Economic Press Monitor February 16 - 22, 2020	Days:  08 15 22 29 07

economic & politics

BANKEBI DA FINANSEBI: “FOR REDUCTION OF RISKS, CAUSED BY GAMBLING, THE FINANCE MINISTRY WORKS ON NEW INITIATIVE”

February 21, 2020 - Georgia’s Finance Minister Ivane Machavariani declared for reduction of risks, caused by gambling, his Ministry works on a new initiative.

That envisages formation of new system of registration and verification of gamblers, creation of list of gambling-addicted persons, and obligation on movement of funds by identified channels, the Minister pointed, while speaking on February 19 in the country’s Parliament.




TABULA: “HALL HALL ON “DREAM”: SEEMS THAT THE GOVERNMENT USES THE STATE INSTITUTIONS TO ADVANTAGE THEMSELVES”

February 20, 2020 - “I think what we’re seeing in Georgia is very worrying”, former UK ambassador in Georgia Alexandra Hall Hall declared.

As the former ambassador told Voice of America, “What I suspect we may be seeing is a repeat of the mistakes of previous governments”.




NETGAZETI.GE: “DIRECTOR OF THE US SENATE COMMITTEE ON FOREIGN RELATIONS ARRIVED TO TBILISI”

February 20, 2020 - Referring to the US embassy in Georgia, Netgazeti.Ge reports that Chris Socha, US Senate Foreign Relations Committee Staff Director, has arrived to Tbilisi.

The embassy quoted press release of the Committee, saying that at the meetings with the country’s leadership, Socha “discussed concerns about a weakening of Georgian democracy and governance”.




FORBES GEORGIA: “WRONG UNDERSTANDING OF INFRASTRUCTURE”

February 19, 2020 - In infrastructure component of the Global Competitiveness Index of 2018, published by the World Economic Forum, Georgia is on the 69^th place among 137 countries. In 2014, the country was on the 59^th place among 144 countries.




TABULA: “THE GOVERNMENT RENEWED THE CONTRACT WITH LOBBYIST COMPANY IN THE US”

February 18, 2020 - Georgian government renewed the contract with American lobbyist company Strate Various, Tabula reports. During a year, the company will receive $10,000 a month.




KVIRIS PALITRA: “MISTAKE OF “DREAM” IS THAT POLITICAL BOOK-KEEPING IS NOT BUSINESS BOOK-KEEPING”

February 17, 2020 - Political scientist Gia Khukhashvili considers that Bidzina Ivanishvili, billionaire leader of Georgia’s ruling Georgian Dream, “understands that he has problems, however tries to survive them somehow, including impact of the West”.

Ivanishvili “sends emissaries to Washington and Europe, instructing them probably to promise everything, while saying that he will deceive everybody here, when it is required”, Khukhashvili says in an interview to the newspaper.

macroeconomics & budget

BANKEBI DA FINANSEBI: “FROM TOBACCO EXCISE, THE BUDGET GAINED INCOME OF 724M”

February 21, 2020 - Georgia’s Finance Minister Ivane Machavariani declared that in 2019, income of the budget from excise on tobacco production exceeded 724 million lari. This is “a historical maximum”, he pointed, speaking on February 19 in the country’s Parliament.




REZONANSI: “THE GOVERNMENT WASHED HANDS CONCERNING STRENGTHENING OF LARI”

February 18, 2020 - Archil Mestvirishvili, vice-president of National Bank of Georgia, estimates that “Lari experienced some strengthening, however is still in the depreciated territory, i.e. is more depreciated, than is indicated by equilibrium indicator”. “This year is year of elections that causes growth of expectations, while all this affect the rate”, he declares.

energy, oil & gas

BANKEBI DA FINANSEBI: “MACHAVARIANI – SUBSTITUTION OF ELECTRICITY IMPORT BY ALL MEANS DOES NOT SUIT US”

February 21, 2020 - “Import of electric power by us is the fact, however substitution of electricity import be all means does not suit us”, Georgia’s Finance Minister Ivane Machavariani declared.

“All those energy projects, which are submitted and demand the state guarantee, do not mean that they are acceptable for us”, the Finance pointed, while speaking in the country’s Parliament on February 19.




REZONANSI: “IN JANUARY, FUEL IMPORT DECREASED”

February 18, 2020 - Georgian Union of Oil-Products Importers declared that import of fuel in January decreased by 4.7%.

