Economic Press Monitor May 15 - 21, 2022	Days:  07 14 21 28 04

economic & politics

BANKEBI DA FINANSEBI: “REVENUE SERVICE – IN THE CONDITIONS OF INCREASED TRAFFIC IN THE REGION, ALL CUSTOMS CHECKPOINTS ARE SWITCHED TO EMERGENCY MODE OF OPERATION”

May 20, 2022 - Georgian Revenue Service declared that in the conditions of increased traffic in the region, all customs checkpoints of the country are switched to an emergency mode of operation. At that, number of customs officers has been increased at checkpoints countrywide.




BANKEBI DA FINANSEBI: “364 RUSSIAN AND BELARUSIAN BUSINESSES HAVE BEEN REGISTERED IN GEORGIA IN 2 MONTHS”

May 19, 2022 - Referring to Georgian news agency bpn, the newspaper reports that in 2 months of this year, 256 Russian and 108 Belarusian companies have been registered in Georgia.

In total, 5,670 Russian and 432 Belarusian companies are registered in Georgia.

macroeconomics & budget

REZONANSI: “THE WAR DID NOT AFFECT REGIONAL CURRENCIES AT ALL – LARI HAS RESTORED FULLY ITS POSITION, WHILE RUBLE IS STRENGTHENING UNPRECEDENTEDLY”

May 17, 2022 - If not take the Turkish lira into consideration, one can say that Russia’s war in Ukraine did not affect the currencies of neighboring countries, the newspaper points.

Georgian lari is rapidly improving its position too, already returning to the pre-war mark and moving towards 2.9 GEL/USD, the article says.

energy, oil & gas

REZONANSI: “THE WAY HAS BEEN DETERMINED, BY WHICH THE GOVERNMENT PLANS TO LOWER FUEL PRICE”

May 18, 2022 - Irakli Lekvinadze, head of Georgian National Competition Agency, declared, referring to interim report on the Agency’s investigation, that in March-April, some large companies had sold in a retail network the fuel, imported from Russia, with a high surcharge.

In particular, from about the end of March, cheaper fuel was imported to Georgia, which continued in early April, Lekvinadze explained, adding that besides, strengthening of lari exchange rate began in the country, and this led to cheap import of fuel to Georgia.




REZONANSI: “FOR THE FIRST TIME IN A LONG TIME, IMPORT AND CONSUMPTION OF FUEL HAVE DECREASED IN GEORGIA”

May 17, 2022 - In January-April, import of petrol and diesel fuel to Georgia totaled to 333,700 t, which is by 1.8% less compared with the same period of last year, the newspaper reports.

“Until recent, the growth trend was kept, but the war and global challenges have done their job”, explains Vano Mtvralashvili, head of Georgian Oil-Products Importers Union.

companies

FORBES GEORGIA: “OWNER OF “IDS BORJOMI” IS READY TO HAND OVER PART OF SHARES TO THE GEORGIAN GOVERNMENT FOR FREE – STATEMENT”

May 20, 2022 - IDS Borjomi International declared that owner of the company is ready to hand over part of the shares to the Georgian government for free.

The company noted that, as a result, it will be possible to resume the production process at two Borjomi mineral water bottling plants in Georgia, which have been shut down since the end of April.




BANKEBI DA FINANSEBI: “CHANGES IN MANAGEMENT OF “SAKARTVELOS BANKI””

May 18, 2022 - David Chkonia will become director general of Sakartvelos Banki (Bank of Georgia) in the direction of risk management, the newspaper reports. He will replace Giorgi Chiladze, who held this post since 2013.




FORBES GEORGIA: ““BANK OF GEORGIA UPDATE”: ALL INNOVATIONS OF “SAKARTVELOS BANKI””

May 18, 2022 - Sakartvelos Banki (Bank of Georgia) hosted a technological event Bank of Georgia Update, where it was announced about super-app, creation of a separate application for schoolchildren and other innovations, the magazine reports.

Super-app is a product that combines various services and provides developers of partner companies with the opportunity to integrate mini-applications into the main product.




