Georgian Anti-corruption - the elimination of state machinery

texty.org.ua ^ | 03/14/2014

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Ukraine Economics: Georgian Anti- corruption - the elimination of state machinery

"Every once official who sits in the state apparatus , hinder economic development and prevent the creation of five jobs in the private sector ." The success of Georgia in the fight against corruption are well known, as well as the rapid increase in ratings that determine the ease of doing business. For example during the reform of taxes - from 22 three to six. We offer a href = "http://www.ekhokavkaza.com/content/article/1897283.html"> interview one of the authors of " Georgian miracle" - former Minister of Economy of Georgia Kakha Bendukidze , which he gave to the Moldovan radio service " Freedom . "

[UMCRevMom@aol.com]

Georgia in the fight against corruption are well known, as well as the rapid increase in ratings that determine the ease of doing business. For example during the reform of taxes - from 22 three to six. We offer a href = "http://www.ekhokavkaza.com/content/article/1897283.html"> interview one of the authors of " Georgian miracle" - former Minister of Economy of Georgia Kakha Bendukidze , which he gave to the Moldovan radio service " Freedom . "

Maybe not all the recipes reforming Georgia's economy is acceptable for Ukraine , Georgia, but progress is impressive - especially in the fight against corruption. Here is the most interesting excerpts from the interview.

Only one there actually a way for such economy , ili kak hruzynskaya Moldavskaya - to Build Economy in kotoroj Will mynymalnoe state intervention .

There is only one real way to one of these economies as Georgia or Moldova - to build an economy in which government intervention is minimal .

The necessary reforms are as follows.

In the first place - reducing regulation, because both our countries have inherited the same post-Soviet control - seems to be not quite Soviet , something to look at even European , but not effective , it does not lead to any result , only pollutes the economy.

Also be sure to a large reduction of the state apparatus , because with a large state apparatus to carry out reforms neobhodmo fail. The state apparatus has to work , he wants to work. What does this mean ? He must do something to regulate , to correct something , to interfere with live people.

Different ministries Georgian state apparatus was reduced from half to five times - but even then the decrease that occurred , it seems to me insufficient. Could be further reduced, even more radically .

At the same time - very important - the salary of officials from the beginning to the end of 2004 was increased four times .

Kakha Bendukіdze , іdeolog reforms have Gruzії

We had a very clear understanding of the following fact : every extra official who sits in the state apparatus , actually hinders the development of the economy and prevents the creation of five jobs in the private sector . While there is a large state apparatus, will be a small private sector.

This was clearly recognized, and therefore we were not afraid and did not hesitate very radically reduce their numbers . This is a very painful process , because people who are cutting back, glad not then there are for the most part are in opposition to the government, which they cut .

Where there is corruption ? Corruption occurs where people have to go cap in hand to the state apparatus to ask . Ask very different: to register something , get some help or permission . The fewer such places , there will be less corruption. This is the cornerstone of the fight against corruption : the less regulation , the less corruption - at least because you do not have an official contact with the citizen .

Secondly, maximum transparency - this is what can be called "zero tolerance " towards corruption . Very often in different post-Soviet countries I have heard that there is corruption is not very big, take , but not very much , moderately .

If we start from this position , then, of course , no one can overcome it to the end . Corruption either there or it is not. Including imprison necessary.

Corruption develops , it can not be cured once and never get sick , fighting it must be continuous. What is very important - was the mood of the entire Georgian society : corruption hinders everyone to live and it will not do.

But we must understand that the people who lost their feeders will not be happy .

Podivitisya Index rіvnya koruptsії 2009 kraїnah svitu possible here (map)

We , as in all post-Soviet countries were different fragments still called the Soviet GAI. These are people who regulate traffic, stop those who ride faster , etc. Over time, the traffic cops turn into a group of extortionists , and it can not be cured by therapeutic methods or explanations , it is wrong to do - because people have become so accustomed .

