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NBG President: Economy has Lost $300mln Because of the Government's Mistakes

NBG President: Economy has Lost $300mln Because of the Government’s Mistakes

President of National Bank of Georgia has named 4 mistakes of the government, which hampers economy development and the county has a loss of over 300 million.

President of NBG has named strengthening of Visa regulations as the first mistake, including Iran and China, which caused a loss of 100 million USD.

“This is more than the whole wine export in 2015. This is the same to break all wine bottles down, which have been the exported though that year. We welcome abolishment of Visa regulations with Iran. It is essential to abolish Visa regime with Egypt and China as well”, Giorgi Kadagidze noted.

The second mistake is restriction of land privatization. Giorgi Kadagidze names nut export as an example, which export exceeds to wine. Company “Ferrero” had plaid a great role in the growth of nut export, which has entered Georgia and introduced Georgian nut to the world.

“This code is still valid and neither Ferrero nor other company will be able to come in these conditions”, – Kadagidze noted.

According to Kadagidze’s estimation, another problem is business seizing, while court hearings, which hampers marking of investments in the companies.

“We should know, that economy is a synchronic work of all state institutions and  even a mistake of 1 authority makes the economy ill”, – President of NBG  has declared to TV-company Rustavi 2.

The final mistake is complicated relationship with the International Monetary Fund, which concerns to the separation of Supervisory Board from NBG. As a result, the review is not finished with IMF and Georgia is not able to take 46 million from the EU.

“Totally these issues give us a loss of 250-600 million”, – Giorgi Kadagidze declares.

According to him, National Bank does not make statements in the recent years, because it protects investment environment.