The Organisation for Economic Co-operation and Development (OECD) report of 2022 states that the role of regional authorities in shaping both national and sub-national policies is growing. This trend is one of the most important outcomes of the management reforms implemented in OECD and European countries over the past 50 years. The same is true in Asia and the Americas, but less so in Africa. Lithuania is among the countries which are still considering ways to improve regional management mechanisms and institutions, particularly in the domain of the EU cohesion policy. Before 2010, Lithuania had county governors’ administrations operating as decentralised entities of the central government, but they were abolished and their functions were redistributed between municipalities and the central government. It must be noted that in terms of regions and regional development, the key task is to reduce disparities between regions through fostering balanced development. This is achieved by improving the operating conditions for business and production industries and adapting them to the specific features of regions, strengthening public management skills, building a convenient, functional, and safe living environment for people, and reducing regional disparities through other means. The paper discusses the definition of regions in the Lithuanian legislation, the priorities of the national regional policy, the main regional development documents, major problems in the regions as well as the financial instruments for addressing them. It also presents the provisions of the Programme of the 19th Government of the Republic of Lithuania concerning regional development and the associated strategic management documents. Features of Lithuanian regional management model as well as potential prospects for the strengthening of regional government are also discussed.