26. Lithuania
26.1. SMEs in the national economy
SMEs in Lithuania are defined by the Republic of Lithuania Law on Small and Medium-sized Business Development (Ministry of Economy of the Republic of Lithuania, 2017[1]). The law defines micro-enterprises as businesses with fewer than 10 employees and less than EUR 2 million in annual turnover; small enterprises as businesses with fewer than 50 employees and an annual turnover below EUR 10 million; and medium-sized enterprises as those with fewer than 250 employees and less than EUR 50 million in annual turnover (Ministry of Economy of the Republic of Lithuania, 2017[1]).
SMEs in Lithuania are significant actors in the “non-financial business economy”. They contribute to more than three-fourths of total employment and approximately 70% of value added.
26.2. National policy framework to support SMEs in public procurement
The new version of the Lithuanian public procurement law came into force 1 May 2017, transposing EU Directive 2014/24/EU (Ministry of Economy of the Republic of Lithuania, 2017[1]). The new law promotes SMEs participation in public procurement.
The Strategy of Lithuanian Public Procurement System Development and Growth during 2009-13, which aimed at ensuring the transparency and efficiency of public procurement, promotes SMEs participation, green procurement and innovation. The main goals relating to SME participation in public procurement were achieved, and new strategy was not passed.
26.3. Implementation mechanisms
The Public Procurement Office prepares recommendations and guidelines for proper implementation of the Law on Public Procurement. This includes educational material that is accessible on line (educational films, tests, briefings on certain issues, infographics, etc.). All these documents are free of charge and freely available in the Central Public Procurement Information System and on the Public Procurement Office website.
26.4. Monitoring performance
In 2014, the Ministry of Economy published guidelines on innovative public procurement. These guidelines describe how public procurers can buy goods, services or works of better quality that are more adapted to their needs, and services or goods that could enhance the performance of public procurers and the quality of their services, and increase demand for innovation on the market. There are no special provisions for SMEs.
No methodology is used to undertake assessment of SMEs in public procurement. The Strategy of Lithuanian Public Procurement System Development and Growth during 2009-13 has been prepared through collaboration with a broad range of stakeholders, including from the business sector. In 2014 the percentage of contracts awarded to SMEs was 78.3%. In the following years such an analysis has not been conducted.
References
[2] European Commission (2017), SBA Fact Sheets 2016, http://ec.europa.eu/DocsRoom/documents/22382.
[1] Ministry of Economy of the Republic of Lithuania (2017), Small and Medium-Sized Business, https://ukmin.lrv.lt/en/sector-activities/business-environment/small-and-medium-sized-business (accessed on 02 July 2018).