Business

An electronic auction was announced for the cultivation of Georgian vi...

The state of Georgia must plant Georgian vines in Leville’s estate by September 23, 2026, as stipulated in the deed of transfer of the estate signed before a French notary on September 23, 2016.According to the terms of the lease, within 12 months from the signing of the contract, Georgian vines should be planted on the leased property; Bioproduction should start in 48 months. 20% of the organic wine produced annually should be given to Leville’s estate free of charge.In order to fulfill the stipulated obligations, the lessee must make an investment of at least 100,000 Euros (including an investment of at least 10,000 Euros for arranging one cave). The term of transfer to use is 10 years. Annual lease payments will be made once a year. The winning company in the auction must present a document confirming at least one year of experience in organic wine production before signing the lease agreement, as well as a corresponding bank guarantee.The electronic auction is valid until September 30, 2024 at 17:00.

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Final Event to Present Achievements of the EU-Funded Skills for Job Pr...

Location: Radisson Blu Hotel (Address: 1 Rose Revolution Square, Tbilisi)Time: 09:00Date: 26 SeptemberThe event will open with remarks from Nicholas Cendrowicz, Head of Cooperation at the European Union Delegation to Georgia.The EU-funded Skills for Jobs Programme has supported the development and implementation of sector reform policies in employment, skills development, and youth in Georgia, contributing to Georgia's socio-economic development and global competitiveness by strengthening institutional capacities, improving standards of service delivery, enhancing the employability of individuals throughout Georgia and fostering an inclusive, cohesive and prosperous society.The concluding event will serve as a platform to showcase the impressive results yielded by the programme, which was implemented through a comprehensive approach that included budget support, technical assistance, Institutional Twinning and a grant scheme component.One of the programme's main highlights is its significant impact on skills and youth development in Georgia's regions. Thanks to the nine grant projects funded by the Programme, thousands of Georgians have been assisted by non-governmental actors and service providers by providing guidance and support to help them align their skills more closely with labour market needs and find employment.The event will also spotlight the achievements of the Technical Assistance component, which includes the development of key documents, strategies, and capacity building to deliver employment services and active labour market policy measures. To conclude the event, a panel will reflect on the programme's effects on employment, skills development, and youth in Georgia and on the means of ensuring the sustainability of results.The event will be attended by experts, policymakers, civil society actors, private sector representatives, and representatives of educational institutions. About the European UnionFor more than 30 years, the European Union has built a close partnership with Georgia, supporting its development through knowledge and experience sharing, expertise, innovation and financial support. The relationship between the EU and Georgia is based on shared values of peace, freedom, democracy, human rights and inclusive economic growth. More about the EU's support in Georgia https://eu4georgia.eu/the-european-union-in-georgia/About the ProjectSkills for Jobs Programme, launched in 2019 aimed to improve the employability of women, men, young people and vulnerable people in regions of Georgia. The programme was implemented through a range of different measures, including EUR 30 million direct budget support, two Twinning projects, EUR 7 million grant scheme and technical assistance component. For additional information on EU's Skills4Jobs Programme, please visit: U4Georgia website: https://eu4georgia.eu/skills4jobs-programme/

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The labor shortage is a major business challenge

In Q3 of 2024, volatility of the national currency exchange rate was cited as a hindering factor by the surveyed companies.As of the document, in Q3 of 2024, legal and administrative barriers were cited as a hindering factor by 75% of surveyed companies.According to the document, In Q3 of 2024, the following factors were also emphasized as the most hindering for business activity: a lack of specialists and weak demand.The Business Association of Georgia (BAG) Index is a joint product of the Business Association of Georgia, PMC Research Center and the ifo Institute for Economic Research. The BAG Index summarizes the BAG Business Climate, BAG Employment Barometer and BAG Investment Environment, which are calculated according to the assessments of the top managers of BAG member businesses and companies in their corporate group.

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82.3% more Georgian wine was exported to the USA

It should be noted that in 2022, the imports of Georgian wine to the USA amounted to $5.4 million, and in 2023, this figure decreased slightly by $0.2 million and amounted to $5.2 million.The table below presents the volume of Georgian wine imports to the USA from 1997 to 2023:According to Geostat, in 2023, wine worth $5,612,340 million was exported from Georgia to the USA.In 2Q2024, $2,794,680 million worth of Georgian wine entered the US market. This figure was $1,261,900 million higher than in the same period of 2023, when $1,532,789 million worth of wine entered the US market. The imports of the mentioned products increased by 82.3% during the reporting period.

