The World Bank is set to suspend granting a second 50 million-dollar (59 million euros) instalment of a structural adjustment loan to Lithuania due to slow progress in energy sector reform, a bank representative said Friday.
"Most probably granting of the second part of the loan will be suspended as some reforms have proceeded slower than expected," said Mantas Nocius, manager of the World Bank's Lithuanian office.
Lithuania did not fulfil its commitments to restructure the state-owned energy utility Lietuvos Energia, is moving slower than expected in privatisation of the gas company Lietuvos Dujos, and there is still not enough progress in the agriculture sector, Nocius told AFP.
Lithuania had planned to start restructuring Lithuanian Energy and to announce a tender for privatisation of Lietuvos Dujos in May, but both were delayed.
Lithuania received the first 50 million dollars of the 100-million-dollar loan last year. |
