| Abstract [eng] |
Valuation of Lithuania's Government Debt The main purpose of this master thesis is to analyze and evaluate government debt. The work consists of three main parts; the analysis of literature, the research and its results and conclusion. Literature analysis reviews that it is mostly impossible for the state to not borrow any money, because it needs to cover the deficit. Government debt – the amount of liabilities, but not yet discharged, for creditors. State’s debt is divided into domestic and foreign debt. Debt management is applied in countries to minimize borrowing costs and risks. After the literature analysis the author has carried out the study about methods to evaluate the debt – state’s indicators must meet the acceptable criteria, limits and the risks should be acceptable. According to statistics, 2013 – 2018 the debt is increasing, but its ratio to GDP is acceptable by the criteria. Also, the largest component of debt is long-term debt, that means there is a low risk of refinancing. After 2016, the budget is excess and it lowers the debt. The conclusions summarize that the debt is being managed effective, government debt and other indicators meet the requirements, none of indicators are higher than limits and the risks are low. |