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Belgian company Jan De Nul wins tender for Anaklia Port construction

The large Belgian company Jan De Nul, one of the “Big Four” in the dredging industry, was selected, the Ministry of Economy and Sustainable Development reported.After negotiations, Jan De Nul, one of the largest European companies in the world, will undertake the deepening of the harbour’s water area and the construction of a breakwater.“The tender commission, which included international consultants, chose Jan De Nul as the best among the three participating companies, all of which are European and possess an excellent global reputation. These companies control 80% of the world’s dredging fleet.Jan De Nul, founded in 1938, has a turnover of EUR 2.5 billion and employs over 7,000 people. The company has been actively involved in major projects such as the Panama Canal expansion and has carried out or is currently undertaking projects in various regions, including Europe, the Gulf, and Africa.The Anaklia Deep Sea Port is a strategic project for Georgia, intended to connect the transport systems of Europe and Asia and serve the cargo flow in the Middle Corridor, the shortest and safest route between the West and the East.The port aims to significantly boost Georgia’s economy, attract international investments, and create thousands of new jobs. It is expected to enhance the competitiveness of not only Georgia but also other countries along the Middle Corridor.The first ships are expected to arrive at Anaklia Deep Sea Port in 2029, which will boost the cargo flow through Georgia’s transport and logistics infrastructure.The capacity of the port’s first phase will be 600,000 containers per year, with an indicative value of 600 million USD,” the Ministry of Economy and Sustainable Development stated.

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10.6% more construction permissions were issued in 1H24

As of the document, 74% of the all permits have been issued in four regions of the country, namely: 47.9 percent in Tbilisi, 9.7 percent in Kvemo Kartli region, 8.3 percent in Mtskheta-Mtianeti region and 8.1 percent in Kakheti region.It should be noted that in January-June, 2024, permissions were issued for the construction of multifunctional residential complexes, trade facilities, hotels, industrial enterprises, objects for agricultural purposes and other buildings.1 720 objects (17.4 percent more compared to the previous year) with total area of 1 600.7 thousand square meters (19.7 percent more compared to the previous year) were completed in January – June, 2024.More than half of the completed constructions are distributed among four regions of the country, namely: 37.0 percent is located in Tbilisi, 13.1 percent - in Mtskheta-Mtianeti region, 12.6 percent - in Kakheti region and 9.1 percent - in Imereti region.

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Number of hospital beds 14.5% less y-o-y

The number of outpatient facilities was 2 295. Number of visits in medical institutions equaled to 15.4 million, which is 1.1 percent more compare to the corresponding indicator of 2022.According to the data of 2023, the number of doctors employed in medical institutions amounted to 24.4 thousand, and the number of nursing staff - 21.5 thousand.Compared to the previous year, the number of diseases registered (for the first time with a diagnosis) has increased in the following groups: diseases of endocrine system, digestion disorders, disorders of metabolism and immunity increased by 53.4 percent, complications of pregnancy, childbirth and postnatal period - 51.5 percent, diseases of the skin and subcutaneous tissue - by 50.0 percent, diseases of the eye and adnexa - by 45.4 percent, diseases of the ear and mastoid process – by 42.3 percent.From main disease groups the most common in the population are diseases of the respiratory system, diseases of the circulatory system, diseases of the genitourinary system, diseases of the eye and adnexa and diseases of the musculoskeletal system and connective tissue. In 2023, the number of new cases of AIDS amounted to 612 units, which is 5 units less than the corresponding indicator of 2022, and the total (cumulative) number of people living with HIV/AIDS amounted to 10 391. There were 122 deaths from HIV/AIDS during the 2023 year.In 2023, morbidity with tuberculosis decreased by 12.7 percent and amounted to 1 444. The number of new cases decreased by 13.4 percent.In 2023, emergency care provided to approximately 1.1 million people, of which 98.9 percent of cases were related to sudden illness.

1722244837

Exports of peaches increased by 4%

Export income has also increased by 9%, exceeding USD 16.2 million. It should be noted that last year, in the same period, the income received from peaches and grapes made up USD 14.8 million.Also, the price of peaches increased by 5%, which, according to the latest data, amounted to USD 1.14 per kilogram.It should be noted that in the last 10 years, the export of peaches and plums exceeded 170 thousand tons; The income from exports reached USD 154 million.

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Georgia Global Utilities announces issuance of $300 Million Green Bond...

GGU is the first company to reopen international debt capital markets for Georgian companies since the onset of May-June 2024 volatility. The fixed coupon rate for the bonds was set at 8.875%, with an issue price at 100% of the nominal value, with a maturity of 5 years. Investor interest, both foreign and Georgian, exceeded the issue volume by approximately 60%.J.P. Morgan acted as the sole lead manager and bookrunner for the transaction, with TBC Capital and Galt & Taggart serving as co-managers. Legal advisors for J.P. Morgan and GGU included Latham & Watkins, Baker & McKenzie LLP, BLC Law Office and Dentons, while EY served as the auditor.GGU intends to allocate an amount equal to the net proceeds to eligible projects within its strategic green initiatives. The funds raised will be used to finance new green capital investments and to refinance existing liabilities. GGU has obtained a second party opinion from the leading ESG research and analytics firm, DNV."I am pleased to announce the successful issuance of GGU's second green bond. GGU was the first private company in Georgia to issue green bonds in 2020. With this transaction we continue to uphold our environmental responsibilities and maintain our status as a leading sustainable company in Georgia.I would like to express special thanks to our partners, international financial institutions, for their support - the International Finance Corporation (IFC), the European Bank for Reconstruction and Development (EBRD), the Asian Development Bank (ADB) and the Germany’s Development Finance Institution for the private sector, subsidiary of KfW Group (DEG).The bond funds will be used to refinance GGU's existing liabilities and to finance capital investments in the water supply sector. This transaction will significantly improve the company's financial profile and liquidity, helping us to develop a healthy and sustainable business," said Jose Miguel Santos Gonzalez, General Director of GGU."The size, price, and investor base of this transaction are proof of GGU's strong financial position and great growth potential. The company's securities have attracted considerable interest from retail investors and international financial organizations in both local and international markets. I am delighted that Galt & Taggart played an active role in the successful completion of such a remarkable transaction," said Ketevan Toidze, Deputy Director of Galt & Taggart.“Congratulations to GGU on the successful issuance of green bonds, which has attracted significant interest from both international and local investors. We are pleased that TBC Capital served as the co-managing investment bank for both the company's first and second green Eurobond issuances. The issuance of the second green bond in the international market underscores GGU's long-term commitment to sustainable development. The financial resources obtained from this bond issue will not only enhance the company's financial standing but also support the execution of more green initiatives and projects in the market," said Mary Chachanidze, Managing Director of TBC Capital.According to Fitch Ratings, GGU holds a BB- (Outlook Stable) rating, and S&P Global assigns a BB- (CreditWatch Positive) rating.Georgia Global Utilities (GGU) manages the water supply systems of Tbilisi, Mtskheta and Rustavi (GWP) and energy facilities. GGU owns several hydro power plants with a total installed capacity of 149 MW, including the Zhinvali hydro power plant - the second largest with a reservoir in Georgia. Since 2022, 80% of the company's shares are owned by the Spanish company FCC Aqualia, a leading entity in the European water supply market, and 20% by the investment holding company Georgia Capital.

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TSU Is The Leader Among The Public Universities In the Caucasus, While...

In the top ten, 5 universities are Georgian. The University of Georgia (UG) has moved up 800 places and is still the best private university in the region. Besides, those universities (Ivane Javakhishvili, Tbilisi State University, Ilia State University and Georgian Technical University) had a regression compared to the previous ranking.

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Kulevi oil refinery project to be presented today afresh

1729601655 • Economics

Popular

The share of gold in reserves exceeded 16%

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€44 Million of EU Funding Drives SMEs Growth and Innovation in Georgia

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The country's sovereign bond is improving its position

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Global Finance rated Turnava's activity with lowest grade “ D”

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Lending to large businesses decreased by 35%

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Politics

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Security Sector Reform is a long-term political process - EU Ambassado...

“It is my pleasure to welcome you to this EU-funded event to discuss fundamental topics for any democratic society: national security and societal resilience.Security Sector Reform is a long-term political process. It goes to the heart of power relations in any country. In order to succeed, security sector reform needs to be nationally driven and based on political commitment and leadership, inter-institutional cooperation and broad stakeholder participation.Democratic oversight is equally important for a strong and resilient national security system. Accountability, transparency and openness must be applied and legal guarantees put in place to prevent arbitrary decision-making and possible abuse of the security structures.This is why a strong oversight mechanism of the Georgia’s security system has been included also as one of the nine steps attached to Georgia’s EU candidate status. Addressing and improving the parliamentary oversight of security services would be necessary for Georgia to continue on its EU accession path. [step 5 - Further improve the implementation of parliamentary oversight notably of the security services…]Despite some reforms undertaken in this regard in the past, the reports that will be presented today unfortunately reveal serious concerns. Research findings show that the parliamentary and judicial oversight of security services in Georgia are still too weak and inefficient.The hosts of today’s gathering are three civil society organisations – the Social Justice Center, CRRC Georgia and Georgian Young Lawyers’ Association. These organisations have been implementing this EU-funded security sector oversight project for the last three years.Three years marked by increasingly hostile environment for civil society oversight. Today, in this crucial moment for the future of Georgia, civil society organisations have become direct targets of disinformation and propaganda campaigns and their space has been curtailed by a combination of legal and non-legal measures. In this environment, meaningful oversight has become even harder.This is incompatible with Georgia’s aspiration to join the European Union. As HRVP Borrell said last week, these are signals of a shift towards authoritarianism, which takes Georgia away from the EU path.As the EU ambassador, my sincere hope is that the future developments will result in re-establishing of the favourable environment for meaningful reforms, including the security sector reform and building of the National Security System aligned with the European standards.The standards are respect of human rights, access to credible information and free and independent media, and undisturbed functioning of effective democratic control and oversight”, - EU Ambassador said

