Construction companies have raised concerns over the government’s new price indexation rules for state projects, despite the mechanism already being approved.
Insi General Director Zviad Toidze said the private sector’s main concerns are the 60% indexation threshold and restrictions on which sectors are covered. He noted that international practice typically applies an 80% threshold, while the current rule sets it at 60%.
According to Toidze, indexation currently applies only to road construction contracts, while similar challenges affect energy, water supply, and civil construction projects due to price volatility.
He also criticized the planned implementation timeline, saying companies are already facing liquidity problems and need the mechanism to take effect sooner.
Toidze added that successful implementation will require coordination between government agencies, designers, experts, and construction companies to ensure correct pricing and application of the new rules.
