World Bank2012-03-192012-03-192009-06-01https://hdl.handle.net/10986/3090This report aims to provide technical assistance to the Government of Lithuania in preparation for the June 2009 budget amendment and beyond. This Public Expenditure Review (PER) includes a number of recommendations on short run fiscal consolidation (mainly through spending cuts) as well as efficiency-enhancing reforms that could eventually generate fiscal savings and reduce the fiscal deficit over the medium term. In the context of increased social needs arising from the crisis, this report also tries to identify the changes needed in social assistance benefits to better protect the poor and vulnerable during the crisis and beyond in a cost-efficient way. In agreement with the Government, social sectors (social protection, health, and education) have been chosen as the focus of analysis, given the room for short and medium term adjustments and the large implications of those on the overall budget. The PER also analyses the public wage bill and public administration. Finally, macroeconomic risks as well as the overall fiscal scenario and risks (including an exploration of revenue measures that could bring fiscal savings over 2009-10) are also analyzed to provide the context for the subsequent sectoral sections.CC BY 3.0 IGOABSENT EMPLOYEESACCOUNTABILITYACCOUNTINGADDITIONAL SAVINGSADMINISTRATIVE COSTSAVERAGE BENEFITSAVERAGE PAYBAD CREDITBALANCE SHEETSBANK LOANSBANKSBASELINE SCENARIOBASIC PENSIONBENEFICIARIESBENEFICIARYBENEFIT FORMULABUDGET PLANNINGBUDGET SUPPORTBUDGETINGBUSINESS OPPORTUNITIESCALCULATIONCAPITAL INFLOWSCASH FLOWCENTRAL FINANCINGCENTRAL GOVERNMENTCHILD CARECIVIL SERVICECONSUMERCONSUMER LOANSCONSUMERSCONTINGENT LIABILITIESCONTRIBUTION RATESCONTRIBUTIONSCOST-EFFECTIVENESSCREDIT AVAILABILITYCREDIT RISKCREDITSCRISIS MANAGEMENTCURRENCYCURRENCY BOARDCURRENT ACCOUNTCURRENT PRICESCURRENT PROGRAMDEBTDEBT DYNAMICSDEBT LIMITDISABILITYDISABILITY BENEFITDOMESTIC CONSUMPTIONDOMESTIC CREDITDOMESTIC DEMANDDOMESTIC INVESTMENTEARNINGSEARNINGS-RELATED PENSIONECONOMIC DOWNTURNECONOMIC DOWNTURNSECONOMIC RECESSIONECONOMIC RECOVERYEDUCATION BUDGETEDUCATION EXPENDITURESEDUCATION REFORMEFFICIENCY GAINSEMPLOYMENT HISTORYEXCHANGE RATEEXCHANGE RATESEXPENDITURE COMMITMENTSEXTERNAL DEBTEXTERNAL SHOCKSFINANCESFINANCIAL CRISISFINANCIAL MARKETSFINANCIAL SECTORFISCAL ADJUSTMENTFISCAL ADJUSTMENTSFISCAL AFFAIRSFISCAL CONSOLIDATIONFISCAL DEFICITFISCAL DEFICITSFISCAL DISCIPLINEFISCAL INSTITUTIONSFISCAL MANAGEMENTFISCAL POLICIESFISCAL POLICYFISCAL POSITIONFISCAL REVENUEFISCAL RISKSFISCAL RULESFISCAL SAVINGSFISCAL SCENARIOSFISCAL STRATEGYFISCAL SUSTAINABILITYGOVERNMENT DEFICITGOVERNMENT FINANCEGOVERNMENT FINANCE STATISTICSGOVERNMENT REVENUEHEALTH CAREHEALTH EXPENDITUREHEALTH EXPENDITURESHEALTH INSURANCEHEALTH OUTCOMESHEALTH POLICYHEALTH SERVICESHEALTH SPENDINGHEALTH WORKERSHIGHER INFLATIONHOSPITAL SERVICESHOUSEHOLD INCOMEINCOMEINCOME PARAMETERINCOME TAXINCOMESINDEBTEDNESSINFLATIONINFORMED DECISIONSLABOR FORCELABOR MARKETLIFE EXPECTANCYLIMITED INCOMELIQUIDITYLOANLOAN PORTFOLIOLOCAL BANKSLONG-TERM GOALMACROECONOMIC INDICATORSMARGINAL TAX RATESMARKET INCENTIVESMASTER PLANMEMBER COUNTRIESMONEY SUPPLYMORTGAGEMORTGAGE LOANSMUNICIPALITIESNATIONAL PRIORITYOLD-AGEPAYMENT SYSTEMPENSIONPENSION BENEFITPENSION BENEFITSPENSION REFORMSPENSION SYSTEMPENSIONSPERFORMANCE CRITERIAPERSONAL INCOMEPERSONAL INCOME TAXPERSONNEL EXPENDITUREPRICE MECHANISMSPRIMARY EDUCATIONPRIVATE CONSUMPTIONPRIVATE SECTORPRODUCTIVITYPROGRAMSPROPERTY TAXPROPERTY TAXESPUBLIC ADMINISTRATIONPUBLIC DEBTPUBLIC EMPLOYEESPUBLIC EXPENDITUREPUBLIC EXPENDITURE REVIEWPUBLIC EXPENDITURESPUBLIC HEALTHPUBLIC SECTORPUBLIC SECTOR DEBTPUBLIC SECTOR EMPLOYEESPUBLIC SPENDINGPUBLIC WORKSPURCHASESQUALITY ASSURANCEQUALITY MANAGEMENTRAPID GROWTHREAL ESTATERELATED COSTREPLACEMENT RATEREPLACEMENT RATESRESPONSIBILITIESRETIREMENTRETIREMENT AGERETIREMENT AGESRETIREMENT BENEFITSREVENUE ESTIMATESREVENUE GROWTHREVENUE STATISTICSSAFETY NETSALARIESSALARYSAVINGSSCHOLARSHIPSSECONDARY EDUCATIONSECONDARY SCHOOLSSERVICE QUALITYSOCIAL ASSISTANCESOCIAL BENEFITSOCIAL BENEFITSSOCIAL INSURANCESOCIAL PROTECTIONSOCIAL PROTECTION EXPENDITURESSOCIAL SECURITYSOCIAL SECURITY CONTRIBUTIONSOCIAL SECURITY CONTRIBUTIONSSTATE BUDGETSTATE PENSIONSTATE PENSIONSSTOCKSSTRUCTURAL DEFICITSTRUCTURAL EXPENDITURESTRUCTURAL REFORMSSTUDENT LOANSTAX ADMINISTRATIONTAX AGENCIESTAX BASETAX BASESTAX COLLECTIONSTAX CUTSTAX LAWSTAX PAYMENTSTAX RATETAX REVENUETAX REVENUESTAX SYSTEMTAXPAYERSTEACHER TRAININGTRANSACTIONTRANSPARENCYUNCERTAINTYUNEMPLOYEDUNEMPLOYMENTUNEMPLOYMENT BENEFITUNEMPLOYMENT BENEFITSWAGEWAGE GROWTHWAGESWORTHWorld Bank10.1596/3090