Economic Development and Poverty Reduction Programme.

The Economic Development and Poverty Reduction Programme is a multi-sectoral national programme of Georgia covering the period of 2003-2015. Its main goal is to raise the welfare of the population of Georgia by achieving two strategic objectives: fast and sustainable economic development and reduction of poverty. The Programme addresses agricultural sector production systems in a balanced way across multiple sectors. It aims to secure food security by ensuring two major elements – accessibility of food and food safety. According to the document, to this end, it is required to ensure that there are the minimum necessary food reserves and to create relevant strategic stock; to ensure alternative ways for obtaining food – in addition to local production; and to set up a “Food Safety and Quality” system in line with EU standards. In addition, it notes that to achieve efficiencies in the agriculture and food sector, administrative and institutional reform will be conducted. For this, the Ministry of Agriculture and Food will be focused on three major trends: (1) formulating and implementing a sustainable policy for agriculture and the implementation of priority programmes; (2) public control on quality, utilization of agricultural resources, testing and protection of breeds, food security; and (3) sector services, including consultation, provision of information, scientific development and staff training. The document also incorporates gender issues. Namely, it provides that gender factors should be taken into account in economic policy. This includes: gender aspects in the process of planning and allocation of budgetary funds, regulation of the labour market and social policy; improvement of labour legislation considering gender factors; ensuring social safety in economic activity; and enhancement of female economic activity, implementation of various programmes promoting professional training. The document equally aims at encouraging sustainable development. Specifically, it instructs the government to prepare sustainable development strategy; to integrate the principles of sustainable development into country policies and programmes and reverse the loss of environmental resources; and to prefer sustainable development objectives with minimal economic risk and the stability. In the area of poverty reduction, the Programme’s goals are reduction of extreme (in relation to alternative poverty line) poverty from 15% to 4-5%, and reduction of poverty level in relation to the official minimum subsistence from 52% to 20-25% by 2015. For this, the following priorities are identified: improvement in governance; macroeconomic stability; improvement in the structural and institutional environment; development of human capital; social risk management and social security improvement; development of economic priority sectors; improvement of natural environment condition; socio-economic rehabilitation of post-conflict zones; and development of science and information technologies. The document also plans to achieve efficiencies in the agriculture and food sector for which administrative and institutional reform will be conducted. The Ministry of Agriculture and Food will be focused on three major trends: formulating and implementing a sustainable policy for agriculture and the implementation of priority programmes; public control on quality, utilization of agricultural resources, testing and protection of breeds; and sector services, including consultation, provision of information, scientific development and staff training. Also, according to the document, land reform will be completed, including privatization and the establishment of a land market as well as design and development of a unified geographic information system for land cadastre, associated natural resources and buildings. The Programme notes that developing the land market will help to introduce credit and insurance systems in rural areas with subsidised interest rates. The document also gives importance to developing infrastructure in rural areas, industrial capacity, modernization and the use of advanced technologies. A major focus will be on export potential and import substitute sectors Access to credit resources will be increased to benefit farmers and the processing industry. Taking into account the specificities of various regions, microfinance schemes will be tested on a pilot basis. Long and short-term credits will be introduced taking into account the seasonal nature of the sector. Vertical and horizontal cooperation of farmers and entrepreneurs will be facilitated, through incentives to improve cooperation in distribution and sales, as well as for capacity growth in processing. In the area of disaster preparedness, the Programme provides that it is essential to encourage private insurance schemes so that the country is prepared to handle natural calamities: earthquake, landslide, flood and avalanche. For this purpose, educational and organizational programmes should be conducted; to restore or create monitoring and forecasting systems of natural calamities; to establish a Catastrophe Risk Management Programme, based on risk pooling and clearly defined allocation of risk between the state, the insurance industry and households; to foresee potential risks at the stage of displacement and planning and implementation of economic activity; to plan mobilization actions at all levels in advance; and to implement prevention measures wherever possible. Finally, it notes that given the dangers posed from animal diseases there should be a tightening of veterinary control and the development of an epidemiological service. The programme is implemented by the Government of Georgia. Bureau of Coordination and Monitoring of the Economic Development and Poverty Reduction Programme will coordinate and monitor the implementation of the programme. The Service for Economic Reforms and Cooperation will be the Bureau whose functions will be as follows: to ensure monitoring and evaluation of the Programme implementation; to ensure public participation in the implementation of the Programme; and to ensure the revision and updating of the Programme.

جورجيا · 2003-06-01