TAIPEI (Taiwan News) – Taiwan will set up a US $ 200 million (NT $ 5.51 billion) fund to invest in the Lithuanian economy, Vilnius Representative Eric Huang (黃 鈞 耀) said on Wednesday (Jan.5).

China has targeted the Baltic democracy with sanctions after allowing Taiwan to open a representative office using its name, whereas previously other offices in Europe only used the name “Taipei”.

Huang’s announcement follows comments by Lithuanian President Gitanas Nauseda expressing regret at the government’s decision to allow the name “Taiwan”, describing the deterioration of relations with Beijing as the consequences of a “mistake”.

Huang told an online press conference that the National Taiwan Development Fund will provide the money for the strategic investment fund with the support of the Central Bank, ANC reported.

Responding to the President’s remarks, a spokesperson The Lithuanian Foreign Ministry said the Baltic nation will uphold its decision to allow Taiwan to use its name for the representative office. She underlined the values ​​of democracy and human rights that the two countries share, adding that Lithuania looks forward to deepening exchanges in fields ranging from trade to scientific research and culture.