Caucasus Business Week #182

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February 27, 2017 #182

February 27, 2017, Issue 182 - www.cbw.ge

Currency Expected Influence of Federal Reserve System Decision on Georgia

Pg. 7

Tbilisi Business Hub Mediation, Cheap and Alternative Mechanism for Disputes Resolution Pg. 9

PR Eldar Pirmisashvili: PR Specialists Should Be Educated in Various FIelds Pg. 8

Banking Sector’s Record Profits Banks’ Profits in January Triples Year on Year

Health Minister Criticizes Insurance Companies Health Minister David Sergeenko has criticized insurance companies. However, insurance industry representatives do not agree with the Minister’s remarks. It is the Government’s habit to point fingers to insurance companies, the industry representatives said.

As reported, Health Ministry plans to launch the second phase of reforms to increase efficacy of universal health program. Health Minister David Sergeenko said that accents will be made on quality of services and purposeful spending of budget allocations. Budget allocations are frequently deposited into the pocket of management of provider clinics. As a result, service staff and patients bear losses. The second wave of reforms will start on March 1, the Health Minister said. Representatives of insurance companies are ready to refurbish databases of beneficiaries and transmit information to the state, on the one hand. On the other hand, they do not implement this in practice, the Health Minister pointed out. Insurance companies have financial interests in this situation, Sergeenko added.

Pg. 7

Agro Test Laboratory Capacity in Georgia

Pg. 4

The majority of new challenges that our country needs to address after signing of the EU Association Agreement are related to the agriculture sector. The Deep and Comprehensive Free Trade Agreement (DCFTA) has provided a real perspective for export of the Georgian products to the EU market.

The DCFTA opens for the Georgian products the access to the world’s largest market with 28 countries and more than 500 million consumers. Based on the above, it is of utmost importance to develop a business-oriented agriculture in our country and Georgia to become an exporter of agro-food products with the support of the Government. Agro test laboratory network is well developed as far as considerable resources from state budget and various donor organizations have been invested in recent years to improve laboratory systems in Georgia.

Pg. 9

Newsroom

2 Government

Georgian, Armenian PMs discuss economic cooperation

The visit is the Armenian PM’s first official state visit to Georgia since his election in 2016. During their meeting, the parties discussed the further development of trade, economic, transport, energy and tourism cooperation.

Georgia reaffirms support for Southern Gas Corridor project

The ministers discussed the development process of Shah Deniz Stage 2 – one of the largest gas developments in the world which will help increase European energy security by bringing Caspian gas resources to markets in Europe.

economy

Exports of Motor Vehicles Grew from Georgia to Azerbaijan

65 vehicles are exported in the neighbor country that is 3 times more compare to January of previous year. Export revenue reached $ 2 mln instead of 577 thousand taken in the previous year.

173 Million GEL Investment Implemented in Batumi

173 million Gel investments are implemented in Batumi. As a result, 900 new places in the hotel will be added to the city.

The Ministry of Finance and Economy revealed the information about it.

banking

Supervision of the Financial Sector is Returned to NBG

In 2015, the function has been delivered to other independent legal entity due to the ruling party’s distrust. However, amendments were appealed to the Constitutional Court, but the decision was not made yet.

Banking sector has increased its budgetary contribution 5 times

The figure exceeds 5 times comparing to January, 2016. Banks’ monthly budgetary contribution is on the historical maximum in the state budget. However, previous largest figure – 5.4 mln GEL has been fixed in January, 2014.

business

Fuel Price Not Expected to Fall Below 2 GEL

Company SOCAR is not expecting fuel price to fall below 2 GEL. According to the general director of SOCAR Petroleum Georgia, Levan Giorgadze, they had to increase the price with 20 tetri only because of excise component growth.

We will Make Focus on New Energy Sources in 2017

BGEO Group plans to make focus on wind power generation in Georgia. BGEO will make accents on energy projects, including the group is interested in wind power potential and feasibility studies will be carried out to this end.

company

GIG plans to build a semicoke plant with Polish partners

Construction of semi-coke plant is planned in Tkibuli jointly with Polish partners; the local coal will be used as the raw material.

However, the plant will operate with two lines at the first stage.

February 27, 2017 #182

Georgian government fosters dialogue with business community

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he Georgian Government is continuing its dialogue with local business leaders, introducing them to current and future reforms, and offering a supportive hand to the wider business community as it carries out its activities.

The main directions of Georgia’s economic policy and Governmental initiatives to stimulate business were the topics of discussion at the meeting held yesterday between Georgia’s Economy Minister Giorgi Gakharia and the Business Association of Georgia.

