Tbilisi. The Georgian Young Economists' Association has released a statement on the Georgian Development Bank."We believe that, regardless of the purpose of setting up this Bank, its existence is not justified, will hinder the development of financial markets, and will have an adverse effect on economic growth due to the following key reasons: if this Bank works by a social mandate and focuses on the high-risk and low-income projects, it will have to go through frequent recapitalizations and in the future it will start working on more profitable projects, by which it will compete with private banks, thus having an adverse effect on the development of the financial sector; there is a high probability that the Bank will not work effectively and will serve the politicians' personal tasks; accordingly, we urge the Government of Georgia to revoke the initiative of setting up the Georgian Development Bank," says the statement.

Source: the organization's page in the social network