Short analysis of 6-month performance report of Georgia’s 2020 state budget
Tbilisi. Transparency International Georgia presents a short analysis of the 6-month implementation of the 20201 state budget. The recommendations issued by the organization are as follows:
- Although the amendments to the 2021 state budget have reduced the budget deficit from 7.7% to 6.9% of GDP, the deficit remains very high and the government must make savings on unnecessary spending by the end of the year. Reducing the deficit will have a positive effect on macroeconomic stability, decrease price levels, and negative pressure on the GEL exchange rate;
- In the budget performance reports, the Ministry of Finance should provide information on how many non-staff contractor workers are employed in each institution and how much is spent on their remuneration. When government debt is significantly increased and there is a pandemic in the country, doubling the expenses on temporary workers raises questions about inefficient spending and nepotism, as hiring such employees is less regulated by law.
Source: The webpage of the organization