Established in 2009, the association has a membership of up to 70 leading companies in Georgia. The main function of the organisation is to represent to the government and protect legitimate and objective business interests of the member companies.

We are ready to communicate

with them [the business community of Georgia] 24 hours a day. It is crucial for the Ministry of Economy to develop a strong business environment in Georgia and solve the structural problems such as trade balance and attracting foreign direct investments (FDIs) in the country,” said Gakharia.

The Georgian business community talked about the current challenges they face and offered ways how to overcome them.

They were mostly interested in the government’s plans regarding future pension reform and capital market development activities.

In response the minister said an open discussion about Georgia’s pension reform would begin in March.

In the nearest future we are going to complete the draft law. The World Bank and the Asian Development Bank together with other interna-

tional financial organisations are involved in this process.

From March we are going to start open discussions first of all with business associations and later we will then send the draft law to the parliament”, said Gakharia.

The minister believes the implementation of the pension reform will start in 2018.

Meanwhile, president of the Business Association of Georgia Giorgi Chirakadze said the Association is ready to cooperate with the Ministry of Economy in all useful directions.

Business is ready to cooperate actively with the Ministry of Economy to have higher economic growth and to create more work places. It is very important that the minister understand the problems business faces. It is also important to have such meetings in the future as well,” said Chirakadze.

IMF praises Georgia’s tax policy, announces new 3-year program

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he International Monetary Fund (IMF) is pleased by Georgia’s progress in tax policy and revenue administration and has announced a new, three-year, large-scale technical assistance program for the country.

The authorities from the IMF visited Georgia’s capital of Tbilisi yesterday where they met the country’s Finance Minister Dimitry Kumsishvili and discussed the details of the future program.

The IMF positively assessed its cooperation with the Revenue Service of Georgia and the country’s authorities.

We have worked [with the Government of Georgia] in the area of tax policy, in the area of revenue administration, public financial management and

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expenditure policy. We have been extremely pleased by the very constructive engagement of the Georgian authorities who always listen quiet carefully to our advice ...and they have implemented the program in quite an effective way”, said Director of the Fiscal Affairs Department of the IMF Vitor Gaspar after the meeting with Georgia’s Finance Minister Dimitry Kumsishvili yesterday.

Within the next three years the IMF will assist Georgia’s Revenue Service in the following directions: To improve revenue administration; To help effectively implement the regulations of the Association Agreement (AA) signed between Georgia and the European Union (EU);

To help the Revenue Service establish a status of stable and reliable business partner.

Georgian Finance Minister also met an Alternate Executive Director at IMF Richard Doornbosch yesterday, who visited Georgia for the first time.

Georgia’s economic indicators and the ongoing fiscal and structural reforms was one of the major topics of discussions.

The IMF has been providing multiple technical services in various fields to the Revenue Service since 2012 within the framework of its fiscal mission. These services includes declaration, debt management and recovery, risk management, dispute resolution, legislative changes, audit reform, taxpayers service, voluntary compliance and tax administration.

Editor: Nutsa Galumashvili. Mobile phone: 595 380382 Reporters: Medea Samkharadze; Mariam Kopaliani; Merab Janiashvili Designer illustrator: Ilia Chrelashvili. Technical Assistant: Giorgi Kheladze

Source: www.commersant.ge, www.bpi.ge, www.gbc.ge, www.agenda.ge, www.civil.ge

February 27, 2017 #182

publicity

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econo-mix

Beeline appeals to the Government to make the consolidated tender transparent and open

Banking Sector’s Record Profits

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Banks’ Profits in January Tripled Year on Year

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Merab Janiashvili Economic Analyst

It should be noted that several factors precondition a growth in profits in the banking sector and a record upturn in T-bill is one of these factors.

Since 2012 internal debts increased considerably, after the state budget borrowed financial resources from commercial banks through T-bills instrument

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ccording to National Bank of Georgia (NBG), in January profits of the banking sector made up 58.8 million GEL, up about three times compared to January 2016. The banking sector’s profits in January 2016 marked 20.1 million GEL, in January 2015 – 15.8 million GEL. The Georgian banking sector registers 16 commercial banks, of which 13 ones ended the period in profits of 59.6 million GEL. It is worth noting the banking sector’s profits are lower compared to December 2016, but the sector’s profits were always significant at the end of a year. For example, in December 2016 banks’ profits made up 112.5 million GEL, in December 2015 – 84.5 million GEL and in December 2014 – 93.2 million GEL. In the first month of the same years, the banking sector’s profits were 4-5 times lower compared to indicators of the last month. If the banking sector maintains the current paces of making profits, then the indicator is expected to exceed 200 million GEL at the end of 2017.

