Why Lithuania is a hidden gem of Europe’s startup ecosystem

In 2022, over 20,000 Lithuanians returned to their country of birth from abroad. A high quality of life coupled with a booming entrepreneurial ecosystem and a collaborative mentality has contributed to what investors are calling a “reverse brain drain.” Many of their minds reemerge in the country’s startup scene.

It was on a visit to Lisbon that I first heard someone refer to Lithuania as “a hidden gem” of Europe’s startup ecosystem. A recent trip to Vilnius convinced me they were right.

To further drive the inspiring transformation it has achieved since regaining its independence from the Soviet Union in 1990, Lithuania has been betting heavily on its homegrown tech startups.

Already home to three high-profile unicorns — online marketplace Vinted, VPN leader NordSecurity, and ad firm BCG — Lithuania is the fastest-growing ecosystem in the Baltics and Central and Eastern Europe (CEE) region.  Last year, it reached €13.7bn in enterprise value last year, following a seven-fold growth between 2018 and 2023.

The