OREANDA-NEWS. November 23, 2007. In order to meet the constantly growing needs of statistical information users, in December the Bank of Lithuania will start publishing on its website the foreign direct investment data, which will allow a more accurate assessment of importance of the foreign capital to the economic development of Lithuania.

“Foreign direct investment is one of the most important factors promoting the development of the national economy and stimulating the introduction of modern technologies. Foreign direct investment statistics are one of the most closely followed parts of the balance of payments and the international investment position”, told Mr. Rimantas Juozas Vaicenavicius, Director of the Statistics Department of the Bank of Lithuania.

Foreign direct investment is the international investment category that reflects long-term economic and financial relations, the relationship between a foreign direct investor and a direct investment enterprise. These investments are a part of foreign investments, which are classified by functional attribute: direct investment, portfolio investment, financial derivatives, loans and trade credits.

OECD recommendations determine 10 per cent of voting rights as the lowest point from which a foreign direct investor may participate in the management of a direct investment enterprise. Foreign direct investment includes not only the initial capital investment, but also all subsequent transactions between the investor and the direct investment enterprise. Foreign direct investments are comprised of share capital, reinvested earnings, debt securities and loans granted by the direct investor.

On 3 December 2007, foreign direct investment data will be published in the “Statistics” section of the website of the Bank of Lithuania for the first time. It will include eight statistical tables: foreign direct investment flows and stocks at the end of a period of economic entities of Lithuania and the direct investment of foreign economic entities in Lithuania broken down by country and economic sector. In addition, the countries table will provide data grouped by economic area (euro area, European Union, CIS, etc.). Information on foreign direct investment will be provided starting from the data of Q1 1997.

The Bank of Lithuania intends to publish quarterly updates of the information, and the exact date of dissemination will be indicated in the Advance Release Calendar.