ENLithuanian vocational education and training (VET) policy exemplifies highly consolidated policy elements that reveal the specific relationship between state authorities and municipalities in connecting professional education with labor market needs. This chapter offers a summary of the main challenges facing the implementation of a national VET system at municipal level. We argue whether the institutional architecture of topdown policy design could be responsive to social, demographic, and economic inequalities at a local level. We take a close look at state subsidy expenditure, vertical and horizontal governance, stakeholder participation, and policy realization (through infrastructure and services) that provides a comprehensive perspective on national VET policy in relation to social investment policy paradigms. Particular attention is given to urban, suburban and rural municipal cases and their approach to vocational education which is explored together with the national policy regulations. [From the publication]