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Over 200,000 adult citizens of Georgia do not own a passport, an elect...

The Service Development Agency of the Ministry of Justice informed about this to the chairperson of the "National Movement" faction, Tina Bokuchava, in response to a parliamentary question.In addition, according to the document, as of September 30, a total of 882,052 citizens, both adults and minors, do not have identity documents in Georgia.According to the information provided to the MP by the agency, as of September 30, a total of 458,234 citizens have the passport of an active citizen of Georgia. Among them, 293,863 adults and 164,371 minors.As for the number of citizens holding electronic ID cards, according to official data, a total of 3,345,274 citizens have the document. Among them, 3,203,702 adults and 141,572 minor citizens.In addition, according to the document, 395 citizens have non-electronic identity certificates in the country.

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Georgian PM unveils plan for “balanced” regional development, environm...

Kobakhidze said over GEL 2 billion ($730mln) would be allocated for the development of regions through the Municipal Development Fund while a special programme focused on infrastructure development in settlements across the occupation line separating the Russian-occupied regions from the rest of the country would receive an annual allocation of GEL 20 million ($7.29mln).“Under the rural support programme, a minimum of GEL 400 million ($145.73mln) will be allocated over the next four years. At least GEL 155 million ($56.47mln) will be allocated under the Mountain Fund [...] It is crucial to ensure that the benefits are evenly distributed across the country, reaching different regions. Investments will continue to be made in this regard”, Kobakhidze said.In environmental initiatives, the Government aims to implement modern early warning systems over the next four years and increase the area of protected areas in the country by an additional 100,000 hectares, the Prime Minister said.“Also, 15,000 hectares of forest will be restored and planted. In the last four years, we have increased the pace of reforestation by about five times compared to the previous government. It is not even worth comparing; the amount of forests restored and planted by them was so insignificant in our country”, he said.Kobakhidze also highlighted reduction in air pollution in major cities such as the capital city of Tbilisi and Rustavi, saying air pollution had decreased by 25 percent and 35 percent respectively over the past few years.The Prime Minister said GEL 200 million ($72.87mln) would be allocated for the municipal transport programme over the next four years.“This funding will be used to improve the transport infrastructure and services in municipalities and regions [...] The combined budget for all 68 municipalities totalled around GEL 1.3 billion ($470mln) in 2012, mainly allocated for administrative expenses. However, the budget for 2024 in the regions alone has already reached GEL 3.34 billion ($1.22bln), with a projected figure of GEL 4.59 billion ($1.67bln) for 2028”, he said.“As for Tbilisi, the budget of the capital city was only GEL 657 million ($239.36mln) in 2012. The budget has already exceeded GEL 2 billion ($730mln) in 2024, and the forecast for 2028 is GEL 2.25 billion ($820mln). This amount does not include projects financed from the central budget. Tbilisi City Hall has significant plans for expanding the metropolitan network, rehabilitating avenues, and more. Additional resources beyond the GEL 2.25 billion will be allocated from the central budget for these projects”, Kobakhidze added.The Prime Minister also said the budget of the western city of Kutaisi had been GEL 62 million ($22.59mln) in 2012, before increasing to GEL 195 million ($71.04mln) the following year. Government projections by 2028 put it at GEL 225 million ($81.97mln), he added.Budget for the central-eastern city of Rustavi had been GEL 49 million ($17.85mln) in 2012, he said, adding the figure was expected to rise to GEL 180 million ($65.58mln) by 2025 and reach GEL 210 million ($76.51mln) by 2028. The Black Sea port city of Poti had a budget of GEL 31 million ($11.29mln) in 2012, the PM noted, before adding the number was anticipated to surpass GEL 100 million ($36.43mln) next year and reach about GEL115 million ($41.90mln) by 2028.In public services, the Government head contrasted the number of 12 Public Service Halls across the country with the opening of 109 more venues since the year, with plans to open 12 more between 2024-2025 to complete the project of their expansion.“This will ensure that [Public Service Halls] are available throughout the country, and all municipalities have the necessary infrastructure. Additionally, the Mobile [Public Service Hall] project has been implemented to provide relevant services to even remote villages. The number of services offered in the [venues] has also doubled, which is crucial for our citizens”, Kobakhidze said.He also emphasised the importance of the initiative of systematic registration of land, calling it a “crucial” project and thanking the Ministry of Justice and Minister Rati Bregadze for initiating and implementing it.“Over the recent years, one and a half billion plots of land have been surveyed under this project, and one billion plots have already been registered. Additional funding will be allocated in the coming years to register 500,000 plots to their respective owners”, Kobakhidze said.Addressing the tourism sector, the Prime Minister said the country would attract eight million visitors this year and increase the number to 11 million by 2028.“Tourism is an important sector for our country’s economy, and we take pride in being known for our hospitality. The development of tourism not only has an economic impact, but also a cultural significance for us. We can be proud of the significant growth we have achieved in this area”, Kobakhidze said.“We had 4.7 million visitors in the country in 2012. This figure is expected to reach almost eight million by 2024. The number of visitors is projected to increase to 11 million by 2028. This shows a very positive growth trend in the number of visitors”, he added.He noted income from tourism was projected to increase from $1.4 billion in 2012 to $6.4 billion by 2028, calling it an “impressive” result.“Of course, these incomes will ultimately affect incomes and social status of our population”, Kobakhidze added.The Prime Minister further presented “impressive data” regarding accommodation facilities, including hotels and guest houses.“There were 777 hotels in our country with 23,000 places in 2012. The number of hotels is projected to increase to 2,363 with 108,000 places by 2024. This represents a 4.5-fold increase in the number of places in the hotel sector. The number of hotels is expected to reach 2,680 with 142,700 places by 2028, which is nearly six times the number in 2012”, he said.Kobakhidze revealed plans to support the growth of the industry through private investments of about GEL 1 billion ($360mln) in the hotel sector, as well as allocating over GEL 1 billion for the development of tourist infrastructure, including urban renewal projects.

