The Lithuanian Government’s measures aimed at cutting the budget deficit were necessary and yielded positive results, said the United States economy and finances chiefs during their meetings with Prime Minister Andrius Kubilius in Washington.

On Thursday the Prime Minister met with Chairman of the United States Federal Reserve Ben Bernanke at the headquarters of the Federal Reserve (FED). Later on, the Prime Minister met with Director of the White House’s National Economic Council Lawrence Summers, an influential adviser to President Barack Obama. Afterwards, Kubilius met with US Secretary of the Treasury Timothy F. Geithner. Minister of Finance Ingrida Šimonytė and the Prime Minister’s delegation also attended the meetings.

Chairman of the FED Bernanke and Kubilius discussed the situation of the global economy and shared thoughts on the crisis management strategy. Bernanke welcomed the stringent saving measures that helped the Lithuanian Government manage the crisis, as a result of which the country can now expect economic recovery. At the same time he regretted that not all the EU member states pursued similarly consistent budgetary policy; therefore he considered that economic recovery of the entire European Union will be delayed as compared to the Asian and the US economies. According to Bernanke, the global economy is to recover at different speeds. He said that the biggest challenge for the US economy is unemployment, which remains high, although some of the major economic indicators show its recovery.

During the meeting with the Lithuanian Prime Minister, President Obama’s economic advisor Larry Summers projected that the global economic recovery would hardly be homogeneous. In his view, the European Union`s economic curve will be L-shaped, while that of the US, U-shaped; the Asian economy, however, will be fastest to recover and most likely will take the V shape.

Influential U.S. Treasury Secretary Timothy F. Geithner found Kubilius’s measures for budget consolidation laudable. The Secretary said that his country was fortunate to be spared of taking similar measures, as U.S. dollar happens to be world`s reserve currency. T. F Geithner also noted that Lithuania and other Baltic States had no choice but to take the course of austerity. "This was a difficult, but also brave, responsible and just step by the Lithuanian Government. I admire what your Government did over the last year", said the U.S. Treasury Secretary to the Prime Minister Kubilius. He also noted that some other EU countries showed lack of commitment as regards tighter fiscal policy; therefore, the EU economy, unlike the Baltic States, is deemed to recover later.