BANKEBI DA FINANSEBI: “PENSIONS WILL BE DISTRIBUTED BY “LIBERTY BANK” AGAIN”

May 17, 2022 - Only Liberty Bank took part in the tender of Social Services Agency, which ended on May 16. Accordingly, Liberty Bank will continue distribution of pensions, the newspaper concludes.




FORBES GEORGIA: “IN DIGITAL CHANNELS OF “TBC”, TAKING A CONSUMER LOAN IS POSSIBLE AT A DISCOUNT”

May 16, 2022 - In the digital channels of TBC Bank, taking a consumer loan is possible at a discount of up to 5%, the magazine reports. The matter concerns taking a loan through a mobile application of the bank or through web site tbccredit.ge.

transport & communications

BANKEBI DA FINANSEBI: “ALL ROUTES FROM CHINA TO EUROPE ARE PASSING GEORGIA – “AP MOLLER-MAERSK” WILL TRANSPORT FREIGHT FROM CHINA VIA GEORGIA”

May 19, 2022 - Danish transport and logistics group AP Moller-Maersk has launched an updated railway service that connects China and Europe, the newspaper reports.

Cargo transportation is carried out through the territories of Kazakhstan, Azerbaijan, Georgia and Romania.

finances & banking

BANKEBI DA FINANSEBI: “UPPER LIMIT FOR PENSION LOAN’S INTEREST RATE WILL DECREASE TO 26% FROM JANUARY 1”

May 19, 2022 - Irakli Zarkua, majority member in the Georgian Parliament, declared that the state will sign a contract with Liberty Bank on serving pensions for a period of 7 years.

Terms of the contract envisage that the upper limit for the pension loan interest rate will make up 26% from January 1, 2023, Zarkua reported.




BANKEBI DA FINANSEBI: “LEASING AS INTEGRAL PART OF FINANCIAL MARKET AND PROSPECTS FOR ITS DEVELOPMENT IN GEORGIA”

May 16, 2022 - Malkhaz Kharchilava, commercial director of BB Leasing, says that greatest demand in Georgia exists on such products as car leasing and leasing of fixed assets.

In case of car leasing, we finance both secondary and new cars, Kharchilava points.

agriculture & food

BATUMELEBI: “PLACEMENT OF BEE HIVES IN FORESTS HAS SUBJECTED TO PAYMENT – NEW DECREE OF THE GOVERNMENT”

May 19, 2022 - Decree of the Georgia government subjects beekeepers to payment of 10 lari per 1 unit for temporary placement of beehives in forest, the newspaper reports. The decree entered in force on May 17.




REZONANSI: “DESPITE SHARP STRENGTHENING OF LARI, NEITHER IMPORTERS NOR PRODUCERS CAN LOWER PRICE OF FOOD”

May 18, 2022 - Lari continues to strengthen, but impact of this process on prices is not felt yet, the newspaper points.

Iva Chkonia, head of Georgian Distributors Association, says that “there are absolutely no conditions for lowering prices”.




BANKEBI DA FINANSEBI: ““THE COUNTRY HAS A 2-MONTH STOCK OF FLOUR AND BREAD WILL NOT RISE IN PRICE UNTIL END OF THE MONTH””

May 17, 2022 - Malkhaz Dolidze, chairman of Georgian Bread Producers Union, says that the country has a 2-month stock of flour. After the stock is exhausted, a new harvest is expected, he points, noting that some say that wheat harvest in Georgia has increased by 30% compared with the last year.




TABULA: ““WHEAT RESERVES ARE EXHAUSTED, ONLY FLOUR IS IMPORTED, FLOUR MILLS WILL STOP” – SILAGAVA”

May 16, 2022 - Levan Silagava, executive director of Georgian Wheat and Flour Producers Association, declares that in Georgia, “flour has been aggressively imported for months, replacing wheat”. There is no import tax on flour, while floating due is imposed on wheat, he explains.

tourism

NETGAZETI.GE: ““MASTERCARD” AND GNTA PUBLISH TOURISM TRENDS OF Q1, 2022”

May 20, 2022 - Referring to data of MasterCard and Georgian National Tourism Administration (GNTA), the article reports that over 3,000 flights were carried out through Georgia in the 1^st quarter, increasing in number by 270% year-on-year.

Passenger traffic has increased by 285% and made up 489,000 people.