How do the Georgian authorities intend to support business during the crisis?
Georgian Prime Minister Giorgi Gakharia today presented an anti-crisis plan to overcome the economic problems caused by the coronavirus pandemic. One of the main components of the plan is business support.
The Georgian authorities plan to provide the private sector with new co-financing mechanisms and loan guarantees. The automatic VAT refund mechanism will be activated. The refund of excess VAT will double. Thus, by reimbursing VAT from the budget, the business will receive an additional 600 million lari (189.1 million dollars). Commercial banks will be provided with a long-term resource of 600 million lari. Additionally, 500 million lari (157.6 million lari) will be allocated for business support. Of these, 300 million lari (94.5 million dollars) are provided for the loan guarantee scheme.
By topic:
The government of Georgia will allocate more than $26 million to help people with disabilities and social security
The government of Georgia will assign benefits to citizens who lost their jobs amid the pandemic
The government of Georgia expects the economy to fall by 4 in 2020%
As explained by Gahariya, this mainly refers to small and medium-sized businesses. A loan portfolio of 2 billion lari will be guaranteed. For a new loan, businesses will be able to get a 90% guarantee from the state. The restructuring of old debts under government guarantees can reach 30%.
The government will also change the conditions for co-financing entrepreneurs under the state program "Produce in Georgia".
The period of co financing of loans and leasing of benifits will increase from 24 to 36 months;
The mechanism for co-financing the interest rate will change;
The list of activities whose representatives can become beneficiaries of the state program will be expanded;
The minimum threshold for loans or leasing will decrease;
Working capital funding will increase.
In General, the budget for the fight against COVID-19 is set at 3.5 billion lari. Most of it is intended to support business and production – more than 2.1 billion rubles. It is planned to allocate more than 1.3 billion rubles for social assistance to the citizens of Georgia. 350 million lari is provided for strengthening the healthcare sector.
Source newsgeorgia.ge
Tags:
How do the Georgian authorities intend to support business during the crisis?
Georgian Prime Minister Giorgi Gakharia today presented an anti-crisis plan to overcome the economic problems caused by the coronavirus pandemic. One of the main components of the plan is business support.
The Georgian authorities plan to provide the private sector with new co-financing mechanisms and loan guarantees. The automatic VAT refund mechanism will be activated. The refund of excess VAT will double. Thus, by reimbursing VAT from the budget, the business will receive an additional 600 million lari (189.1 million dollars). Commercial banks will be provided with a long-term resource of 600 million lari. Additionally, 500 million lari (157.6 million lari) will be allocated for business support. Of these, 300 million lari (94.5 million dollars) are provided for the loan guarantee scheme.
By topic:
The government of Georgia will allocate more than $26 million to help people with disabilities and social security
The government of Georgia will assign benefits to citizens who lost their jobs amid the pandemic
The government of Georgia expects the economy to fall by 4 in 2020%
As explained by Gahariya, this mainly refers to small and medium-sized businesses. A loan portfolio of 2 billion lari will be guaranteed. For a new loan, businesses will be able to get a 90% guarantee from the state. The restructuring of old debts under government guarantees can reach 30%.
The government will also change the conditions for co-financing entrepreneurs under the state program "Produce in Georgia".
The period of co financing of loans and leasing of benifits will increase from 24 to 36 months;
The mechanism for co-financing the interest rate will change;
The list of activities whose representatives can become beneficiaries of the state program will be expanded;
The minimum threshold for loans or leasing will decrease;
Working capital funding will increase.
In General, the budget for the fight against COVID-19 is set at 3.5 billion lari. Most of it is intended to support business and production – more than 2.1 billion rubles. It is planned to allocate more than 1.3 billion rubles for social assistance to the citizens of Georgia. 350 million lari is provided for strengthening the healthcare sector.
Source newsgeorgia.ge
Tags:
