M. Skuodis: OECD notes Lithuania’s progress in reforming state-owned enterprises in the transport sector

The Organisation for Economic Co-operation and Development (OECD) notes Lithuania’s progress in reforming state-owned enterprises in the transport sector, says Minister of Transport and Communications Marius Skuodis. This Tuesday, during his visit to France, the Minister met with OECD Secretary-General Mathias Cormann and Deputy Secretary-General Yoshiki Takeuchi and discussed the enterprise reform.

“We can be proud that by reforming state-owned enterprises in the transport sector into public limited companies, we have reached the benchmark of international best practice, and we are already being presented to other countries as a good example. It is no less important that this reform brings as much return to the state as possible — allows improving their governance, ensuring maximum transparency and operational efficiency,” says Minister of Transport and Communications M. Skuodis.

The latest OECD report highlights that in recent years Lithuania has implemented a number of changes to improve the governance of state-owned enterprises, welcomes Lithuania’s determination and achievements in strengthening the independence of boards and improving the selection procedures for board members. The OECD plans to continue monitoring Lithuania’s actions to improve the governance of these companies.

At present, four out of five state-owned enterprises have been transformed into public limited companies: In mid-2022, the Inland Waterways Authority became a public limited company, at the beginning of 2023 — Klaipėda State Seaport Authority, Oro navigacija and Lithuanian Road Administration.

It is also planned that this year the State Enterprise Lithuanian Airports will become a public limited company. Once this company is reformed, there will be no companies in the legal form of a state-owned enterprise in the transport sector.

The reform of state-owned enterprises is carried out while implementing the Government’s programme and the recommendations of the OECD to review, simplify and unify the legal forms of state-owned enterprises.

In view of the OECD recommendations, the Ministry of Transport and Communications initiated the reform of the above-mentioned state-owned enterprises as early as in 2018.

At a meeting in Paris with OECD leaders, Minister M. Skuodis also discussed Lithuania’s assistance to Ukraine, an OECD office opened in Ukraine, Kyiv. 

OECD photo