Regulatory Policy in Lithuania
Focusing on the Delivery Side
This review takes stock of the development and implementation of regulatory reform at a critical juncture for Lithuania. Confronted with the challenge of supporting growth and competitiveness, Lithuania has embarked upon an ambitious reform programme that addresses not only the development of new regulations but also the inspection and enforcement processes that support the effective implementation of these regulations with the least administrative burden for citizens and businesses. This is relatively rare among OECD members and the review assesses this comprehensive reform programme with a special focus on inspection and enforcement. First in its kind, the review benchmarks Lithuania's reforms against the OECD Best Practice Principles on Regulatory Enforcement and Inspection. The review identifies practical recommendations for strengthening regulatory effectiveness and support growth and competitiveness.
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Assessment and recommendations
Lithuania has been successful in transitioning from a pervasive and underperforming state apparatus to a modern public administration, but institutional challenges remain. Since regaining independence in March 1990, Lithuania has undergone a series of institutional reforms that paved the way for EU accession and NATO membership in 2004 and the adoption of the euro in January 2015. Lithuania has reformed the civil service, introducing a clear separation between political and professional functions, and streamlined central and local administrative and institutional structures. However, as for a number of former communist countries, ministries tend to work in silos, with limited horizontal co-ordination. Some of the reforms introduced to meet EU accession requirements, including evidence-based policy making and strategic planning, have not yet been fully mainstreamed.
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