AAI Labs implemented double funding prevention system for Lithuania's Ministry of Finance

AAI Labs completed the delivery of an innovative national-level IT solution to prevent double funding of projects across Lithuania's public financing ecosystem. The system, developed for the Ministry of Finance of the Republic of Lithuania, integrates data from multiple funding sources to automatically identify risky projects and significantly reduce administrative burden.

Challenges in public fund management

Lithuania manages approximately €17 billion in funding across multiple national and EU funding sources, creating a complex environment where the same project expenses could potentially be funded multiple times through different programs. Previously, detecting such cases required manual cross-checking between separate IT systems, consuming significant human resources and creating risks of inefficient fund allocation.

"The challenge of double funding prevention has become increasingly complex as the number of funding sources grows," said Božena Zaikovska-Tomkevičienė, Head of the Quality Assurance Division at the Ministry of Finance's Investment Department. "Our collaboration with AAI Labs is one step towards transforming a labor-intensive, fragmented process into an automated, cohesive system that significantly improves our ability to manage public funds responsibly."

Unified platform with advanced detection capabilities

The AAI Labs solution creates a single, national-level platform that:

  • Integrates data across multiple IT systems by extracting, transforming, and loading project data from diverse funding administration systems, standardizing information for comprehensive analysis.

  • Employs risk analysis across three critical dimensions:

    • Project implementers (detecting when the same entities receive multiple funding)

    • Activities and objectives (identifying overlapping project scopes)

    • Invoice numbers (flagging identical financial documents submitted to different funding sources)

  • Provides automated risk flagging by using advanced pattern recognition algorithms.

  • Delivers unified reporting through a secure interface, providing complete visibility across the funding ecosystem.

Technical implementation

The implementation required overcoming significant technical challenges, including:

  • Creating unified data models across disparate systems with different schemas and classification methods

  • Building a solution capable of handling growing volumes of project data as new funding programs are introduced

  • Designing interfaces that deliver complex risk information in actionable formats for administrators

"This project exemplifies the transformative potential of unified data systems in government operations. Rather than creating yet another silo, we have built bridges between existing systems to create a holistic view of the funding landscape. This approach respects the autonomy of individual institutions while enabling coordination that previously was not possible." - said Aistis Raudys, CEO at AAI Labs.

Model for international adoption

The solution has been designed with scalability and adaptability in mind, positioning it as a potential model for other EU member states facing similar challenges.

"Double funding prevention is a concern for all EU countries managing multiple funding streams. Our approach not only addresses our national needs but could serve as a best practice example for similar initiatives across Europe", - said Božena Zaikovska-Tomkevičienė.

About AAI Labs

AAI Labs develops practical artificial intelligence solutions for government and public sector organizations, as well as private businesses. The company specializes in creating secure, transparent, and effective AI systems that enhance decision-making and operational efficiency while maintaining the highest standards of privacy and data protection. With extensive experience in GovTech implementations across Europe, AAI Labs bridges the gap between cutting-edge AI capabilities and the practical needs of public institutions.

 

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