The budget provides for a general government deficit of 7 percent of gross domestic product (GDP), mainly resulting from additional expenditure on measures to contain the COVID-19.
"Four years before the pandemic, Lithuania had surplus public finance. Now strong pre-crisis positions allow us to help our healthcare system, residents and businesses withstand the challenges of the pandemic," Nauseda said in a press release.
"However, a seven percent deficit of the GDP next year must be a short-term phenomenon; these are temporary relief measures and cannot become permanent expenses," he added.
According to Nauseda, the budget is focused on three currently most important areas: healthcare, assistance to residents and businesses, and the solutions to the country's long-standing problems.
The total COVID-19 aid package exceeds one billion euros, with funds allocated for subsidies to businesses, self-employed people and job-seekers as well as financial support for hospitals and other institutions involved in combatting the pandemic.
The average monthly old-age pension is expected to rise from 377 euros to 415 euros.
The Lithuanian parliament adopted the 2021 budget on Dec. 22, with 77 votes in favor, two against and 49 abstentions.
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