"QWERTY US" dominated "Orient Logic" in the Georgian Film Development...

Acceptance of proposals in the tender ended on September 26 and is currently in the selection/evaluation stage.The tender had three candidates. These are:· LLC Volt - with an offer of 2.8 million GEL;· Orient Logic - with an offer of 2.4 million GEL;· QWERTY US LLC – with an offer of 2.3 million GEL.Since "QWERTY US" bid is the lowest, it is the favorite in this tender.According to the documentation, the service delivery period is defined as 24 months.According to the tender requirements, the contractor must follow Agile Scrum development methodology.When implementing the system, it is necessary to use a DevOps approach, in particular, to build CI/CD pipelines between the relevant branches and environments in order to automatically deliver new releases to the customer.From 2020 until today, the bidder must have completed work of a similar content, with a total value of 2.5 million GEL.In addition, the candidate is required to have qualified programmers.No information on the winning tenders of "QWERTY US LLC" can be found on the website of the State Procurement Agency. Also, there is no information on the website of the public registry agency with the mentioned name.


🎥 Basisbank Partners with a unique White Sails Project in Batumi

The construction of White Sails complex started in 2016. The amount of investment is quite impressive – up to 60 million US dollars. The complex was designed by the BWC Project Group architectural company, which has more than 10 years of experience in this field."Our complex is designed for maximum comfort, and it was important for us to design a product that would improve living standards. AR Meridians and Basisbank have been going strong as partners for years. The financial support of Basisbank allowed us to complete the complex in a short period of time and transfer ownership of the apartments to their owners. During the crisis, when we needed the support of a strong financial institution, Basisbank was one of the first to stand by us and provide us with a credit line. Our mutual cooperation has produced a unique project, which in terms of infrastructure has no equivalents anywhere else in Adjara,” Natia Gogidze, Director of AR Meridians, said."White Sails is a successful project of Basisbank. We are pleased to have been involved as a financial partner. White Sails boasts a refined architecture with modern conveniences and delicate touches, and comfortable infrastructure that allows vacationers to enjoy full services on the spot. Our cooperation has developed successfully and we will always remain a reliable financial partner to White Sails.” Jaba Kasradze, Head of Basisbank’s Lending Department, said.Video story of partnership between Basisbank and White Sails 


Shares of Georgian companies rose significantly on the LSE

Bank of Georgia Group (BGEO LN) shares closed at GBP 37.05/share (+9.13% w/w and +15.60% m/m). More than 458k shares traded in the range of GBP 33.20 - 37.05/share. Average daily traded volume was 59k in the last 4 weeks. The volume of BGEO shares traded was at 1.00% of its capitalization.TBC Bank Group (TBCG LN) closed the week at GBP 28.70/share (+4.55% w/w and +1.59% m/m). More than 230k shares changed hands in the range of GBP 27.00 - 28.70/share. Average daily traded volume was 35k in the last 4 weeks. The volume of TBCG shares traded was at 0.42% of its capitalization.Georgia Capital (CGEO LN) shares closed at GBP 10.34/share (+4.44% w/w and +12.39% m/m). More than 438k shares traded in the range of GBP 9.90 - 10.34/share. Average daily traded volume was 43k in the last 4 weeks. The volume of CGEO shares traded was at 1.00% of its capitalization.


President of Skytrax visited Tbilisi International Airport

The President of Skytrax personally got acquainted with the projects implemented during the past year and heard detailed information from the management of TAV Georgia.This year, Tbilisi International Airport was ranked among the top five airports in Eastern Europe by Skytrax. This recognition by Skytrax reflects a significant increase in airport quality and service efficiency and underscores the importance of year-round infrastructure projects for airport development.This year, at the "Skytrax World Airport Awards 2023" held in Amsterdam, Batumi International Airport, also managed by TAV Georgia, was included in the top ten airports of Eastern Europe. Batumi International Airport was included in this category for the second time, and Tbilisi - for the tenth time in a row.Skytrax is an influential British consulting company which has been researching and evaluating service quality at airports and airlines around the world for many years.


To what extent it is expected and appropriate to combine a Virtual Zon...

