Irakli Kovzanadze on Profit Tax Reform Success
Foreign direct investment growth is characterized by a positive trend, stated Irakli Kovzanadze, the Chairman of the Finance and Budget Committee of the Georgian Parliament, when reviewing the data published by the Georgian National Statistics Office.
He notes that the volume of foreign investments in January-June amounted to $676mln, and in the second quarter, compared to the same period of the previous year, a 9.4% growth was observed. The Chairman of the Finance and Budget Committee specifically highlighted the reinvestment rate, which increased by $179 mln, a 34% surge in the second quarter of the current year.
"In total, the share of reinvestment in direct foreign investment amounts to almost a half - reaching 46%. It is a positive trend that in recent years, the reinvestment component in foreign investments is constantly growing, which is attributed to the country's reforms, attractive business environment and more importantly, to the Profit Tax Reform, i.e. the 'Estonian Model'. The growth of reinvestments indicates the success of this reform", said Irakli Kovzanadze.
By Anna Zhvania