Vilnius, Jul 13 (IANS): Gitanas Nauseda was inaugurated as President of Lithuania for a second term, according to a statement from Lithuania's Presidential Palace.

The inaugural ceremony started at noon on Friday with a ceremonial event in the Lithuanian Parliament, the Seimas, where Nauseda took the presidential oath with his hand on the Constitution, Xinhua news agency reported.

At the inauguration, Nauseda said that Lithuania's defence budget should reach four per cent of GDP, which would allow Lithuania to develop long-range air defence, a missile shield to protect the Baltic Sea coast, and fortifications to protect land borders.

On domestic policy, Nauseda promised to further reduce social exclusion, create a more family- and senior-friendly environment, as well as focus on regions, culture, and education.

After the oath-taking ceremony at the Seimas, the President attended a Holy Mass at Vilnius Cathedral and saluted a formation of colour guards, squads, and commanders in Cathedral Square.

The Lithuanian government has returned its powers to the President, who will instruct the Cabinet to continue its work as a caretaker government until the Seimas votes again on Ingrida Simonyte's nomination to continue as Prime Minister.

Nauseda, a 60-year-old economist, was re-elected president in May after defeating his rival Simonyte in the second round of presidential elections.