Economic Press Monitor May 7 - 13, 2017	Days:  29 06 13 20 27

economic & politics

NETGAZETI.GE: “ALAVIDZE ON ACCIDENT IN TKIBULI: CONTROL SHOULD BE TOUGHENED”

May 10, 2017 - Minister of Regional Development and Infrastructures Zurab Alavidze declared that he will raise a question of toughening of control mechanism on objects with high risk at the next meeting of the government.

The Minister declared the mentioned in connection with accident, happened on May 9 in Tkibuli, when 4 miners fell from a big height during routine repair work in Saknakhshiri’s mine (all died).




TABULA: “THE GOVERNMENT AMENDS RULE OF EXCISE CALCULATION, IN SOME CASES BEER WILL RISE IN PRICE”

May 8, 2017 - The government initiated the draft bill, which amends rule of beer excise calculation, linking its size to alcohol content. Namely, each percent of alcohol content will be taxed with 12 tetri.




KVIRIS PALITRA: “RISE OF TAXES SHOULD NOT BECOME SUBJECT OF THE GOVERNMENT DECISION!”

May 8, 2017 - The Parliament fraction Georgian Dream – Social Democrats plans to initiate remove of article 94 from the Constitution, which demands to hold a referendum for introduction of new taxes.

Lawyer Levan Alapishvili specifies: “Naturally, the state needs revenues, but the budget is filled not only with income tax, but mainly by taxes, collected from business”.

macroeconomics & budget

FORBES GEORGIA: “HOW SUCCESSFULLY ATTRACTS GEORGIA FOREIGN INVESTMENTS?”

May 11, 2017 - The magazine reviews foreign direct investments (FDI), which are considered as main factor of economic growth.

According to the article, for the last 20 years (1997-2016), FDI in Georgia have totaled to $16.5 million, while largest investor country is Azerbaijan – $2.2 billion.




REZONANSI: “DEPRECIATION DOES NOT THREATEN LARI ANY MORE”

May 11, 2017 - Period of seasonal devaluation of lari has ended and strengthening of national currency is expected in near future, the newspaper states.

Economist Akaki Tsomaia declares: “No depreciation tendency is seen during next few months”.




KVIRIS PALITRA: “WHETHER CONSUMER PRICES WILL GROW FURTHER?”

May 8, 2017 - General price growth (6.1%) already exceeds significantly the target of inflation (4%), the newspaper says.

By summer, part of economists expects growth of gas tariff and indicate that this can cause price increase for a number of essentials, including bread, the article points.

transport & communications

TABULA: ““AIRZENA” BUYS 2 NEW “EMBRAER 190” PLANES”

May 11, 2017 - Georgian Airways (AirZena) declared intention to buy two Embraer 190 planes. A few days ago, Georgian airline has announced about procurement of new Boeing 737-700 also.




TABULA: “WHO WILL RECEIVE 10 MILLION, THE GOVERNMENT ANNOUNCES TENDER FOR DOMESTIC AVIATION PROMOTION”

May 11, 2017 - Estimated cost of tender, announced by Georgian Airports Association for domestic aviation development, amounts to 10.7 million lari, Tabula reports. The tender should reveal an airline, which will carry out regular internal flights during the next 3 years.

agriculture & food

THE FINANCIAL: “ANY EXPORT POTENTIAL FOR GEORGIAN MILK PRODUCTS?”

May 8, 2017 - Referring to research of FAO-EBRD, the newspaper says that farm gate prices of milk differ between commercial farms and small producers. “The difference between the two prices is mostly stable throughout the year, except for the winter period when smallholders have almost no milk to sell”, the article points.

construction

REZONANSI: “SITUATION BETWEEN BUSINESSMEN AND BANKS BECOMES AGGRAVATED”

May 10, 2017 - Non-core activity of commercial banks creates problems to business, the newspaper states. Instead of financing various projects and expand Georgian business, they start operation themselves and enter competition on the market, the article specifies.




TABULA: “CONSTRUCTION OF 11 OUT OF 26 BRANDED HOTELS IN GEORGIA IS CONDUCTED WITH DELAY”

May 10, 2017 - By 2018, opening of 26 international branded hotels is planned in Georgia. However, according to the report of Galt&Taggart, construction of 11 hotels is conducted with delay.