IMF official says Lithuania ready to meet inflation challenges

Lithuania had a very good response to the situation triggered by the Pandemic whereas the inflation in Ukraine is likely to stabilize and start to moderate during the second half of the year, Borja Gracia said during a news conference at the government on Tuesday.

He said that the measures chosen by the government to address these challenges have been right in the opinion of the IMF.

According to Gracia, both the private and public sectors in Lithuania are ready to meet inflation challenges.

Finance Minister Gintare Skaiste said that the government was not considering extra measures to tame inflation but could bring them forward in the fall if necessary.

According to assumptions, inflation will start to moderate in the fall. If we see a different situation, some additional measures could be brought forward in the fall. She added that it is now too early to tell what the economy will look like.

The Fund's mission began work in Lithuania on May 26 and its experts were to analyze the general macroeconomic situation in Lithuania, labor market trends, the situation in the financial sector, fiscal policy, the situation in the energy sector and climate change policy.