Social Services Delivery Program in Georgia

Abstract

Georgia’s economy was adversely affected by the 2008-2009 global financial crisis. By mid-2010, however, economic recovery was under way but proved slower than anticipated as revenue shortfalls continued to hold back public spending.

In response to the government’s request for support to maintain essential expenditures on social services delivery and social protection, ADB approved in 2010 a $100 million loan for the Social Services Delivery Program. The program aimed to help the government provide sustainable and inclusive social sector financing while promoting greater effectiveness in service delivery and efficiency in financing benefits. The program also complemented ADB’s earlier emergency loan of $70 million following the 2008 war with the Russian Federation and the $80 million in quick-disbursing financial support to mitigate the adverse impact of the 2009 global financial crisis.Georgia’s economy was adversely affected by the 2008-2009 global financial crisis. By mid-2010, however, economic recovery was under way but proved slower than anticipated as revenue shortfalls continued to hold back public spending.

In response to the government’s request for support to maintain essential expenditures on social services delivery and social protection, ADB approved in 2010 a $100 million loan for the Social Services Delivery Program. The program aimed to help the government provide sustainable and inclusive social sector financing while promoting greater effectiveness in service delivery and efficiency in financing benefits. The program also complemented ADB’s earlier emergency loan of $70 million following the 2008 war with the Russian Federation and the $80 million in quick-disbursing financial support to mitigate the adverse impact of the 2009 global financial crisis.