NBG PURCHASED $10M

National Bank of Georgia (NBG) declared about purchase of $10 million at the currency auction today. The average weighted rate made up 2.7220 GEL/USD. More...

AFD ALLOCATES 35M EUR TO GEORGIA

Today, Georgia and French Development Agency (AFD) signed in Tbilisi an agreement on allocation of 35 million EUR.

As Georgian Finance Ministry said, the resource is allocated in support of reforms, planned by the government of Georgia in the direction of social wellbeing. More...

PARLIAMENTARY MINORITY: THE GOVERNMENT TALKS FOR YEARS ABOUT POLICY OF BELT-TIGHTENING, BUT EXPENDITURE OF CONSOLIDATED BUDGET GROWS IN 2019 TOO

The government talks for years about policy of belt-tightening, but expenditure of the consolidated budget increases in 2019 by 607 million lari, while of the state budget – by 270 million lari, parliamentary minority declared.

The minority indicated that according to the plan of the state budget-2019, the government will employ 1,513 less people, but remuneration article increases by 50 million lari, and in total, remuneration spending amounts to 1.47 billion lari. More...

TECHNICAL REGULATIONS ON ALCOHOLIC DRINKS ARE APPROVED

Georgian Ministry of Environmental Protection and Agriculture reported that the government approved technical regulations on alcoholic drinks.

According to the Ministry, the regulations define requirements for alcoholic drinks’ name, description, representation and labeling and streamline conditions of production, market placement and positioning of alcoholic drinks by business operators. More...

DEPUTY ECONOMY MINISTER: PROCESS OF TOTAL GAS INSTALLATION IN SAMEGRELO WILL BE FINISHED IN 2 YEARS

Natia Turnava, Georgian Deputy Minister of Economy and Sustainable Development, declared that process of total gas installation in Samegrelo region of the country will be finished in 2 years. At this stage, the state and private companies, including SOCAR, installed gas to about 70,000 families in 4 municipalities of the region, she noted. More...

BESIDES NATIONAL DIPLOMA, GRADUATES OF TRAINING CENTER AT BATUMI MARINE ACADEMY TO RECEIVE INTERNATIONAL DIPLOMA OF BTEC

Besides national diploma, graduates of training center at Batumi State Marine Academy will receive international diploma of Business and Technology Education Council (BTEC), Georgian Ministry of Economy and Sustainable Development declared.

The Ministry specified that this became possible after implementation of GWAVES project (Georgia Workforce Assistance and Vocational Education Strategy) in the Academy. More...

AT INTERNATIONAL IMPORT EXHIBITION IN SHANGHAI, NEW GEORGIAN PAVILION OPENED

Georgian Ministry of Environmental Protection and Agriculture reported that at China International Import Expo – CIIE, which is held in Shanghai, another Georgian pavilion opened.

The pavilion is handed over to the country for 3 years within cooperation between Georgian Foreign Trade Association (GFTA) and Chinese Greenland Holding Group. More...

GERMAN AND GEORGIAN EXPERTS STARTED STUDY OF SITUATION IN TKIBULI MINE

Georgian Ministry of Economy and Sustainable Development reported that experts of German DMT Group started study of situation in Tkibuli mine. The experts have to present final conclusion in 5 weeks, while interim reports will be presented until that, the Ministry said. More...

Kviris Palitra: “WHO IS ENRICHED WITH LARI EXCHANGE RATE?”

During the last week, lari exchange rate made two sharp jumps – once from 2.72 GEL/USD to 2.76 GEL/USD and then from 2.75 GEL/USD to 2.71 GEL/USD, the newspaper says.

The Finance Minister Ivane Machavariani blamed the mentioned on agiotage, caused by “dirty campaign” of opposition, and declared that “the drop is not connected anyhow with steps of either the government or National Bank of Georgia (NBG) “. More...

Bankebi da Finansebi: “ROLE OF THE STATE BONDS IN EFFICIENCY OF MONEY-AND-CREDIT, INTEREST AND CURRENCY POLICY”

In Georgia, market of the state bonds obviously “limps”, because there is practically no secondary trade system, based on the exchange principles, author of the article, capital market expert Vakhtang Khomizurashvili declares.

He estimates that in case of intensive operation of the secondary market, 80% of banks would apply to sale of state bonds for ensuring level of liquidity and meeting demand for lari. More...

Bankebi da Finansebi: “WHAT CONNECTS DAVID KEZERASHVILI WITH “GEORGIAN DREAM””

Giorgi Vashadze, head of campaign staff of opposition union Strength is in Unity, declared that ruling Georgian Dream “appropriated very well” David Kezerashvili (defense minister during period of ruling of National Movement), who is current partner of Otar Partskhaladze (former chief prosecutor, appointed after Georgian Dream had come to power).

However, expert Gia Khukhashvili supposes that Vashadze said this “figuratively”. More...

TRANSFER PRICING (NOVEMBER 2018)

TRANSFER PRICING IN GEORGIA – ARE YOU TRADING AT ARM’S LENGTH?

What does the term “arm’s length” mean to you? The term is frequently used to describe the commercial and financial relations between independent parties when they engage in trading activities, and is usually synonymous with market conditions. However, when companies forming part of the same multinational group enter into intra-group transactions with each other, the commercial and financial conditions of the arrangement might be more in favor of one of the parties to the transaction. More...