International Monetary Fund Approves New Three Year Program for Georgia

The International Monetary Fund has approved a new three year $ 285 million program for Georgia and, according to Georgian Prime Minister Giorgi Kvirikashvili, the program is essential for the successful realization of all the reforms previously announced by the Georgian government in its four point plan.

The International Monetary Fund’s Executive Board approved the $ 285 million to support the economic reforms in the country on April 12.

“The approval of the program means that for the coming three years we have a green light from international monetary organizations to realize all the plans we announced. It also means that the country’s fiscal discipline and financial management must be at the highest level,” Kvirikashvili said, going on to note that the International Monetary Fund’s program approval is a positive signal to investors working in Georgia.

Within the three year arrangement under the extended fund facility (EFF), the program aims to help Georgia promote economic growth.

“Structural reforms are critical for the success of the program, enabling higher inclusive growth and economic diversification,” said Tao Zhang, IMF Deputy Managing Director and Acting Chair. “The reform effort will focus on capital market development, pension reform, a PPP framework, public financial management, private sector governance and competition, and education reforms”.

Nino Gugunishvili