Enterprise Georgia releases annual report

By Natalia Kochiashvili

Thursday, August 19

LEPL Produce in Georgia is one of the first government agencies in Georgia, whose main goal is to improve the business environment, develop the private sector, popularize the investment climate in Georgia and promote exports.

The agency Enterprise Georgia published the results of state co-financing and business promotion programs. Through the agency, the state was able to support 652 companies with an investment of GEL 1.8 billion.

According to the agency, 494 enterprises, 152 hotels, and 6 tourist service facilities have been established or expanded and a total of 24,205 jobs were created.

At the same time, it is important that the credit-guarantee mechanism was launched in 2020, under which 242 projects were financed. According to the agency, these projects will create 4,418 jobs.

The agency emphasized that in addition to local production most of the implemented projects are export-oriented.

The micro and small entrepreneurship grant program has been implemented since 2015, under which 6,911 projects have been supported so far, with a total investment of GEL 79 million, a total of 10,083 beneficiaries have been funded and 17,489 jobs will be created.

In addition to the results of the programs implemented by the Ministry of Economy and Sustainable Development Agency, Enterprise Georgia also published a study on the effectiveness of the results of the “Technical Support and Access to Finance Components”.

According to a survey, 89% of beneficiaries would not be able or it would be very difficult for them to start/expand their business without a program.

The research found that 1 subsidized GEL stimulated the investment of GEL 15.7 from the private sector and also the same subsidized GEL introduced GEL 5.04 in the budget in the form of taxes and created GEL 8.7 GDP.

Due to the crisis situation created by the pandemic, the state has financed loans to 2,306 business entities since 2020. The volume of co-financing amounted to GEL 57.6 million.

According to the agency, 1,544 companies used the co-financing mechanism for small and family hotels, and more than GEL 45 million was issued as co-financing;

Through the co-financing mechanism to support the restaurant industry, 633 companies received more than GEL 9 million in co-financing;

76 companies used the co-financing mechanism to support kindergartens and sports facilities and were provided with GEL 1.2 million in co-financing; moreover, 53 event organizer companies received more than GEL 2.4 million through the same mechanism.