All traffic police was simply eliminated, this public body has ceased to exist . All the people who worked there were laid off. Then, instead of two structures - the traffic police and district police - was created patrol police .

New service employees recruited by competition from scratch, it was not the former police , but a completely new people , ordinary citizens , who live in a city or village and never engaged in this work do not . Of the old employees as a result of the competition is only a few percent , less than ten.

New police immediately received high salaries - at the time it was higher than anywhere else in the state apparatus - and normal cars , so we could inspect and patrol his land . They laid the foundation for an entirely new Ministry of Interior.

Today patrol police enjoy a very high confidence of the population , about 85 % consider it close to him. And still it is very effective . Very rarely detected corruption cases , not more than twelve during the year , but if found , should be instant punishment.

Question that can be asked : who now regulates traffic in Georgia? Virtually none . In Tbilisi video surveillance , which automatically writes fines. But in fact , experience shows that in the former Soviet republics , which have traffic police or she or another , as in our case , non-existent , indicators of accidents on the roads about the same.

Actual traffic police or traffic police is not fulfilling its tasks , so you can not lose anything if liquidate government body that its direct problem does not perform , but instead has a completely different - to collect money and pants sit .

No any single measure that would attract foreign capital. This reduction in settlement and reducing the number of taxes and transparency and fighting corruption . The most important , in my opinion , is to reduce the tax burden, because it is the most fundamental factor of economic freedom.

Though again, only reducing the tax burden and retaining the sophisticated regulation you today 's economy do not. Any regulation ultimately acts on business as a high tax , which is levied not in money but in the form of lost time on documents , licenses, etc.

Need equal rights for foreign investors , their access to infrastructure in the sale of objects during privatization , the ease of obtaining of certain licenses and low tax . For this we need to change the rules of the game in the direction of simplification of government regulation.

And very importantly, your economic departments should actively ride on such economic capitals like London and New York and talk out there about what is going on in the country.

Koruptsіya z'yavlyaєtsya there de vstupaє official at stosunki s gromadyaninom

Involvement of Georgians from the West going so far, and they keep coming back .

These are people who lived and did business in New York , London, Moscow , and now want to do something good , because they see that the country is rising from its knees .

Your diploma is worth nothing if you're in their country can not even come because you're afraid that you obvoruyut , robbed , and your parents live there in poverty.

Georgians who have returned have decided that there is a chance to change the situation and take the path of such development to 20 years would not be ashamed to look myself in the eye.

As for foreign aid , the situation is rather the reverse - the more the state borrows money and more foreign inflows to the budget , the less the economy will develop , the less will be the effect of lifting .

The economy will grow only at the expense of private investment. No America , no Russian , and no European country to infuse private investment can not , because private money comes and goes alone . The less government borrowing , the better for the country.

I repeat, every dollar that comes to the state line , prevents a few dollars , you might come to a private line and private money creating jobs .

The smaller the share of the budget in relation to GDP , the more private investment and less government , the better.

Porіvnyati Index rіvnya koruptsії Ukrainy i Gruzії 2009 2004 s rock they can then

Our " Act of Economic Freedom " includes several fundamental design criteria of the economy.

First, it makes it impossible to increase taxes without a broad public consensus , which is expressed in the fact that tax increases must be approved by referendum. Secondly , the act prohibits the financing of social expenditure , which does not go through the citizen.

You can give money to the schools , and you can give money to the citizens , and they will decide on what schools and how they spend . You can finance the hospital , and can give the money to insure citizens, and they will choose , in which insurance companies will insure .

Also there is a specific provision for our situation with restrictions on the total amount of debt , the size of the budget deficit, the size of the debt , and as much as possible in cases of force majeure to overcome these differences .

The purpose of this act - keep those achievements that we already have and make them irreversible.

Where to start? Fast can do two things - tax reform - to reduce the number of taxes and their sizes , as well as improve their administration - and start every day to fight corruption.