Despite this, companies with VZP status continue to face difficulties in removing fines due to ambiguous legislation. Companies that entered the Georgian market with the lure of tax benefits established for this status in 2010 have faced fines in recent years, owing to the legislation's ambiguity and lack of sophistication, which allows Revenue Service representatives to interpret. Businesses find it difficult to operate consistently in the face of such flawed legislation.According to an opinion of interested parties, the Ministry of Finance may want to take into consideration combining the regimes of Virtual Zone Person and International company under one status in addition to the requirement of improving the law.Because there is a lot of overlap in the legislation on both statuses, this initiative may appear quite comprehensive at first glance. In particular, in Appendix #2 of the Government of Georgia's Resolution #619 of October 8, 2020, on Determining the status of an international company, and approving the list of permitted activities and certain expenses, the list of types of activities, including points A-O, in the first article contains digital and computer directions, which are identical to the fields of activity of companies with the status of a Virtual Zone Person. However, before making a final decision, it is necessary to conduct a deeper analysis and, most importantly, the collaborative work of state, private sector, and industry specialists, so that the growing direction is not harmed and past mistakes are not repeated.Tax and other benefitsThe issue of tax benefits is different for companies with these two statuses. In the case of International companies, the company has the right to reduce the distributed profit amount taxable by profit tax Annex #3 of the aforementioned decree states that benefits apply to the following expenses:1. Salary expenses paid by a person with the status of international company to a hired citizen of Georgia.2. Expenses of scientific-research, design and experimental-construction services in the field of activity (ies) permitted for an international company.For the status of a Virtual Zone Person, we read in the "Law of Georgia on Information Technology Zones":1. Issues concerning the taxation of a Virtual Zone Person are governed by the Tax Code of Georgia.2. The following shall not be levied:a) tax on the profits earned from supplying outside Georgia the information technologies created by virtual zone persons;b) tax on the supply with VAT outside Georgia of information technologies (ITs) created by virtual zone persons.c) export duties on exporting from the customs territory of Georgia of the information technologies produced by virtual zone persons.3. The expenses, related to earning income from supplying within or outside of the territory of Georgia of the ITs produced by a virtual zone person, shall be deducted from the gross income in proportion to the share of the income earned from supplying the ITs within the territory of Georgia.This law also provides the Virtual Zone Person with the following regulatory benefits:1. Virtual zone persons shall be exempt from any special regulations.2. Virtual zone persons do not need licenses, permits and other regulatory documents to conduct their activities.What happens when statuses merge?In addition to the overlap and similarities, there are significant differences between these two statuses. For example, international status necessitates at least two years of experience to qualify for a tax credit, denying startups the opportunity to begin operations while benefiting from the credit. VZP does not require two-year experience, which has encouraged novice programmers, including those working and interested in this field, to begin working in Georgia, use this status, and choose Georgia as a location for their business activities.The main challenge in the Association of Georgian Virtual Zone Persons is still the clarification of tax legislation, without which only the adoption of a new law or merger will not solve the problems of the companies with the status of VZP, and the risks of fines will remain high.In the Ministry of Finance, the chairman of the VZP Association, Shorena Kopaleishvili, was promised that the agency would definitely be in communication with them and that any decision would be made taking into account mutual interest.Statistics of Virtual Zone Persons and companies with international statusAccording to the data of the LEPL Financial and Analytical Service, in accordance with the Law of Georgia "On Information Technology Zones" and Resolution of the Government of Georgia No. 49 of January 26, 2011 "Regarding rules and conditions for receiving virtual zone person status and definition of virtual zone person status " as of January 1, 2011–August 4, 2023:● The status of Virtual Zone Person was granted to 1204 (one thousand two hundred and four) legal entities;● The process of granting the status of Virtual Zone Person was suspended for 317 (three hundred and seventeen) legal entities;● The status of Virtual Zone Person was refused to 4 (four) legal entities;● The status of Virtual Zone Person was canceled for 59 (fifty-nine) legal entities;● Regarding granting the status of Virtual Zone Person, the case is being reviewed in connection with 7 (seven) legal entities.According to the data of the Service Department of the Revenue Service from October 1, 2020 to August 4, 2023:● The active status of the international company was granted to 105 taxpayers;● A negative response to international company status was received by 46 taxpayers;● International company status was canceled for 6 taxpayers;● In connection with granting the status of an international company, the cases of 11 status-seeking taxpayers are being reviewed.By comparing the data presented, we can unequivocally state that interest in the status of the Virtual Zone Person is currently much higher and growing. It will be interesting to compare the taxes paid by companies with both statuses to the Georgian budget. We will undoubtedly be interested in this information, request it, and share it with all interested parties, which will assist in drawing the correct conclusions from the obtained results.


Basisbank Invests in Construction of New Hotel in Ureki

The completion of the hotel and welcoming of the first guests is scheduled for July 2024. The hotel will be located on the first coast line and will fully serve interests of both local and international visitors.The Alpha hotel will offer its guests a cozy yard, a relaxation area, parking and 24-hour reception service."Our hotel will be located in a tourist spot, and the team of professionals will always take care of the maximum comfort of the guests. Another modern hotel will be added to the Black Sea coast with the partnership between Basisbank and us. All rooms will have modern heating and cooling systems, kitchen, bathroom and other amenities to ensure guest comfort. I would like to thank the Basisbank team for their contribution to the project. I hope that more projects will be implemented in our region, to support the development of the tourism and hospitality sector," said Inga Alpaidze, Manager of the Alpha hotel."Basisbank, as one of the major financiers of business in Georgia, makes a significant contribution to the development of the hotel industry, supporting the construction of hotels across Georgia. Providing funding for these projects is one of the priority areas for the bank, as it promotes the development of tourism and strengthens the construction sector, being one of the key prerequisites for the development of the national economy," said Natia Beridze, SME Banking Division Regional Manager Basisbank.