Head of the organization Vano Mtvralashvili explains that traditionally, import and consumption of fuel in January are lower in comparison with other months of year.

conflict and court

FORBES GEORGIA: “CLIENT OF “BGI” ACCOMPLISHED MULTIMILLION LAWSUIT WITH THE STATE WITH RECONCILIATION”

February 21, 2020 - Lawsuit between CT Park (the company, which had operated parking system in Tbilisi) and the City Hall of Tbilisi “is accomplished by reconciliation with satisfaction of interests of our client”, reports BGI Legal (the law firm, representing interests of CT Park).

In spring 2018, Tbilisi City Hall unilaterally terminated the contract with CT Park, which had been followed by lawsuits.




BANKEBI DA FINANSEBI: “BATUMI PORT DIRECTOR ADYLKHANOV CONTINUES OPPRESSION OF EMPLOYEES”

February 19, 2020 - After April 2018, when strike of workers in Batumi seaport caused resignation of the director, situation there did not change essentially, the newspaper says.

In April 2018, workers protested against expected reorganization and staff cut, and the port was paralyzed during 2 days, the newspaper reminds.

companies

FORBES GEORGIA: “COMPUTER MARKET LEADER IN GEORGIA”

February 17, 2020 - Computer producer Acer occupies 27% of retail market in Georgia, the magazine reports, publishing interview with Otar Sheklashvili, commercial director of Acer’s RoSEE (Rest of South East Europe) & Turkey office. The article notes that this office covers Georgia, Armenia, Azerbaijan, Turkmenistan, Tajikistan, Kyrgyzstan, Uzbekistan and Kazakhstan and (since 2018) Turkey.

transport & communications

BANKEBI DA FINANSEBI: ““CAUCASUS ONLINE” SECRETLY SELLS GEORGIA’S MAIN FIBER-OPTIC CABLE”

February 19, 2020 - Caucasus Online is sole owner of the 1,200-km fiber-optic cable, laying on bed of the Black Sea, by which Internet transit is carried out from Europe to region of the South Caucasus and the Caspian Sea, the newspaper notes.

As the article specifies, acquisition of Railway Telecom in 2010 allowed Caucasus Online to enter market of the whole South Caucasus and to provide internet service also to Iraq and Iran.

ecology & health

BANKEBI DA FINANSEBI: “FOR REDUCTION OF GROWTH OF HOTHOUSE GAS EMISSION, GEORGIA WILL RECEIVE GRANT OF 2M EUR FROM GERMANY”

February 20, 2020 - Levan Davitashvili, Georgia’s Minister of Environmental Protection and Agriculture, declares that the country will receive German government’s grant of 2 million EUR for reduction of growth of hothouse gas emission. Funds will be used for placement of hothouse gas catching technologies in Rustavi.




REZONANSI: “A HALF OF POLICLINICS IS THREATENED WITH SHUTDOWN – WHETHER THERE IS A WAY OUT?”

February 18, 2020 - Georgian Ministry of IDPs from Occupied Territories, Labor, Health and Social Protection decided to expel policlinics and outpatient clinics, which serve less than 13,000 insured, from the state program of universal healthcare, the newspaper reports. Changes at the first stage will concern the large cities – Tbilisi, Kutaisi and Batumi.

finances & banking

BANKEBI DA FINANSEBI: “IN TERMS OF COST OF MORTGAGE LOANS, GEORGIA IS ON THE 88^TH PLACE”

February 19, 2020 - Referring to BPN agency, the newspaper reports that in Numbeo (global database of consumer prices), Georgia is on the 88^th place among 103 countries in terms of cost of mortgage loans. Average rate on such loans in Georgia makes up 12.12%.




BANKEBI DA FINANSEBI: “IN SUMMER, WE WANT TO OPEN OVER 20 BRANCHES IN UZBEKISTAN CAPITAL TASHKENT – VAKHTANG BUTSKHRIKIDZE”

February 17, 2020 - Vakhtang Butskhrikidze, director general of Georgia’s largest TBC Bank, declares that “our payment service develops very quickly on the Uzbek market”. He specifies that number of Uzbek consumers reached 1.8 million.

agriculture & food

BANKEBI DA FINANSEBI: “BUSINESS OF GRAIN PRODUCTION REGRESSES”

February 20, 2020 - Giorgi Khanishvili, Georgia’s First Deputy Minister of Environmental Protection and Agriculture, says that the Ministry developed the program for grain crops. In particular, field elevators will distribute high-quality seeds and the corresponding pesticides, he specifies.




KVIRIS PALITRA: “WHAT REGULATION IS ASSIGNED TO PRODUCERS OF FOWL”

February 17, 2020 - The newspaper reports that in Georgia, content of water in frozen and quick-frozen fowl since February 1 should not exceed 5%. Respective regulation was adopted in July 2019.