Meeting with the Economic Group of Georgian Government 

26 Feb '15

BAG organized a meeting between member companies and the Minister of Economy and Sustainable Development George Kvirikashvili, Minister of finance Nodar Khaduri, Secretary of Economic council George Gakharia. The meeting was devoted to the problems in the economy and among discussed issues, along with the national currency devaluation, there were the challenges and difficulties businesses face.
Minister of Economy and Sustainable Development George Kvirikashvili informed about the actions that should be taken in the near future for economic and business promotion. He said: By side of government, we have planned serious actions, activities about foreign direct investment and tourism. We think we can balance the situation. We must do everything to simplify the case of business and economic.
The minister also informed the business about business plans of privatization and the buildings that want to be sold. These buildings are the former building of national bank of Georgia and the building of Economy and Sustainable Development's ministry. The realization of the buildings will mobilize about 300-350 million dollars.
Minister of finance talked about the exchange rate of GEL. Nodar Khaduri said that the government had been working about both short-term and long-term plans: Short-term plan aims to significantly speed up privatization, increase awareness and attraction of the tourism in Georgia. We have to correct the budget because of forecast of income reduce. We won't reduce the costs of infrastructure, investment, social projects in the state budget. We are working about tax incentives to stimulate construction.
The businessmen had opportunity to talk with business ombudsmen about their problematic issues, the threats of their businesses.
At the end of the meeting, BAG's President George Chirakadze said that: Businessmen spoke with the government officials about the problems they have. We heard interesting point of views. If government officials do the steps they have decided we think that everything will be stable.
George Chirakadze also talked about the exchange rate of GEL. He said that government has lots of tools to stable the situation: We want some actions to be done by the government: more communication with the business, more effective actions, especially in crisis situations. Today it is a panic situation, that doesn't match with reality. The exchange rate of GEL is inadequate and it will appreciate. I don't think that it is appropriate to exchange GEL to other currency.