Enterprise Georgia: applications opened for small hospitality businesses to receive 80% co-financing on loans
Enterprise Georgia will co-finance not more than 80 per cent of the annual interest rate on loans issued in the Georgian national currency and 70 percent issued in foreign currency (only Euro and US dollar) to family-owned, small and medium-sized hotels from March 1, 2020 for the next 12 months. Photo: Nino Alavidze/Agenda.ge.
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Georgia’s export support agency, Enterprise Georgia, has announced the start of the forth stream of applications for the 'Co-financing Mechanism for Supporting Family-owned, Small and Medium-size Hotel Industries' to help industry players tackle the economic challenges caused by Covid-19.
The project was launched as part of the Anti-Crisis Economic Action Plan unveiled by the government of Georgia in April and offers interest subsidies and co-financing of annual interest rates on hotel business bank loans.
As part of the project Enterprise Georgia will co-finance not more than 80 per cent of the annual interest rate on loans issued in the Georgian national currency and 70 percent issued in foreign currency (only Euro and US dollar) to family-owned, small and medium-sized hotels from March 1, 2020 for the next 12 months.
The maximum loan amount under the co-financing mechanism is:
- 5 million GEL - in case of a loan issued in the national currency
- $1.75 million - in case of a loan issued in the US dollar
- €1.65 million - in case of a loan issued in Euro
- A loan must be issued by a commercial bank in the period before March 1, 2020
- A hotel must feature at least four rooms
- Not less than 80 per cent of the total loan amount must be disbursed for the purpose of purchasing / building / expanding / equipping / repairing / reconstructing / purchasing real estate (property) for the hotel
As part of the changes made to the state programme of Produce in Georgia, which is also implemented by the Enterprise Georgia, event companies and farmers who are engaged in growing grapes, citrus and other tropical fruit varieties will be involved in a credit guarantee mechanism that will enable them to get subsidised bank loans for 12 months.
In August this year Enterprise Georgia announced that Produce in Georgia would support six new economic activities to tackle the economic challenges caused by Covid-19.
These activities are: creation of computer games, hospital activities, general medical practice activities, specialised medical practice activities, dental practice activities, purchase and leasing of film production equipment.
Changes have been made to the state programme of Produce in Georgia that will benefit event companies and farmers in Georgia, announced Georgian Economy Minister Natia Turnava.
International investment location scouts from leading European and US companies KPMG, Conway, and GDP Global are visiting Georgia for the first time to discover the country's investment potential and state programmes oriented towards industrial development.
To tackle the economic challenges caused by COVID-19, some changes have been made to the state programme Produce in Georgia, which will now support six new economic activities in the country.
The Georgian government is launching a new programme 'State - Your Partner', which will allow individuals to receive state services and information in 81 community centers and 24 justice houses in more than 100 settlements throughout Georgia about programmes to help start or assist new business.
Georgia has reported 3,504 news cases of coronavirus over the last 24 hours. The total number of cases confirmed since late-February has increased to 76,658. Head of the Task Force operating under the Interagency Coordination Council Aleksandre Khojevanishvili announced at a news briefing earlier today that 3,163 people have meanwhile recovered and 33 others have died of the coronavirus-related complications.
The government of Georgia has announced a new state programme, FDI Grant, under the auspices of Enterprise Georgia which will promote the growth of foreign direct investments, the inflow of technologies and the creation of new jobs in Georgia, announces Enterprise Georgia agency.
Enterprise Georgia has expanded its programmes from which investors can benefit. Georgian Economy Minister Natia Turnava stated earlier today that within the programme investors may receive land for symbolic 1 GEL ($ 0.3/€0.25).
Georgia has become a member of the World Association of Investment Promotion Agencies (WAIPA) through the application of Invest in Georgia, which is run by the country's export support agency Enterprise Georgia.