BAKU, Azerbaijan, June 8
By Tamilla Mammadova – Trend:
The Prime Minister of Georgia Irakli Garibashvili presented the report on the implementation of the government program to the Parliament, Trend reports via Georgian media.
The report covers the period from June 2020 to May 2021.
According to the report, the total fiscal effect of the measures provided by the anti-crisis plan reaches 7 billion lari ($2.2 billion).
The document reads, that due to the slowdown in economic growth, the loss of tax revenues reached 1.9 billion lari ($619 million), and the effect of tax benefits provided by the anti-crisis plan amounts to 0.6 billion lari ($195.4 million).
In the expenditure part of the budget, 1.3 billion lari ($423.5 million) will be allocated for the social assistance provided to citizens under the anti-crisis plan, 0.9 million lari ($293,243) for health care and quarantine measures, 2.2 billion lari ($716.8 million) for business and economic growth measures, and the total impact on the budget will be 4.4 billion lari ($1.4 billion).
“Due to COVID-19 pandemic, the consolidated budget deficit for 2020 increased from 2.5 percent of GDP to 9.3 percent and reached 4.6 billion lari in nominal terms. The consolidated budget deficit for 2021 was set at 7.6 percent of GDP, which still exceeds 4 billion lari in nominal terms”, the report reads.
By the end of 2020, the debt of the Government of Georgia amounted to 60 percent of GDP. However, the current value of commitments under public-private partnership projects (as of January 1, 2020) was set at 0.8 percent of GDP, these liabilities jointly amount to 60.8 percent of GDP.
By the end of March 2021, the debt of the Government of Georgia amounted to 58 percent of the projected volume of GDP in 2021. However, since the current value of liabilities under public-private partnership projects (as of January 1, 2020) was set at 0.8 percent of GDP, these liabilities jointly totaled 58.8 percent of GDP.
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