Georgia: Opened for Business Georgia Business Climate Reform Final Report
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GEORGIA: OpENED FOR BUSINESS GEORGIA BUSINESS CLIMatE REFORM FInaL REPORT Georgia’s Unprecedented Rise on World Bank Doing Business Overall Rank Starting a BusinessDealing with LicensesEmploying WorkersRegistering PropertyGetting Credit Protecting InvestorsPaying Taxes Trading Across BordersEnforcing ContractsClosing a Business 1 2010 2009 2008 25 2007 50 75 100 2006 125 150 181 Categories 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank Overall Rank 112 37 18 15 11 Starting a Business 59 36 10 4 5 Dealing with Licenses 152 42 11 10 7 Employing Workers 71 6 4 5 9 Registering Property 18 16 11 2 2 Getting Credit 96 48 48 28 30 Protecting Investors 133 135 33 38 41 Paying Taxes 160 104 102 110 64 Trading across Borders 149 95 64 81 30 Enforcing Contracts 56 32 42 43 41 Closing a Business 98 86 105 92 95 SEPTEMBER 2009 This publication was produced for review by the United States Agency for International Development. It was prepared by Chemonics International Inc. CONTENTS I. Introduction ........................................................................................................................................... 1 II. Increased Capacity and Professionalism of Administrative Bodies ..................................................... 5 State Revenue Service – Tax and Customs Administration ......................................................... 5 Where We Started ........................................................................................................... 5 Key Results Achieved ..................................................................................................... 6 To Do .............................................................................................................................. 10 Ministry of Economic Development – Construction ................................................................... 10 Where We Started ........................................................................................................... 10 Key Results Achieved ..................................................................................................... 11 To Do .............................................................................................................................. 12 Ministry of Economic Development – Georgian National Investment Agency .......................... 12 Where We Started ........................................................................................................... 12 Key Results Achieved ..................................................................................................... 12 To Do .............................................................................................................................. 13 National Agency for Public Registry ........................................................................................... 14 Where We Started ........................................................................................................... 14 Key Results Achieved ..................................................................................................... 14 To Do .............................................................................................................................. 15 E-Governance Commission ......................................................................................................... 15 Where We Started ........................................................................................................... 15 Key Results Achieved ..................................................................................................... 15 To Do .............................................................................................................................. 16 III. Streamlined Business and Property Registration Procedures and Collateral Systems Developed ..... 17 Ministry of Finance and State Revenue Service – Business Registration ................................... 17 Where We Started ........................................................................................................... 17 Key Results Achieved ..................................................................................................... 17 To Do .............................................................................................................................. 19 National Agency for Public Registry – Property Registration ..................................................... 19 Where We Started ........................................................................................................... 19 Key Results Achieved ..................................................................................................... 19 To Do .............................................................................................................................. 22 National Agency for Public Registry – Collateral Registry ......................................................... 22 Where We Started ........................................................................................................... 22 Key Results Achieved ..................................................................................................... 22 To Do .............................................................................................................................. 22 IV. Improvements in Key “Framework” Commercial Laws .................................................................... 23 Ministry of Economic Development - Construction .................................................................... 23 Where We Started ........................................................................................................... 23 Key Results Achieved ...................................................................................................... 23 To Do .............................................................................................................................. 24 Ministry of Economic Development – Georgian National Investment Agency ............................... 24 Where We Started ............................................................................................................ 24 Key Results Achieved ...................................................................................................... 24 To Do .............................................................................................................................. 24 National Agency for Public Registry ............................................................................................. 24 Where We Started ............................................................................................................ 24 Key Results Achieved ...................................................................................................... 25 To Do .............................................................................................................................. 25 E-Governance Commission ........................................................................................................... 26 Where We Started ............................................................................................................ 26 Key Results Achieved ...................................................................................................... 26 To Do .............................................................................................................................. 26 Office of the State Minister on Reforms Coordination and the State Chancellery ............................ 26 Where We Started ............................................................................................................ 26 Key Results Achieved ..................................................................................................... 27 To Do .............................................................................................................................. 28 V. Simplified, Sensible, and Transparent Regulations and Standards, as Well as Procedures for Licenses, Permits, and Inspections ........................................................................................................... 29 State Revenue Service – Customs Administration ...................................................................... 30 Where We Started ........................................................................................................... 30 Key Results Achieved ..................................................................................................... 30 To Do .............................................................................................................................. 30 State Revenue Service – Tax Administration .............................................................................. 31 Where We Started ........................................................................................................... 31 Key Results Achieved ..................................................................................................... 31 To Do .............................................................................................................................. 32 VI. One-Stop Shops Functioning for Registration, Licensing, and Permits ............................................. 33 Where We Started ..........................................................................................................