TO THE ACTIVE INVESTMENT POLICY (RESUME)

By Dr. Paata Leiashvili

Everyone knows that the attraction of foreign investments is a principal component of economic strategy in post-socialist countries.

Really and truly, there’s no possibility of lifting economy up from crisis and record the growth without foreign investments. This could be true as far as Georgia is concerned. It should be mentioned that large-scaled introduction of foreign investments requires strong analysis and survey of certain questions. This has already served to deteriorate the situation and will do so in the future, unless there are some changes in economy.
Today we establish the reforms that are similar to standard patterns inculcated by international financial organisations upon developing countries. This is the mistake of each of them. They do not foresee the specific of our country. Namely, Georgia can not be counted economically undeveloped because of low records in national incomes per head. Low statistical incomes in our country is caused by economic crisis and not by crude level of economic development.
Georgia holds the economic potential that is, unluckily, useless now (only the 10-20% is active). Of course, Georgia is not high-developed country, but despite that, we have the certain substance of infrastructure, qualified staff and specialists, industrial basis, science, the systems of education and healthcare, urbanisation etc.
To our opinion, Most important for improving the investment policy in Georgia is a change of the passive policy with active that may pay more attention to Georgian entrepreneurs and put in action existing domestic reserves. For that purpose, we have to observe the priorities of an investment policy and put forward the private investments, instead of credit capital and sources expected for assistance of Georgian businessmen.