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Parliamentary majority moves to reinitiate impeachment proceedings aga...

“As you are aware, on October 16, 2023, the Constitutional Court of Georgia ruled that Salome Zourabichvili violated the Constitution by undertaking foreign visits without obtaining the government’s consent, as required by Article 52 of the Constitution.Following this ruling, Zourabichvili retained her position solely due to the support of parliamentarians from the radical opposition. With their backing, she has continued disregarding the Constitution by making several foreign trips without government consent, including visits to France, Germany, Poland, and Belgium just last week.Before the court’s decision, foreign nations and organizations might have asserted ignorance regarding the requirement for presidential approval for such visits. However, after the ruling, any reception of Salome Zourabichvili without the necessary consent not only disrespects the Georgian people and their constitutional order but also violates the principle of non-interference in internal matters, contradicting our shared European values.The Constitution is the supreme document embodying the will of the Georgian people, and its open and deliberate violation cannot go unanswered. Therefore, the parliamentary majority has decided to reinitiate the impeachment process and prepare a new constitutional submission, which will be presented to the Constitutional Court before the parliamentary elections.Once the Constitutional Court affirms the violation, the new parliament will proceed to remove Salome Zourabichvili from office via impeachment during its very first sessions, with a minimum of 100 votes in favour.Salome Zourabichvili’s term concludes this year, which means that impeaching her would reduce her time in office by only one month. While the impact on her remaining term is largely symbolic, the legal and political significance of this decision is considerable. Deliberate and recurrent violations of the supreme law of the Georgian people must not go unpunished.It is essential to remember Salome Zourabichvili not as a former president but as a displaced one. This precedent will serve as a strong deterrent against future constitutional violations and will help fortify Georgian democracy,” stated Papuashvili.

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Blackmail continues against Bidzina Ivanishvili, to take a step that i...

Prime Minister Kobakhidze noted that the purpose of such steps is to force Bidzina Ivanishvili to take a step that is against the national interests of Georgia."The blackmail against Mr. Bidzina Ivanishvili continues. You know that he is already under de facto sanctions, he has 2 billion US dollars frozen in Europe, but now the blackmail continues in a different form, you hear threats to impose formal sanctions. Their goal is - they want to force Bidzina Ivanishvili to take a step that is against Georgia's national interests what doesn't work won't work even after years. Therefore, this blackmail is also doomed to failure," said the Prime Minister.