Public Investment Development Agency (hereinafter - VIPA) – was established on the 28 of November, 2012 by the resolution of the Government of the Republic of Lithuania No. 1428. It started its activity in April 2013.
Our activities is the provision of financial services, implementation and administration of financial instruments for public sector investment in public infrastructure and public service modernization. VIPA is involved in the programming period of 2014-2020 in the administrative system development activities to reach this aim.
Our challenge is the administration of financial instruments and implementation of financial engineering projects, which are financed from the EU Structural Funds and other fund managers funds.
Our mission is to increase and to improve the growth and optimization of public infrastructure in Lithuania by ensuring rational access to financial instruments.
- Implementation of financial instruments participating as the Holding fund (Fund of funds), financial intermediary and / or in other forms;
- Administration / implementation of financial instruments, such as provision of preferential loans, financial warranties and guarantees as it is defined in the Article 3 of the Act of Financial Institutions, also urban development, public infrastructure, energy efficiency project developer;
- Evaluation of public projects funded by financial instruments and their selection according to the requirements of financial instruments set by according ministries;
- Attraction of private sector investment in the public sector by implementing financial instruments;
- Announcement of financial instruments, provision of technical and methodological assistance in the preparation of financial instruments projects;
- Provision of information/proposals in legislation on financial instruments.
Our activity includes implementation of financial instruments which provide loans, guarantees for repayable investments or the implementation of similar measures for urban development, optimization of public infrastructure and energy efficiency improvements financed by national, European Union and other financial assistance programs and financing sources (for example., European Investment Bank and other international financial institutions).
VIPA provides guarantees for street lightening modernization, loans for modernization of multi-apartment buildings, cultural heritage and public buildings
Public Investment Development Agency is implementing various financial instruments and administering several projects aimed at improving current situation of public infrastructure, urban development, optimization of public infrastructure and energy efficiency improvements.
Renovation of Multi-Apartment Buidings
VIPA grants loans for renovation (modernisation) of subsidised loans according to the programme approved by the Government of the Republic of Lithuania the goal of which is to reduce thermal energy costs, to rationally use energy resources, to ensure effective use of housing, to improve the living environment as well as the quality of residents’ life.
VIPA administers the measure of modernisation of the central authority buildings which is implemented using the money of the Energy Efficiency Fund. As many as up to EUR 65 million are planned to be allocated for the modernisation of public buildings of the central government from this fund. To renovate public buildings of the central authority the repaid subsidy funding model can also be used.
Municipalities wishing to use the guarantee can implement projects themselves or use the assistance of energy efficiency service providers (ETPT). By issuing a guarantee VIPA undertakes to pay to the creditor any outstanding commitments of the debtor (municipality) under the loan contract which were granted to fund the project on the modernisation of street lighting.
Municipalities, which invest in projects funded by the European Union Structural Funds that enable them to save their budget costs and increase their revenues, as of 1 June can receive grants from the state budget to ensure their own contribution. To this end, they can submit applications to VIPA which administers such grants.
VIPA grants subsidised loans for renovation (modernisation) of dormitories of higher education schools and vocational training institutions according to the programme approved by the Minister of Education and Science and the Minister of Environment of the Republic of Lithuania the aim of which is to renew / modernise dormitories of old construction which were built according to the technical construction standards applicable before 1993 so as to ensure rational use of energy resources and improve the conditions of students who live in dormitories.
At the moment Public Investment Development Agency is implementing and administering several projects aimed at improving current situation of public infrastructure at its optimization, as well as urban development, and energy efficiency improvements:
- Capacity enhancement and experience exchange with Croatia
- Project BUILD2LC
- Horizon2020 project guarantEE
- EU Structural Assistance for 2014-2020
- EU Structural Assistance for 2007-2013
Information for Investors
Public Investment Development Agency invests in Lithuania’s infrastructure and aims at strong and modern growth and development of the country.
- The purpose of investing is to develop and renew Lithuania’ infrastructure thus contributing to the sustainable economic growth in the country, security of public functions, and the development of financial markets. VIPA’s financial instruments contribute to those areas of infrastructure in which financial and market deficiency, asymmetric information or great need for investments are identified. VIPA contributes to the occurrence of financial and economic viability of these projects by investing in such infrastructure projects.
- Areas of investment – energy efficiency, water management, road infrastructure, cultural projects, modernisation of public buildings and multi-apartment buildings, projects on street lighting, etc.
- Financial instruments – secured loans, loans, guarantees and investment platform.
- Investment partners – private and institutional investors, risk funds and banks.
- Investment conditions – return on investment, volumes, deadlines and other aspects are determined individually according to the funded project by way of negotiation.