«The Georgian banking sector is a leader in terms of profits in Europe. Two indicators of profitability exists that are reflected in the global report on financial stability. The global report is published by International Monetary Fund (IMF). These indicators are – Return on Assets and Return on Equity.

According to return on assets, Georgia’s commercial banks rank second in Europe (18th in the world), while the sector ranks third in Europe in terms of return on equity.

Extreme upturn in profitability of Georgiabased commercial banks started in 2013, when the sector’s profits increased by 2.5 times compared to 2012. The growth was the result of not increased crediting of business sector, but excessive upturn in crediting of retail sector and household economies. This issue was explored by Development Bank of Germany and the Finances and Management School of Frankfurt. The document reads: «Georgian banking sector makes slight contribution to economic growth. It finances consumption and forgets small and medium business sectors, especially in non-urban settlements». Development Bank of Germany makes focus

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eeline appeals to the Government to make the consolidated tender transparent and open. In conversation with InterPressNews CEO of Beeline Giorgi Tkeshelashvili said there should be a transparent and open environment at the tender, and the government agencies shall themselves decide, which operator they want to have relationship with.

“The position of our company lies in the fact that the environment of the consolidated tender must be transparent and open. The more open spaces, the more benefits for consumers, i.e. people working in the public sector, the government directly, and three operators. The tender environment has always been closed, and due to various circumstances, only two out of three operators were involved in it. We believe that today there are no obstacles to allow all three operators to participate in the tender. It is important to notice that the environment must be open and competitive. I’m absolutely sure as soon as competitive environment is created, absolutely everybody will benefit from it and nobody will lose. We appeal to everyone to conclude duopolistic situation and make it free. It turns out that today there is absolutely free and healthy competition among 90% of other players of the market and as for the another 10% there is limited environment. The government agencies shall decide which operator they want to have relationship with. Maybe someone will choose one operator, or two, or will distribute for three, but the number of uses shall not be limited.

We do not want someone to have more possibilities and advantages than others. We wish everyone to have equal terms in a field, as it is normal for the country’s development. There was a very nontransparent situation on a declared tender where two companies abstained from participating, but the third one took part in it and was blocked”,Giorgy Tkeshelashvili said. “Beeline” has appealed against the protocol of Public Purchasing Agency for disqualifying the company from consolidated tender, which was called for corporate purposes by the state structures. As for the CEO of Beeline, the court is scheduled for March 30, but before that we assume that a new tender will be announced. While the judicial process is run over time. “Beeline” calls for the Government to make a new tender transparent and not to artificially block anyone.

“We have appealed it and the court is scheduled for March 30. We think that a new tender will be issued while the judicial process is run over time.

We call to make a new tender open, transparent and accessible for everybody, and everyone should be able to take part in it. We are afraid of any limited factors which can be introduced in such condition, where only one company is blocked. We can find any artificial factor at all companies, which can block “Beeline”, “MagtiCom” and “Geocell”.

We appeal to the organizers of the tender not to specify the companies that can participate in it. All companies have to take part in the tender and only consumers could choose. There should not be any artificial limits”, - Giorgi Tkeshelashvili added.

As for the CEO, the company has been excluded from consolidated tender due to 3G license which Beeline purchased in late 2016.

“We received 3G license at the end of previous year.

In December 2016 we launched a test network and from January we have been actively switching base stations. The base is expanding every day. 3G is an old technology, and I am wondering why they emphasis on that because today 4G technology covers the entire country and we are going to start testing 5G technologies from 2018, and don’t understand why they address the old technology.

We very actively make this old technology,” Giorgi Tkeshelashvili said.

According to Tkeshelashvili back office of Beeline called for international organizations to draw attention to the current circumstances. “First of all giving consumers right of choice will make them satisfied. We know our capabilities; we have the best offers on the market. We are confident that we are able to offer even better conditions to state officials.

They shall themselves decide whether they want or no these offers. Our head office which is located in Amsterdam, asked international organizations to draw attention to the current affairs, They also appealed to the Ambassador of Georgia in the EU. These messages will be sent one more time and plea for transparent process, Mr. Tkeshelashvili noted.

Mobitel” LLC (Beeline) did not win in the consolidated tender issued for corporate service of the state structure. According to the information on web site of Public purchase agency, tender finished with negative result and “Mobitel” LLC was disqualified due to technical documentation.

