Economic Press Monitor May 16 - 22, 2021	Days:  01 15 22 05 12

economic & politics

REZONANSI: “DUE TO APPROACH OF LOCAL ELECTIONS, PROTEST OF EMPLOYED HAS SHARPLY INCREASED IN REGIONS”

May 21, 2021 - Employees of Borjomi mineral water bottling plants have been on strike for already the third day. Their main demand is salary increase, the newspaper reports.




REZONANSI: “NEW FORMAT TO ACCELERATE EUROPEAN INTEGRATION – WHY GEORGIA, UKRAINE AND MOLDOVA UNITED IN AN “ASSOCIATED TRIO””

May 18, 2021 - On May 17, Georgia, Ukraine and Moldova signed in Kiev a memorandum of understanding on establishment of an “Associated Trio”, which aims at further deepening of the European integration of these three countries. In the memorandum, the countries recognize EU membership as their ultimate goal.

macroeconomics & budget

REZONANSI: “BUSINESSMEN NAMED TIME AND MARK OF THE RATE, WHEN PRODUCTS WILL START TO DECLINE IN PRICE”

May 20, 2021 - The article indicates that lari has been strengthening in recent days and, supposedly, exchange rate of Georgian national currency will be soon within the range of 3.3-3.35 GEL/USD.

Regarding prices on the local market, economist Givi Momtselidze points: “Business is quite cautious, at least 2-3 months will be required for prices to start decline”.




REZONANSI: “LARI WILL CONTINUE STRENGTHENING – WHAT THE EXCHANGE RATE WILL BE BEFORE START OF SUMMER SEASON?”

May 19, 2021 - The article indicates that after significant depreciation, there are positive trends on the exchange market: rate of Georgian national currency against the US dollar has moved below 3.4 GEL/USD and took path towards 3.35 GEL/USD. Supposedly, this is the mark, at which the national currency will stop before start of the summer season, the article says.




FORBES GEORGIA: “GEORGIA ON THE PATH TO GREEN AND SUSTAINABLE DEVELOPMENT”

May 19, 2021 - The magazine publishes article, written by Sebastian Molineus, the World Bank (WB) regional director for the South Caucasus.

In the article, Molineus points that EU membership means “greening” of the country’s economic growth process and bringing it in accordance with the “European Green Deal”.




TABULA: ““RIKE PITCHERS” WERE NOT SOLD ON THE 4^TH ATTEMPT, EVEN WITH 50% DISCOUNT”

May 18, 2021 - Georgian government failed to sell the so-called “Rike Pitchers” (two buildings in shape of pitchers, located on Rike Square in historical part of Tbilisi) even with a 50% discount – for 47.5 million lari, Tabula reports. As the article notes, this was already the 4^th attempt to sell the object.

energy, oil & gas

FORBES GEORGIA: “POWER EXCHANGE: WHEN WILL IT START FULL-FLEDGE OPERATION?”

May 21, 2021 - Georgian Power Exchange was supposed to start full-fledge operation from July 1, however, as it was cleared up, the terms were postponed for 6 months, the magazine reports.

Irina Milorava, head of the Exchange, explained that the matter concerns postponement of hourly trading only, while deadline for remaining part of reforms did not change.




FORBES GEORGIA: “ENERGY EFFECTS OF 2020”

May 19, 2021 - Georgian National Energy and Water Supply Regulating Commission has completed work on the report on activities carried out in 2020, reports chairman of the Commission David Narmania. The document will be published in near future, he says.




FORBES GEORGIA: “EBRD REGIONAL DIRECTOR: IT IS IMPORTANT TO MEET GEORGIA’S GROWING ENERGY DEMAND”

May 17, 2021 - Catarina Bjorlin Hansen, EBRD Regional Director in the Caucasus, declared that it is very important to meet the growing energy needs of Georgia, as the country’s electricity consumption is growing in both household and private sectors.

“Currently, about 75% of energy, produced in Georgia, is generated by hydroelectric power plants, but the remaining 25% that Georgia needs, especially in winter, is obtained mainly using imported natural gas”, Hansen pointed.




KVIRIS PALITRA: “WILL PETROL RISE IN PRICE FURTHER?”

