31 juli 2004
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He [Bendukidze] says that Georgia should be ready to sell “everything that can be sold, except its conscience”. And that is just the start.
Next year—if not sooner—he will cut the rate of income tax from 20% to 12%, payroll taxes from 33% to 20%, value-added tax from 20% to 18%, and abolish 12 kinds of tax altogether. He wants to let leading foreign banks and insurers open branches freely. He wants to abolish laws on legal tender, so that investors can use whatever currency they want. He hates foreign aid—it “destroys your ability to do things for yourself,” he says—though he concedes that political realities will oblige him to accept it for at least the next three years or so.
As to where investors should put their money, “I don't know and I don't care,” he says, and continues: “I have shut down the department of industrial policy. I am shutting down the national investment agency. I don't want the national innovation agency.” Oh yes, and he plans to shut down the country's anti-monopoly agency too. “If somebody thinks his rights are being infringed he can go to the courts, not to the ministry.” He plans, as his crowning achievement, to abolish his own ministry in 2007. “In a normal country, you don't need a ministry of the economy,” he says. “And in three years we can make the backbone of a normal country.”
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