For its part, National Communication Committee informed Public purchase agency that in its opinion currently “Mobitel” LLC does not meet the tender requirements in part of 3G/UMTS technologies service.

February 27, 2017 #182

on high interest rates on GEL-denominated loans and states that in Georgia «loan margin in the domestic currency is twice higher than in Ukraine, and makes up 265% of the margin in Armenia (June 2005)», economic expert Mikheil Dundua said.

It should be noted that several factors precondition a growth in profits in the banking sector and a record upturn in T-bill is one of these factors. Since 2012 internal debts increased considerably, after the state budget borrowed financial resources from commercial banks through T-bills instrument (2.185 billion as of January 31).

«Over the past years generation of revenues at the expense of budget deficit has become an ordinary business for commercial banks. Acquisition of high-rate securities from National Bank at comparatively low interest rates in the form of refinancing loans (the so-called budget monetary financing scheme) and placement of them into their own assets plays considerable role in growth in profits of commercial banks», economic expert David Aslanishvili said.

It should be noted that over the past years Georgian economic growth narrows year to year. Despite this, the banking sector’s profits grow at cosmic paces. Economists frequently note that the banking sector is en engine of economy, but this cannot be said in relation to the Georgian banking sector.

Enormous profits of the Georgian banking sector is the result of GEL devaluation, on the one hand, because a major part of loans are denominated in foreign currency. Consequently, commercial banks have received additional revenues after GEL depreciation. At the same time, the so-called Loan Larization Program is a subsidization of commercial banks and nothing more. In the event of conversion of loans, clients have to pay higher rates for credits, even more so amid GEL rate depreciation loan service conditions have worsened. Moreover, budget allocations for subsidizing loans by 20 Tetri directly flow to commercial banks and creditors receive more benefits from it than borrowers. As a result, the banking sector’s profits grow, while economic growth narrows year to year.

“Today, on 22th of February, at the auction of state securities I bought one (1000 Gel) 5-year security. The process is simple: The bank where I have an account, gave me a general agreement concerning brokerage service of state securities in Georgia, the agreement of keeping securities and registration. I can also answer to the opponent who will say that the president of National Bank would not have a problem in this process, but I hope it won’t be difficult for anyone. If you try it and have problems, inform the National Bank about your experience”.

Koba Gvenetadze

President of National Bank of Georgia

February 27, 2017 #182

Interview

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Insurance

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February 27, 2017 #182

Health Minister Criticizes Insurance Companies

ealth Minister David Sergeenko has criticized insurance companies. However, insurance industry representatives do not agree with the Minister’s remarks. It is the Government’s habit to point fingers to insurance companies, the industry representatives said.

As reported, Health Ministry plans to launch the second phase of reforms to increase efficacy of universal health program. Health Minister David Sergeenko said that accents will be made on quality of services and purposeful spending of budget allocations.

Budget allocations are frequently deposited into the pocket of management of provider clinics. As a result, service staff and patients bear losses. The second wave of reforms will start on March 1, the Health Minister said.

Representatives of insurance companies are ready to refurbish databases of beneficiaries and transmit information to the state, on the one hand. On the other hand, they do not implement this in practice, the Health Minister pointed out. Insurance companies have financial interests in this situation, Sergeenko added.

Because of invaluable databases, about 1 million GEL budget funds are spent without transparency. The Health Minister supposes that these finances are deposited into insurance companies. That’s why the private business is not interested to specify databases, Sergeenko noted.

“Representatives of insurance industry, not the whole industry, but its representatives, verbally or in written form, showed readiness to renew databases, but, in reality, they have not performed the promise. Their words and affairs differ from each other very much.

According to our estimations, the existing non-transparent system absorbs about 1 million GEL from state budget a month. Nothing is lost in nature and these millions are not lost either and I suppose these finances are deposited onto accounts of several insurance companies. The longer the existing status-quo lasts, the more millions will be lost. Insurance companies make financial benefits of this situation and despite their official statements for discussions, consultations to make everything transparent, in reality, they temporize the process, because 1 million GEL is an impressive revenue for a month”, Sergeenko noted.

Under the reformation project, fulfillment of three criteria (attainability, price and quality) will be controlled strictly, Sergeenko said.

“On the one hand, we are obliged to carry out reforms in continuous regime. The announced second wave of reforms is called the second wave conditionally, but this is the chain of reforms. On the other hand, we are obliged to make proportional influence on three key components in healthcare sector – attainability, price and quality”, Health Minister David Sergeenko noted.

