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Mamuka Khazaradze: Commercial Bank is not to Fund Startups

A commercial bank is not an institution that funds startups, TBC Bank co-founder Mamuka Khazaradze noted when delivering his speech before students of University of Caucasus.

“Regretfully, nobody talks about the main thing that is required for launching these startups. Everybody points to commercial banks. The bank is not an institution that funds startups. This is a credit institution with strict regulations.

Where somebody wants to abuse and blarney somebody, they mention directly commercial banks and nobody talks about online companies that have provoked excessive indebtedness. Commercial banks have not caused this. The ratio of commercial banks in written off 0.5 billion GEL was 20%-25%, but, anyway, the whole situation is associated with commercial banks.

We should follow the truth in building our economy. It is not good to talk lies and after election interpret everything differently. We should develop the capital market, create venture capital and attract Angel Investors, who will fund startups in the form of portfolios. They know in advance that only one startup may justify and other ones may be capital risks and there will be no perspective without this system”, Mamuka Khazaradze noted.