Lithuania regarded as advanced economy by IMF for first time

Lithuania made the list of advanced economies as determined by the International Monetary Fund (IMF), announced the Bank of Lithuania on Tuesday.

Lithuania's central financial institution was referring to the latest world economic outlook from the IMF. According to the bank, the IMF attributed Lithuania to the group of advanced economies for the first time. Prior to that, Lithuania had been regarded as an emerging market.

"The acknowledgement from one of the most influential financial organizations in the world is not just an appreciation of the country's progress, but a mandate to purse sustained economic development while maintaining fiscal discipline and thus to bring closer the country's financial system and the whole economy to the level of the most advanced economies," said Vitas Vasiliauskas, governor of the central bank, in a statement.

The IMF divides the countries in its reports into advanced economies, emerging markets, and developing economies according to their gross domestic product (GDP) per capita, diversification of exports, and integration with global financial system.

In its most recent world economic outlook, the IMF expects Lithuania's real GDP to grow by 2.8 percent this year, and 3.2 percent in 2016. According to the forecast, the Lithuanian economy will slump into 0.3 percent deflation this year before prices increase by 2.0 percent next year. Endit