Levan Zhorzholiani, Head of Government Administration of Georgia, met the International Monetary Fund (IMF) mission, the Government Administration reported.

During the meeting, they discussed the ongoing reform of state-owned enterprises (SOE). As Mr. Zhorzholiani noted, in the first phase of the reform, optimization measures led to annual savings of over 52 million GEL in energy companies and Georgian Railway JSC.

Mr. Zhorzholiani explained the essence of the reform in detail to the IMF mission, emphasizing that it aims to bring a qualitative renewal to the management system of state-owned enterprises.

It was noted during the meeting that the goal of the reform is to transform state-owned enterprises from subsidy-dependent entities into profitable ones that contribute to the state budget. The reform also aims to improve management practices and strengthen supervisory boards. Additionally, it is important that state-owned enterprises do not compete with the private sector, which will ensure greater efficiency in their operations and is expected to yield tangible results within three years-by 2028.

The meeting was attended by Natalie Manuilova, IMF Mission Chief; Yannick Vel, Regional Advisor on Fiscal Risk Management; Eryl Halstead and Sorana Baciu, Short-Term Experts in the IMF’s Fiscal Affairs Department (FAD).