Lithuania expects to receive initial payments from the SAFE program, valued at €6.375 billion, in March pending approval from the European Commission.
Lithuania has submitted a loan request amounting to €6.375 billion under the SAFE program, aiming to boost its economic recovery and resilience. The final approval of the SAFE mechanism by the European Commission is crucial, as it would allow for the completion of loan agreements and operational agreements necessary to disburse preliminary funding. Finance Minister K. Vaitiekūnas emphasized the importance of obtaining this approval during a press conference in Brussels, indicating that the timely receipt of these funds is vital for national economic strategy.
As discussions unfold in Brussels, the Finance Minister is also participating in the ECOFIN Council and Eurogroup meetings where several significant national issues are on the table, including necessary amendments to the European Recovery and Resilience Facility (RRF) plan dedicated to Lithuania. A successful confirmation of these amendments could lead to a reallocation of nearly €79 million from other risk-prone sources to strengthen the capital of the national development bank ILTE, specifically earmarked for green transformation goals.
The implications of these developments are significant for Lithuania's economic upliftment as they align with broader EU recovery initiatives post-pandemic. The focus on green transformation suggests a strategic pivot toward sustainable development, showcasing Lithuania’s commitment to addressing climate change while also rejuvenating its economy through substantial European funding.
