The EU–Georgia Business Council (EUGBC) plans to raise the issue of IMF program suspension at the meeting of Investors Council. EU-Georgian Business Council Secretary General Zviad Chumburidze told TV-program "The Analytics".
Investors Council is an independent platform for public-private dialogue, chaired by the Prime Minister of Georgia. The next session will be led by Irakli Kobakhidze. In order to promote the business and investment climate, the Investors Council ensures dialogue between the business community, international financial institutions, donors and the Government of Georgia.
On February 6, in an exclusive interview with "The Analytics", Andrew Jewell, Resident Representative for Georgia at the International Monetary Fund, explained in detail why the so-called Stand-By program was suspended (not ceased) and emphasized that the suspension of the program may hurt the mood of foreign investors in Georgia.
In the same interview, Andrew Jewell said that the International Monetary Fund wants to see professional staff on the vacant positions at the Board of the NBG. After the live broadcast of the exclusive interview, the President of Georgia Salome Zourabichvili announced the competition, which will end on February 23, after which the President will present the selected candidates to the Parliament. "Georgian Dream" said that the nominated candidates should meet national interests.
According to the resident representative of the International Monetary Fund, the existence of the IMF program in Georgia serves as a signal for investors - that fiscal and macroeconomic discipline is preserved in the country and economic policy is implemented consistently. So, Andrew Jewell does not rule out that the long-term suspension of the program should give investors pause.
"The Analytics" verified Andrew Jewell's expectations with EUGBC. Sandro Chumburidze says that investors need more clarity on this issue.
Do you and your investors, who are the members of your Council, look at the IMF program as a measure of fiscal and macroeconomic discipline in Georgia, and do you have questions about why IMF program is suspended now, or why the reviews that are tied to the NBG's independence or the issues related to the state enterprise reform are not completed?
I can't tell you that we talk about it every day, but there are really questions from the business. By the way, we are thinking of discussing this issue at the next meeting, since the topic is a very sustainable component of the economic stability of our country. I believe that we should definitely discuss this at the meeting of the Investors Council. We will be the initiators of this at the next meeting.
I will clarify, Mr. Sandro, do you mean the developments around the IMF program and the reasons for the suspension of the Stand-by program?
Yes. Since the Investor Council may not talk about specifics, but general information can be exchanged between the government and the business sector. We, as a business council, always ask for the exchange of information on important issues, which, I think, will be interesting for the government as well, and it is possible to raise this issue in the secretariat, and then the secretariat itself will tell us the format of the discussion. It is not our responsibility to monitor this topic, but it is possible that this issue will be updated and discussed at the investors' council.
