In Georgia, unemployment subsidy will be provided to those who lost jobs due to the recent developments at the amount of GEL 150 per month per person for 6 months. This is written in IMF information about countries’ Policy responses to COVID-19.
According to the IMF webpage, the subsidy will be directed to those employees who used to pay the income tax and stopped it, as the businesses were closed.
Those businesses that retain employees will also get a subsidy, – says IMF.
“The government announced a GEL 2 bn (4 percent of GDP) support package on April 1 (which enhanced the GEL 1 billion package announced on March 13). The initial package included the suspension of property and income taxes for the tourism sector until November 2020, provision of interest subsidy to small and medium-sized hotels, increase in credit guarantee scheme, acceleration of VAT refunds, and higher capital spending. The initiative also includes government payments for gas, electricity, water and cleaning bills for poor segments of the population who consume less than 200 kW of electricity and 200 cubic meters of natural gas March-May, 2020. GEL 351 million will be directed to health spending including lab testing and quarantine expenditures as well as increased costs associated with hospitalization, medical treatment, and medical supplies.
“The government will provide a subsidy for imports of 9 basic commodities (incl flour, wheat, pasta, rice, oil, sugar, milk powder, beans, buckwheat) and will also create a stock pile of these commodities at a total cost of GEL50 million. The government is considering to enact a credit guarantee scheme to support economic recovery during the post-COVID-19 period“, – writes IMF.
