National Audit Office: these benefits for foreigners sometimes increase, and “Sodra” has no tools to manage the risk

National Audit Office: these benefits for foreigners sometimes increase, and "Sodra" has no tools to manage the risk

Numbers reveal new trends: demographic decline vs. foreigner boom

Audit data reveals a paradoxical situation: while the total number of child care benefit recipients in the country is shrinking, the segment of foreign citizens is growing exponentially. Possibly due to declining birth rates, the total number of benefit recipients in Lithuania has steadily dropped by 18.3% over three years – from 58,017 (2023) to 47,416 individuals (2025).

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A completely opposite trend is observed in the group of non-EU citizens. Here, the number of recipients surged by 64% (from 1,113 to 1,824 individuals). If foreigners accounted for about 2% of all recipients in 2023, this share doubled to 4% in 2025.

Although the total amount of “Sodra” benefits decreased in 2025, the amount paid to foreign citizens nearly doubled: it increased by 78.6% – from 4.4 million EUR to almost 8 million EUR (7.94 million EUR).

The most significant jumps – in groups of Central Asian countries and Ukraine

The audit report highlights several countries whose citizens saw benefit payments grow not by percentages, but by multiples. The most impressive jump was recorded in the group of citizens of the Republic of Tajikistan, where the number of recipients increased 17 times over two years – from just 15 individuals in 2023 to 257 recipients in 2025.

A similar trend is observed when evaluating data for citizens of the Republic of Uzbekistan, with a 6.6-fold increase, as the number of recipients jumped from 22 to 146 individuals. Auditors highlight a completely new phenomenon in the group of citizens of the Republic of India, as no benefit recipients were registered in 2023, but their number reached 21 in 2025. Meanwhile, the number of Ukrainian citizens receiving child care benefits doubled during this period, growing from 272 to 556 individuals, and the amount paid to them nearly tripled, reaching 2.3 million euros.

The opposite dynamic is observed only in the group of European Union citizens. The number of EU, EEA, and Swiss citizens receiving benefits in Lithuania remains minimal and even slightly decreased (from 143 to 138 individuals). Labor migration influencing Lithuania’s social system occurs exclusively from third countries.

The “unregistered children” phenomenon: are benefits granted to families living abroad?

The biggest control anomaly, increasing the risk of abuse and weakening public finance protection, is the payment of benefits for children who are not registered in the Lithuanian population register. The number of such recipients in the country increased 14.2 times over two years (from 46 to 651 individuals), and the amount paid to them grew 10.4 times (up to 1.22 million EUR).

The scale of this phenomenon is particularly visible in groups from Central Asian countries. Of the 257 citizens of the Republic of Tajikistan receiving child care benefits, as many as 95% (244 recipients) receive them for children not registered in Lithuania. A similar situation is recorded in the group of citizens of the Republic of Uzbekistan.

Audit results show that foreigners legally working and insured under social insurance in Lithuania use the right to receive benefits even if their children and families do not physically live in Lithuania. Since the information systems of these countries are not integrated into EU data exchange networks, and “Sodra” has not created any tools to verify whether the same children are not being paid for in their country of origin, the state has limited means to ensure that benefits are not duplicated.

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Geopolitical neighbors’ dynamics: Belarus and Russia

Different, but no less financially demanding trends are observed when analyzing data of citizens of Belarus and Russia. Looking at the group of citizens of the Republic of Belarus, although the total number of recipients shrank by 22 percent – from 428 to 333 individuals, the amounts paid to them remain higher than in 2023. This indicates a rising average wage in this group, from which child care benefits are directly calculated. Meanwhile, the number of Russian citizens in the country remains stable, fluctuating between 124 and 130 individuals, but the amount paid to them increased by 53.3 percent over two years, rising from 534 thousand to 819 thousand euros.

Auditors emphasize that this comprehensively changing system structure increases the risk that individuals may receive similar benefits for the same child simultaneously both in Lithuania and in their country of origin, which is directly prohibited by European Union regulations and national laws.

Blind trust in income assessment abroad

According to the current procedure, both maternity and paternity or child care benefits must be reduced or discontinued if the person has other employment income during the benefit period. However, “Sodra” only controls income earned in Lithuania. If a person works and earns abroad, this information does not reach state institutions.

Currently, the system essentially operates exclusively on a trust basis. During the audit, the Ministry of Social Security and Labour acknowledged that there has not yet been a single case where a foreign citizen or a person working abroad voluntarily declared foreign employment income to “Sodra.” Cross-border information exchanges are fragmented and slow, and the legislation does not impose a clear obligation on “Sodra” to conduct active checks or require applicants to provide certificates from competent foreign authorities.

“The tenfold increase in recipient flows signals that the state benefits system can no longer operate on a blind trust basis. When control mechanisms are not established, public finances remain unprotected from the risks of double payments. I urge the Government and decision-makers to undertake a systemic review of this and other benefits – we must create effective and prompt safeguards that guarantee transparency and prevent any possibilities of abuse,” says State Controller Irena Segalovičienė.

State Control recommendations – urgent legislative changes needed

To prevent possible abuse of public finances, the State Control has issued strict recommendations to the Ministry of Social Security and Labour and “Sodra.” It demands urgent amendments to legislation to establish two essential innovations:

  • “Sodra” territorial departments will be clearly delegated the function and strict obligation in legislation not only to wait for data from abroad but also to actively verify information about applicants’ income and benefits received abroad.
  • Strengthen the responsibility of benefit applicants by requiring them to provide official foreign country documents proving that a similar benefit is not paid to them abroad and to declare any employment income earned abroad.

Legal changes will also affect internal “Sodra” procedures: to create automated control measures, it will be necessary to review information system regulations. If an application is submitted by a third-country citizen and the child’s data is not in the Lithuanian population register, the system should automatically suspend benefit allocation until reliable evidence is received from the foreign state or the person provides documents proving legality.

Responsible institutions have already planned measures to implement these recommendations and committed to submitting draft legislation by specific deadlines that will close regulatory gaps and protect the country’s social budget.

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