Portal Lithuania.
By prioritising R&D funding, Lithuania is positioning itself as a key player in high-value sectors, including biotechnology, artificial intelligence, and renewable energy.
Patent activity: a snapshot of Lithuania’s innovation output
Patent filings serve as a tangible indicator of a nation’s innovation output, showcasing the creative solutions emerging from its research ecosystem:
- In 2021, Lithuanian residents filed 81 patent applications, highlighting the growing contributions of local innovators to the global intellectual property landscape.
- While the number remains modest, efforts to enhance patent incentives and promote collaborative R&D initiatives are expected to drive higher patent activity in the coming years.
This progress reflects Lithuania’s dedication to fostering an environment that encourages the commercialisation of innovative ideas.
Explore Lithuania’s innovation ecosystem
Lithuania Funding volume
Lithuania’s venture capital ecosystem continues to establish itself as a driving force in the Central and Eastern European (CEE) region, attracting substantial investments despite global economic challenges. The year 2023 saw an impressive array of funding activities, further highlighting the country’s ability to nurture and attract high-growth startups.
Lithuania Investment in key sectors
Lithuania’s economic progress is deeply intertwined with its strategic focus on technology and education. Both sectors attract robust public and private investments, fostering innovation, workforce development, and global competitiveness.
Lithuania Innovation index
Lithuania is making consistent strides in innovation, as evidenced by its performance in the Global Innovation Index (GII) and the country’s growing focus on research and development (R&D). While challenges remain, Lithuania’s upward trajectory signals a commitment to fostering a knowledge-based economy.
Lithuania Export/Import Ratio
Lithuania’s trade in technology products showcases both its strong export capabilities and a notable reliance on imports, revealing critical trends in its technology sector and trade balance.
Lithuania Startup density
Lithuania’s startup ecosystem is rapidly growing, positioning itself as a major player in the Baltic region and Central and Eastern Europe (CEE). The country’s dynamic business environment, coupled with robust support for innovation, has led to significant growth in the number of startups and the overall ecosystem value. This section provides insights into Lithuania’s global and regional startup rankings, the total number of startups, and the valuation of the ecosystem, showcasing why it is an attractive destination for entrepreneurs and investors alike.
