In an exclusive interview with Business Insider Georgia, the director of the "Produce in Georgia" agency, Mikheil Khidureli, said that it is planned to transform the agency.
"We plan to transform the agency, because we believe that we have significant results in all directions. Of course, we will evaluate these results and add new programs, but in a global sense, the leading direction in terms of access to finance in Georgia today is the banking industry, which is great as it is one of the contributors to economic growth", said the director of the agency.
Mikheil Khidureli announced that the creation of a new fund where "Produce in Georgia" will be a limited partner is in planning.
"We all understand that if the country is moving in the right direction, regardless of the path we are on today, it is necessary to develop capital markets in the country, that is, to create an alternative to banking services. That is why, as a result of the government's policy, many legislative initiatives have been implemented in this direction - the Ministry of Economy and the Department of Capital Markets are working on the legislative framework. One program, the design of which has actually been worked out and we will launch it next year - will help companies to issue securities, so-called bonds, which will be a new institutional direction in the agency.
Also, we will certainly create a fund of which we will be a limited partner - we will invest our money, but then, following all international rules, we will bring in as many international institutions as possible, and accordingly, the Equity Fund for small and medium business will appear.
Along with this, we are in the talks about asset based financing, i.e. financing based on immovable assets, creating a relevant platform. So, as you can see, new business mechanisms will emerge within the agency.
Today, there is a business segment that remains outside of bank financing in that it is overloaded with credit, the bank cannot give it more loans, even though the company really has a development perspective. These companies need a new mechanism, and that will be the "Equity Fund", Mikheil Khidureli said.
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