The country, which has nurtured a position as a fintech hub, scored an 80% increase in the income generated from all licensed Lithuanian fintechs’ banking activities in H1 2022 over the same period in 2021, reaching €375 million.

This was up 26 times on the first half of 2018, with the top ten highest-growth fintechs posting increases in revenue of more than 100%. The year also saw one of Lithuania’s biggest ever Series A rounds - kevin., which raised €61.6 million.

In addition, the report reveals that 263 fintech companies are now domiciled in Lithuania employing 7000 people - a 19% increase over 2021.

Lithuanian regulators have taken a proactive approach to making the country the largest fintech hub in the EU by licences issued. The government is set to continue its push, with the Ministry of Finance finalising its “National Fintech Guidelines for 2023-2028”, which will set the strategic direction for the sector’s growth for the next five years.

The government has also dedicated €80 million for an extensive three-year national upskilling and reskilling programme, which will help develop in-demand skills, including those related to fintech and IT.

Simonas Krėpšta, board member, Bank of Lithuania, says: “Vilnius is now one of the most important European fintech hubs, but we are not looking to stop there. In 2023 we will take yet another step forward with the help of new long-term guidelines, closer institutional cooperation and an increased dialogue with market participants."