Dear Members,

 

In the past years Lithuania’s economic freedom score progressively surged to a high ranking level for government spending improvements in monetary, labour and fiscal affairs. Lithuania’s overall score is still well above European average.

A vivid private sector, structural reforms combined with policies opening to global trade and commerce and a competitive taxation have pushed Lithuania forward to a dynamic economic expansion allowing the Republic of Lithuania to recover from sharp economic contraction.

Although the government has pursued reform measures to curb chronically high levels of improving the efficiency of the public sector, the overall progress of the pace of legislative and judicial reform has been sluggish and corruption is still perceived as significant despite the well-maintained rule of law.

Switzerland on the other side with its prosperous and modern market economy containing a highly skilled labour force and low unemployment benefits from a highly developed service sector, led by financial services, and a manufacturing industry specialising in high-technology and knowledge-based production. The Swiss have brought their economic practices largely into conformity with the EU in order to enhance their international competitiveness.

Since last year Switzerland has come under increasing pressure from individual neighbouring countries as well as the EU and the US and other international institutions to reform its banking secrecy laws. The government agreed to conform to OECD regulations on administrative assistance in tax matters, including tax evasion, and has renegotiated its double taxation agreements with numerous countries to incorporate the OECD standard. Switzerland’s government is still working to resolve the possibility of imposing taxes on bank deposits held by foreigners.

As outlined in the previous year’s Annual Report to the Members, our Chamber is still between these different conditions and is continuously challenged to help both economies through its small presence on the advisory market. We are a small Chamber of Commerce but willing to perform the best for both of our economies.

During the year, the Chamber continued to be sort of a « hub » for different companies interested in investing in the two markets, being at disposition for those investors requesting more information about a market or a specific economical sector. The information was given free of charge in the past.

An important highlight of the year 2011 was the presentation of the Swiss economy and – indirectly – the Swiss - Lithuanian Chamber of Commerce to a large number of investors in Vilnius last October. Together with the colleagues of the Board, Messrs Dimitri de Faria and Christian Feldhausen, we could also invite the Swiss Ambassador in Lithuania, Mrs Gabriela Nützi Sulpizio, and the President of the Swiss Baltic Chamber of Commerce in Vilnius, Mr Bruno Kaspar, to make a presentation about Switzerland. Last but not least a big thank you goes to Mrs Virginija Umbrasiene, in charge of the Lithuanian Embassy in Switzerland, for the support and contacts in connection with the organisation of the event.

During the year 2011, the Chamber increased the income of the membership fees. The fees structure remained on the previous years’ level. Due to economical and financial difficulties of some of its members, the collection of the fees is resulting difficult. A provision was made accordingly.

The administrative expenses were waived by the accounting firm in charge, as sign of its support for the well-being of our Chamber.

The financial statements 2011 show a profit as a result of the additional waiver of the accounting firm for part of the investments done in connection with the introduction of the homepage in 2010.

Special thanks goes to those contributing in the support and the success of the Swiss -Lithuanian Chamber of Commerce during the past year.

 

Graziano Pedroja

 

  

Zug, in January 2012