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Bureaucracy still a Problem for Business

Bureaucracy still a Problem for Business

Representatives of the Georgian business consider excessive bureaucracy, various regulations imposed by the government as well as the devaluation of the national currency the most serious problem in their work.

At the end of 2014, these same businessmen focused on the growth of bureaucracy in the country. After their critical statements, Prime Minister of Georgia Irakli Garibashvili demanded from government officials not to interfere in the work of the business and threatened severe punishment to all those who will do it. This announcement was made during Prime Minister’s meeting with entrepreneurs. After that Minister of Economy George Kvirikashvili promised to reduce bureaucracy in the country in 2015.

What is the situation in this regard to date, and has anything changed for the business? According to the Vice-president of the Business Association of Georgia Lasha Papashvili, despite promises, the bureaucracy is still one of the most acute problems for the business class in the country. “Perhaps ordinary citizens feel any improvement, but the business – not yet. The situation has improved for ordinary citizens in terms of state structures’ response. It is good that citizens feel protected, but it is also necessarily to quickly and efficiently make decisions regarding the business,”- he says.

Unlike his colleague, President of the Business Association of Georgia George Chirakadze does not think bureaucracy is the most serious problem. “Bureaucracy is a challenge for any country. There will always be a desire to cut it even more. We often talk about the problem of bureaucracy, but I do not think that at this stage it is the most serious problem, “- he notes. At the same time Ilya Tsulaia, CEO at the construction company “Archi”, believes that the situation with the bureaucracy, on the contrary, has improved in recent years.

“In recent years, a positive trend is evident. Employees of government agencies are trying to work faster and more effectively minimizing bureaucratic procedures. For example, my company had problems in the Tbilisi Mayor’s Office, but after new Vice-mayors were appointed, the situation has changed for the better,”- he notes. According to him, officials of government agencies should take responsibility.

“For business it is always better bureaucracy was as little as possible. But we understand that the state officials bear responsibility in making decisions. They try as much as possible to help the business, but it does not always succeed. Now, after the change of several deputy prime ministers, the situation has improved, “- says Ilya Tsulaia.