Tbilisi (GBC) - The Georgian government plans to introduce a voluntary system for savings.

Namely, under the government's initiative, physical bodies will pay a lower income tax if they invest the deducted amount in economic projects.

Giorgi Khuroshvili, a government's secretary to the parliament noted several private companies will be set up for managing assets. These private companies will implement distinct economic projects, while citizens' deposits will earn extra yields.

Starting 2013 any citizen will be able to place 2 percent of the income tax in various economic projects, while starting 2014 the figure will increase to 8 percent, while state budget will add extra 3 percent.

The private companies will be regulated by the National Bank of Georgia (NBG). The bill has been already submitted to the parliament.

Source:Business Week