May 17, 2021 - In Georgia, price of petrol is at a historic high (about 3 lari per 1 l), the newspaper indicates. Short-term forecast for Georgia is not encouraging: if the circumstances that affect the fuel price do not change, it may increase even more, the article says.

conflict and court

BANKEBI DA FINANSEBI: ““IDS BORJOMI GEORGIA” STOPS OPERATION OF BOTH PLANTS”

May 20, 2021 - IDS Borjomi Georgia states that despite strike of part of employees of Borjomi mineral water bottling plants (they demand salary increase), the production process continued unhindered.

However, during the strike, there were illegal actions against vehicles, moving to the plants, the company points.




NETGAZETI.GE: “ACCORDING TO AMBASSADOR, PROBLEMS OF GEORGIANS, EMPLOYED IN GERMANY, WILL BE SOLVED”

May 20, 2021 - Members of one of the groups of Georgians, working in Germany under the legal employment program, speak about difficult working conditions.

Hubert Knirsch, German ambassador to Georgia, declares that working conditions of Georgian citizens, employing in Germany, will be improved.




REZONANSI: “COURT SEIZED PROPERTY OF “RUSTAVI-2” – NEW STRUGGLE FOR THE TV COMPANY BEGINS”

May 19, 2021 - Following demand of David Dvali and Jarji Akimidze, founders of Rustavi-2, the court seized real estate of this TV company, the newspaper reports.

Kakha Kozhoridze, lawyer of the claimants, states that Kibar Khalvashi, current owner of the TV company, was going to hide property of Rustavi-2 through creating a new media holding.




NETGAZETI.GE: ““THEY WILL BE INTERROGATED AND RELEASED” – NO ONE HAS BEEN DETAINED IN DMANISI YET, THE MINISTER SAID”

May 18, 2021 - In Dmanisi (Kvemo Kartli region), there has been already a two-day standoff between Georgian citizens – ethnic Georgians (eco-migrants from Svaneti region) and Azerbaijanis, reports Netgazeti.Ge.

On May 16, media spread footage showing two groups of citizens fighting near a grocery store (earlier, Netgazeti.Ge reported with reference to the store owner that the conflict erupted after the Svans asked to sell them beer on loan and were refused).

transport & communications

TABULA: “KAZAKH, POLISH, UKRAINIAN AND ARAB COMPANIES TO RESUME FLIGHTS TO BATUMI IN MAY-JUNE”

May 17, 2021 - Natia Turnava, Georgia’s Minister of Economy and Sustainable Development, declared that in May-June, flights to Batumi will be resumed by Kazakh, Polish, Ukrainian and Arab airlines.

In particular, Kazakhstan’s Air Astana made the first flight on May 15.

international cooperation

FORBES GEORGIA: “FREE MARKETING ADVERTISING OF THE COUNTRY – WHAT HAS “FAST AND FURIOUS 9” BROUGHT OR WILL BRING TO US?”

May 21, 2021 - Georgian premiere show of American action movie “Fast and Furious 9” took place on May 19, the magazine reports. As part of the state program “Produce in Georgia”, a 10-minute segment of the Universal Pictures’ blockbuster was shot in Georgia – on the streets of Tbilisi and Rustavi.

construction

FORBES GEORGIA: ““METRO ATLAS GEORGIA” WILL IMPLEMENT NEW MULTIMILLION PROJECTS IN BATUMI”

May 20, 2021 - Metro Atlas Georgia starts construction of hotel apartments in Batumi, the magazine reports.

For that end, the company acquired land site of 7,023 square m on Pirosmani Street.




FORBES GEORGIA: “RECREATION AND RESIDENCE COMPLEX TO BE BUILT IN SURAMI WITH INVESTMENT OF 20M LARI”

May 18, 2021 - Recreation and residence complex will be built in Surami (a resort settlement in Khashuri municipality of Shida Kartli region) with investment of 20 million lari, the magazine reports. The project will be implemented by LLC Oakland.




FORBES GEORGIA: ““YORK TOWN” – MULTIFUNCTIONAL COMPLEX IS BEING BUILT IN TABAKHMELA WITH A $100M INVESTMENT”

May 17, 2021 - York Towers development company is building a multifunctional complex in Tabakhmela (suburb of Tbilisi) with investment of $100 million, the magazine reports. The project envisages 3-storey private houses, apart hotel, shopping area, recreational areas, etc.