ECONOMY OF THE REPUBLIC OF LITHUANIA: HISTORICAL CONTINUITY AND FEATURES OF MODERN DEVELOPMENT

Abstract

This article examines the structure of the economy and the state of economic development of the Republic of Lithuania. The Republic of Lithuania is one of the small but strategically important states located on the Baltic Sea coast. Lithuania, which gained independence after the collapse of the Soviet Union, has experienced intense political, economic and social changes. Membership in the European Union and NATO has given a new impetus to the country's development.The article describes the current course of socio-economic development with a general overview of the physical geographical location of the country.The Republic of Lithuania is located to the west of the Eastern European (Russian) Plain. The glacier played an important role in shaping the country's topography. With the exception of the northern regions, the territory of Lithuania is located in the zone of the most powerful accumulation of glacial deposits throughout the Baltic States. The share of industry in the GDP structure as of 2019 is 25.2%. After 1990, the processes characteristic of the Baltic States took place in this area. The breakdown of raw materials and technological ties, the loss of markets and government orders led to a change in the structure of industry, and the destruction of many large enterprises. In Soviet times, the fuel industry in Lithuania created a fuel and energy complex based on oil supplied from Russia via the Novopolotsk-Mazheysk oil pipeline. It included an oil refinery, an oil pipeline, and an oil terminal in Butinga. Lithuania was the only oil refining industry in the Baltic States. Road, air, and rail transport have been established in the country's transport complex.