To: Ministry of Finance of the Republic of Lithuania
To: Ministry of Culture of the Republic of Lithuania
To: Central Project Management Agency
Copy: Office of the Government of the Republic of Lithuania

Regarding the Proportionality and Effectiveness of the Administration of Funding Measures for the Creative and Cultural Industries

The National Association of Creative and Cultural Industries “KIK Lietuva” is writing to address the current practices for administering and evaluating funding measures for the creative and cultural industries. We wish to draw attention to issues of particular relevance to the sector concerning continuity in administration, the proportionality of requirements, and the achievement of the measures’ objectives. Having assessed the current situation, we believe that it requires a systemic response involving the responsible institutions and social partners.

There is growing concern within the sector that the transfer of responsibility for administering these measures from the Innovation Agency to the Central Project Management Agency has increased the administrative burden and reduced the efficiency of the process. The previous administering institution had accumulated substantial expertise and developed an in-depth understanding of the specific characteristics of the creative and cultural industries. As a result, the requirements and the rationale behind the implementation of the measures were clearer to applicants. Following the change of administering institution, there is a risk that this accumulated knowledge and experience have not been adequately transferred. The renewed application and interpretation of the requirements therefore pose an administrative challenge for both the institution and applicants.

It is particularly important to assess the proportionality of the administrative evaluation process. Under the first call for proposals, 48 project implementation plan applications were submitted, but only six were approved for funding. Under the second call, 61 applications were submitted, but only 11 were approved for funding. These results raise a legitimate question as to whether the issue lies solely in the applicants’ level of preparedness or whether it is also related to the description of the funding measure, the proportionality of its requirements, and the way in which those requirements are interpreted when assessing applicants’ eligibility.

When the demand for funding exceeds the available resources several times over, yet only a small proportion of applications are deemed eligible following the administrative evaluation, potential systemic shortcomings must be examined. It is also important to assess whether the applicable requirements and the practices used to interpret them are sufficiently clear and proportionate, and whether they reflect the specific operating conditions of the creative and cultural industries.

We raised these concerns at the meeting of the Monitoring Committee for EU Funds Investments held on 18 June 2026. The National Association of Creative and Cultural Industries is an independent non-profit organisation bringing together arts and cultural organisations, associations, creative businesses, incubators, creators, and academic institutions. When the Central Project Management Agency was asked when an additional call for proposals might be launched and whether potentially excessive requirements would be reviewed—thereby allowing creative and cultural industry organisations to revise their projects and participate in the competitive selection process again—the Agency indicated that such a decision would need to be taken by the Ministry of Culture.

In view of the above, we respectfully request that the Ministry of Finance, the Ministry of Culture, and the Central Project Management Agency assess the situation within their respective areas of competence and work together with social partners to identify solutions that would ensure that funding measures for the creative and cultural industries are administered proportionately, transparently, and with a clear focus on results.

We are ready to cooperate, provide proposals based on the sector’s experience, and contribute to a constructive dialogue aimed at improving the administration of funding measures for the creative and cultural industries.

Yours sincerely,

Algirdas Orantas
Chair of the Board
National Association of Creative and Cultural Industries