Georgia’s Acting Prime Minister highlights social growth, pension increases in parliamentary address

Irakli Kobakhidze, the Acting Prime Minister of Georgia, on Thursday said the domestic social budget had surged from under ₾2 billion ($731mln) in 2012 to about ₾8 billion ($2.93bln) currently, attributing the growth to Government programmes aimed at enhancing social care and citing an increase in the average life expectancy in the country from 72 to 75 years. Photo: Gov't Administration

Agenda.ge, 28 Nov 2024 - 17:28, Tbilisi,Georgia

Irakli Kobakhidze, the Acting Prime Minister of Georgia, on Thursday said the domestic social budget had surged from under ₾2 billion ($731mln) in 2012 to about ₾8 billion ($2.93bln) currently, attributing the growth to Government programmes aimed at enhancing social care and citing an increase in the average life expectancy in the country from 72 to 75 years.

In his address at a plenary session of the Parliament, Kobakhidze emphasised the improvement was a “direct reflection of the effectiveness” of initiatives like the universal healthcare programme and other targeted social schemes, which he said had increased access to medical services. Kobakhidze noted the programme had already benefited 3.3 million citizens and financed over 13 million medical cases, with a total budget allocation of ₾8.5 billion ($3.11bln).

The Acting PM said the budget dedicated to social protection had grown from ₾1.7 billion ($620mln) to ₾6 billion ($2.19bln). Additionally, funding for social assistance to target groups has risen from ₾276 million ($100.91) to ₾1.4 billion ($510mln), he told lawmakers, with plans for continued growth in the coming years. Kobakhidze also pointed out the social package for individuals with disabilities had been expanded, with future enhancements anticipated.

Further addressing housing issues, Kobakhidze said  35,000 internally displaced families had been provided with new homes over the past several years, and emphasised 6,000 additional families would receive new housing after the completion of ongoing projects.

The Acting PM said the minimum pension for individuals under 65 would increase to ₾350 ($127.97) and those aged 65 and over - to ₾450 ($164.53).

This promise will be reflected in the draft budget that will be approved by the Parliament of Georgia. In the highland settlements, pension increases to ₾420 ($153.56) and ₾540 ($197.44) are planned for next year. Pensions will continue to grow annually in line with economic growth”, he said, adding the upcoming 10 percent increase in civil servants' salaries will also be included in the 2025 budget.

Kobakhidze highlighted the importance of increasing salaries for staff in kindergartens, arts institutions and sports schools.

It is essential to ensure care for civil servants, especially as wages in the private sector are expected to increase. Currently, the average salary is roughly ₾2,000 ($731.26) and it will rise to ₾3,500 ($1,279.71) by 2028”, he said.

The Acting PM also mentioned plans concerning vocational education, stressing the need for a “strong connection” between vocational education and the economy. Kobakhidze noted “several significant initiatives” had been carried out over the past few years, and the work would continue.

Regarding vocational education infrastructure, we will allocate ₾200 million ($73.13mln) for its development over the next four years. Since 2012, support for science has increased – in the 2012 budget, ₾15 million ($5.48mln) was allocated for science funding, and this year, it has risen to over ₾78 million ($28.52mln). This represents a fivefold increase, and we are committed to ensuring that this upward trend continues”, he said.

Kobakhidze also emphasised the importance of the university reform project, which he said was one of the country's “mega projects”. He said the project would primarily focus on enhancing infrastructure.

Infrastructure of [the western] Kutaisi International University will be expanded significantly. This initiative will be supported by Bidzina Ivanishvili [the founder and Honorary Chair of the ruling Georgian Dream party and the initiator of the University project], with whom we have already consulted. He is prepared to make a substantial financial contribution to the implementation of this vital project”, he said.

Our goal is to increase the number of students in Kutaisi to over 20,000 by 2028, which is essential for the development of both the region and the city itself. After the project's completion, Kutaisi should become a true university city. This project is important for strengthening our higher education resources”, the Acting PM continued.

Along with infrastructure development, we prioritise improving the quality of teaching and implementing serious reforms in this area”, he added.

Kobakhidze also addressed developments at Tbilisi State University in the Georgian capital city, highlighting plans for a new campus.

A large-scale project is underway at Tbilisi State University, where we plan to construct a new campus on the outskirts of Tbilisi. The new infrastructure will meet modern European standards and include dormitories and educational facilities”, he told MPs.

Georgian students in Tbilisi and Kutaisi will receive the same quality of education as they would at European universities. By 2028, we aim to ensure that students in these cities enjoy a comfortable environment and high-quality education in higher educational institutions”, he said.

The Acting PM stressed the need to “qualitatively update the educational system” in the country, for which he said the Government would provide the public with a “detailed plan”.