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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The importance of inspections and compliance
Designing and adopting sound regulations is of little use if they are not complied with – and, to promote such compliance, appropriate systems and measures need to be in place, including effective and efficient regulatory inspections and enforcement. International experience and research have shown that this is unfortunately often far from being the case, and that inspection and enforcement regimes are often simultaneously burdensome and ineffective (see e.g. Hampton 2005; World Bank Group, 2011; OECD, 2012, 2014).
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