Economic Press Monitor December 16 - 22, 2018	Days:  08 15 22 29 12

economic & politics

NETGAZETI.GE: “GERMANY INCREASES FINANCIAL AID FOR SUBSTANTIAL NATO-GEORGIA PACKAGE”

December 21, 2018 - Referring to German embassy in Georgia, Netgazeti.Ge reports that Germany allocates additional 500,000 EUR for Substantial NATO-Georgia Package (SNGP).

In 2016 and 2017, Germany already allocated per 500,000 EUR for SNGP.




FORBES GEORGIA: “IN THE LIST OF BEST FOR BUSINESS COUNTRIES, GEORGIA IS ON THE 44^TH PLACE”

December 21, 2018 - In the rating of the Best Countries for Business, published by Forbes, Georgia is on the 44^th place among 161 countries, the magazine reports. The article notes that in comparison with previous year, the country improved its position by 8 places.




NETGAZETI.GE: “TBILISI WORKS ON FREE TRADE AND CIRCULAR MIGRATION AGREEMENTS WITH ISRAEL”

December 19, 2018 - Georgia ambassador to Israel Paata Kalandadze declares that Georgia and Israel already started work on the free trade agreement, Netgazeti.Ge reports. After New Year holidays, “a number of actions is planned, which will be directed to strengthening of cooperation in economic issues”, he notes.




FORBES GEORGIA: “HOW CORRUPTION IS ESTIMATED IN GEORGIA?”

December 19, 2018 - According to research of Transparency International, from the point of view of corruption, Georgia occupies the 46^th place among 180 countries.

In the World Economic Forum’s research of global competitiveness for the last year, Georgia in “ethics and corruption” criterion was on the 42^nd place among 135 countries, the magazine reports.




NETGAZETI.GE: “ENLARGEMENT RETURNED TO THE EU AGENDA, BUT DOES NOT CONCERN US YET – AMBASSADOR SABANADZE”

December 18, 2018 - Georgia’s ambassador to the EU Nataly Sabanadze declared that “this year, theme of enlargement returned to the EU agenda” and concerns the Balkans.

“For a definite period, this subject was frozen”, the ambassador noted, adding: “it gives us hope that the EU policy of enlargement will continue”.




BANKEBI DA FINANSEBI: “BUSINESS AGAINST PENSION REFORM – SINCE NEW YEAR, SALARY COSTS OF PRIVATE COMPANIES WILL INCREASE BY 4%”

December 17, 2018 - After enactment of accumulative pension scheme in 2019, citizens aged up to 40 years will have to transfer in Pension Fund 2% of their a salary, while 2% will be transferred by their employers.

Representatives of business declare that they are not ready to taxes and dues, which increased by accumulative 4%, and ask for postponement of enactment of the respective law, the newspaper says.

macroeconomics & budget

FORBES GEORGIA: “THE SUM, WHICH COUNTRIES SPEND FOR RESEARCH AND DEVELOPMENT (R&D)”

December 20, 2018 - Referring to UNESCO Institute for Statistics, the magazine reports that Georgia is among the countries, which spend least for research and development (R&D).

In particular, only 0.2% of GDP are spent on R&D in Georgia that makes up $63 million.




TABULA: ““WEG” RESEARCH: 40% OF POPULATION TAKE CREDITS FOR MUNICIPAL BILLS, 50% – FOR FOOD”

December 17, 2018 - Referring to research, conducted by organization World Experience for Georgia (WEG), Tabula reports that 40% of population of Georgia pays their utility bills by borrowed money. 50% borrows for food.

energy, oil & gas

FORBES GEORGIA: “EBRD TO FUND CONSTRUCTION OF 3 HYDROELECTRIC STATIONS IN SVANETI”

December 19, 2018 - EBRD will finance construction of 3 hydroelectric stations (Nakra, Khelra and Ipari) in Georgia’s mountain region Svaneti, the magazine reports.

As the article notes, EBRD allocated $6.87 million for the construction, while the credit will be issued by means of TBC Bank.




REZONANSI: “IN A WEEK, GAS WILL RISE IN PRICE”

December 18, 2018 - Georgian National Energy and Water Supply Regulating Commission has to consider issue of change of natural gas tariff on December 26. The Commission does not confirm possible increase of gas price, but does not exclude too, the article points.

companies

BANKEBI DA FINANSEBI: “CONSTRUCTION OF NEW HEAD OFFICE OF “TBC” – TBILISI BUSINESS CENTER BEGINS”

December 19, 2018 - Construction of new head office of TBC, Tbilisi Business Center, will begin in January 2019, being expected to complete in 2021, the newspaper reports. The office will be located in the territory nearby to Lisi Lake, occupying area of 13 ha, and will be calculated for 2,000 employees.




BANKEBI DA FINANSEBI: “EXCLUSIVE RIGHT OF “BAVARIA” PRODUCTION IS PROLONGED FOR “ZEDAZENI” UNTIL 2026”

December 18, 2018 - Dutch brand Bavaria and Georgian brewery Zedazeni agreed to extend cooperation for the next 10 years, the newspaper reports.

Namely, agreement, signed at the beginning of December, extends to Zedazeni the right of exclusive production of Bavaria in the region for the period until 2026.

finances & banking

BANKEBI DA FINANSEBI: “BETWEEN “TBC BANK” AND SIDA, AGREEMENT ON LOAN GUARANTEE IS SIGNED”

December 21, 2018 - Swedish International Development Agency (SIDA) will act as a guarantor of business activity of entrepreneurs in Georgia, the newspaper reports. The guarantee of SIDA will cover portfolio totaling to $40 million.




REZONANSI: “CREDIT INSTITUTIONS REVIVE DEAD SOULS AT THE EXPENSE OF IVANISHVILI”

December 20, 2018 - Citizens, whose died family members had unpaid credits, find these credits in the list of zeroing-subjected credits on the website vali.ge, the newspaper reports.

As the article notes, the matter concerns cases, when the late borrower had a life insurance and for annulment of his credit the bank requested only death certificate.




BANKEBI DA FINANSEBI: “SYSTEM OF RESPONSIBLE CREDITING, I THINK, WILL CAUSE DECREASE OF INTEREST RATES IN LONG-TERM PERIOD”

December 20, 2018 - System of responsible crediting, “I think, will cause decrease in interest rates in the long-term period”, president of National Bank of Georgia Koba Gvenetadze declares.

“The risk-bearing borrower, who had obtained the credit without any income confirmation and check, will not be in this group anymore, as will have to confirm the income and will not pay high interest anymore”, Gvenetadze explains own forecast.

agriculture & food

KVIRIS PALITRA: “WHETHER BREAD WILL FURTHER GROW IN PRICE”

December 17, 2018 - For the last week, bread has increased in price by 10 tetri. Bread price was raised by small bakeries, while large bread-baking plants made this only after the presidential elections, the newspaper notes.

construction

BANKEBI DA FINANSEBI: ““KOKHTA ROOMS HOTEL MANAGEMENT” WILL BUILT HOTEL IN BAKURIANI”

December 21, 2018 - Referring to TBC Bank, the newspaper reports that Kokhta Rooms Hotel Management will built hotel with at least 92 rooms in the mountain resort of Bakuriani. The hotel will start receiving vacationers in summer season of 2019.