Economic freedom code to come into force in 2013

The Georgian Parliament held the first hearing of the economic freedom code on June 17. According to amendments introduced in the constitution, any kind of increase of taxes in the country should be carried out through a referendum, a bold move which would come in to force by 2013.

The initiator of these amendments is President Saakashvili and it is envisaged by those changes to liberalize further economy and create better guarantees for the investors. The first hearing of the law was positive, it was adopted with slight alterations. A clause was inserted so that the government will have the right to increase taxes temporarily, for a maximum of three years without the need for a referendum.