ISET

The VET reform assessment was conducted on October 4, 2017. According to the Government Survey, 80% of 2013-2017 Action Plan, and 50% of the entire reform, which is scheduled to last until 2020, has been implemented. The survey also showed how the reform, including launch of the dual education system, which took off in 2013 revamped the whole structure of vocational education system. However, it will be difficult to achieve the desired results without active involvement of the private sector.

The reform was evaluated by the Stakeholder Group with a score of 5.76 out of 10.

On September 27, 2017, the first assessment of Pension Reform was conducted, within “ReforMeter”. Based on the Government Survey, 38.8% of the reform is already implemented. At this stage, the reform concept is elaborated and approved by the Government. In October, the draft law will be publicly available. The pension fund functions and obligations are formulated. The regulatory body is defined. Pension system operating rules are designed.

The reform was also evaluated by the reform stakeholders. They underlined that the reform concept was changed many times, and the last version is not still available. Hence, they were not aware of the final concept of the private pension savings (II Pillar) system, as well the indexation mechanisms of social pensions. According to the Ministry of Economy, the draft law on private pension savings will be published the first week of October.

On May 23, ISET-PI hosted the launch ceremony of ReforMeter, which was attended by representatives of Government institutions, NGOs and international organizations. Welcoming remarks were made by Shamennna K. Gall, the acting Deputy Economic Growth Offices of the US Embassy, and Bruno Balvanera, the EBRD Director for the Caucasus, Moldova and Belarus.

ReforMeter is an online platform which generates reform progress analysis for policy making and public dialogue, and builds trust between the government, the private sector and the general public. The project is implemented by the ISET Policy Institute and financed by USAID G4G.

ISET continues its student policy paper seminar series for the institute's (now graduated) second-year students. This time, Tatia Sosiashvili, Megi Tsikoridze, Nino Aladashvili, and Sopo Basilidze presented their joint paper on tax administration in Georgia. Their project, entitled “Current Challenges in Tax Administration (VAT)”, was supervised by Eric Livny, President of ISET and the ISET Policy Institute, and Sophiko Skhirtladze, an ISET Resident Faculty member and head of the Private Sector Development Policy Research Center.

The students explained that tax administration is an important tool for the government to implement and enforce tax laws and receive mandates by law. It includes the management of taxpayers’ registration, including the detection of non-registration and false registration; the processing of tax returns, withholdings and third-party information; the verification or examination of the correctness and completeness of received information; the process of enforced debt collection, and the handling of administrative appeals and complaints.

On December 23, a lunch meeting was organized for EPAC members to discuss whether laws on antidumping are necessary. The event was organized by Georgian Lawyers for Independent Professions, Governing for Growth (G4G), and the Society of Free Individuals. ISET Policy Institute researcher Gigla Mikautadze was invited as a guest speaker, and presented his views on the need for antidumping regulations and possible economic consequences. Despite the fact that many countries regulate prices of imported goods, there are dozens of countries not having any antidumping law.

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