🎥 Basisbank Partners with INSI on Restoring the National Palace of Stude...

To date, the INSI Company has accomplished 170 projects and works worth up to GEL 500 million. Complete renovation of the national palace of students and youth is one of the special projects.Several phases of the project have already been completed, such as reinforcement of the foundation of the building and restoration of the facades. The roofing was completely transformed and the refurbishment of the interior was completed. Heating, air conditioning and electricity systems have been replaced."Our key priorities include safety on the construction site and execution of high-quality projects in a short and efficient time. Basisbank has been our loyal partner since 2016, and is always by our side in both good and challenging times. We jointly implemented several important projects, such as the complete renovation of Gudiashvili Square and Marjanishvili Avenue, as well as the construction and renovation of six schools across Georgia. We hope that Basisbank will further expand its partnership with us, as a constantly growing company.“ – David Damenia, INSI's CFO, said."Basisbank is a financial partner of INSI. We have jointly implemented a number of important infrastructural projects over the years. Currently, with our involvement, INSI is performing complete restoration of the Student and Youth Palace, one of the historical landmarks of the capital city.As a financial partner, we are more than ready and willing to journey along with INSI supporting their growth and development goals.” Jaba Kasradze, Head of Basisbank’s Lending Department, said.Video story of partnership between Basisbank and INSI 


Solo Grand Hotel was opened in partnership with Basisbank

The complex covers an area of 4000 sq. m. and includes 19 hotel rooms, an outdoor pool and a restaurant. The infrastructure of the complex merges with nature, where there are recreation areas and a playground, which allows guests the opportunity to enjoy a pleasant and relaxing free time.For vacationers who appreciate adventure and creating unforgettable moments while traveling, the hotel offers quad biking and horse riding, as well as visits to unique places in the Tana Valley.“We came up with the idea of building a hotel in 2022, and to bring  this idea to life, we were looking for a reliable financial partner. With the support of Basisbank and within the framework of the “Enterprice Georgia” Program, we have started the construction of a hotel that will create maximum comfort for vacationers and fully utilize the potential of this unique location. As a result, the ”Solo Grand Hotel” is ready to receive guests from July.Basisbank assisted us from the first day, the representatives of the Bank reacted kindly to the idea and saw the potential for business development. I am sure that the guest who already visited us will wish to return to Solo Grand in the future.” Vepkhvia Tinikashvili, Founder of Solo Grand.“Basisbank actively supports the hotel business and the hospitality industry, and one of the clearest examples of this is the Solo Grand Hotel. Building a hotel of this magnitude in the Tana Valley was a challenge for both the Bank and the hotel owner, but we were confident that the project would be a success. I am sure that Basisbank will become a financial partner for even more such projects and will contribute to the development of tourism in the country,” said Giga Kotuashvili, Regional Manager of Basisbank.Video story of partnership between Basisbank and Solo Grand: 


With the support of Basisbank, "Eco Garden" is building a residential...

The Project is located at 11, Bukhaidze str. , it creates a cozy, quiet living space and includes a 10-storey complex in a safe environment with two-level parking, landscaped infrastructure with a green courtyard and a children's entertainment area.The construction process of the project has begun and at this stage 7 floors have been built. The construction of the complex provides for the use of energy-efficient building materials that provide heat and sound insulation. Eco Garden has its own concrete plant. The company itself produces concrete of the highest quality and conducts laboratory tests of the structure. The construction of the complex will be completed in 2024.Eco Garden has been operating in the Georgian market since 2019, and throughout the whole period we have gained a reputation as a stable, reliable company that provides quality construction. Comfortable infrastructure, reasonable layout of apartments, high-quality building materials and a highly qualified team of designers and engineers will distinguish us in the Georgian market. In partnership with Basisbank, in the future we will further strengthen the construction sector in our region." - said Gaga Chkheidze, Director of Eco Garden.“One of Basisbank's priorities is to support the development sector. The implementation of such projects is important for the development of the country's construction sector and strengthening the economy. I am glad that we are cooperating with a company that has high reliability among customers, and in partnership with us, another successful Project is being implemented in the Imereti region, which will have a positive impact on the business environment as a whole." - noted Gigi Gabunia, Commercial Director of Basisbank.


Tegeta emissions are listed on the stock exchange

The main investor of green bonds is the Asian Development Bank, which allocated resources to the holding with this instrument. The mobilized money will be used for the import and sale of light, passenger and other types of electrified transport.The company's debt obligations were refinanced with 150 million GEL.