A special group will be created to explore purposeless spending at medical facilities to the

detriment of patients’ safety. All responsible bodies will be called to account, the Health Minister said: “A workgroup will be created to monitor outcomes of health reforms. We have taken this decision, because control of health costs is very difficult. For example, in the USA MedicAid-MediCare administration applies to financial department of Federal Bureau of Investigation every year and FBI carries out investigation activities.

Despite there is so huge administrative instrument in the USA for healthcare sector – every year FBI’s financial department exposes aimlessly-requested funds of 0.5-1 billion USD. We will arrange analogical service in Georgia too. This structure was shaped last week and it will make medical facilities return funds requested without purpose. We will call to account medical facilities or specific employees in the event of criminal signs detection”, David Sergeenko said.

The Caucasus Business Week (CBW) has inquired the position of insurance companies regarding the Health Minister’s statements.

Devi Khechinashvili, head of Georgian Insurance Association, says that insurance companies has no relation to the universal health program money. Consequently, it is unclear what the Health Minister implied. There is no relation between insurance industry and universal health program, he said.

Before the February 9 resolution, unfortunately, there were no legal grounds, under which insurance companies would transmit personal databases to Health Ministry. When the Government ensured the mentioned legal basis, the Ministry received the due databases in 5 days, Khechinashvili noted.

«Transmission of personal information is a regulated issue. For many years we used to suggest them to create due legal environment.

They have created it now and no problems exist any more. This is their habit to point fingers to insurance companies», Khechinashvili noted.

According to his statement, under the new amendments, hundred thousands of citizens will lose access to universal insurance and inbuilt insurance products. This signifies that people will not be able to cover catastrophic risks. Objective of the government is to insure citizens, but the real practice is very bad, unjust and inefficient, Khechinashvili said and added that insurance packages will rise in value by about 10-20%.

He noted that it is impossible to save budget funds through separation of private insured beneficiaries from universal health program.

«There are beneficiaries, who enjoy inbuilt insurance packages. This category did not have private insurance in 2013. Later, they joined the state program and then bought products from private insurance, which were

not financed by universal health program. Citizens with such corporate insurance packages account for about 100 000. This category will have only inbuilt insurance services that do not enable to cover hospitalization component, in practice. Inusrance companies will offer them to revise conditions to either make products more expensive or worsen conditions. Making package more expensive will promote the industry, but I believe that a part of beneficiaries will reject similar offers and they will prefer to accept worse conditions. At the same time, we have about 30 000 persons, who enjoy individual insurance. About 70% of these beneficiaries will face the following dilemma: they will lose universal insurance and maintain only additional component, but unlile corporate beneficiaries, no insurance company will offer better conditions to them, because this category represents a risk group.

Thus, separation of universal health program and private insurance package cannot save budget funds», Devi Khechinashvili said.

Government of Georgia should explore the project anew and make certain amendments into it, he added.

«Amid discussion of an open platform, it was not necessary to adopt this resolution.

Somehow or other about 3 million citizens in Georgia are involved in universal health program. Today part of them buys inbuilt products and I think the government should maximally promote this process. If this resolution remains unchanged, then no inbuilt product will exist in Georgia. 3 million persons will have only universal program and they will have to cover all other services from their own pockets. It is necessary that Government meet with private sector and revise the resolution. This should not concern individuals, beneficiaries of inbuilt component and so on», Khechinashvili said.

Giorgi Gigolashvili, president of Georgian Insurance Institute, refrained from making comments on the statement made by Sergeenko in relation to insurance companies.

However, it is indisputable that every person in Georgia must be registered, he said. The Government must know, who uses this or that program – insurance policy or universal health program. Moreover, in case of separation, private insurance beneficiaries must have guarantees that they will return to universal health through full coverage, by base package.

According to Gigolashvili’s statement, the faster uninsured persons are included in the universal health program, the better and efficient results we will receive.

«The policies should not narrow coverage for universal health program for those beneficiaries, who own insurance policies of insurance companies and at the same time, have withdrawn from universal health program. This is optional and beneficiary may buy cheap package, but the state sector is to

supply due information to beneficiaries about what the universal program was covering and what they will receive as part of new policies», Gigolashvili said.

According to his information, if bodies without private insurance return to universal health package without problems, then their rights will be protected, he said.

«There is nothing revolutionary and this was a natural continuation of processes», Gigolashvili said.

Dimitri Khundadze, first deputy chairman of parliament’s health committee, noted that the legislative body had achieved agreement with insurance companies that they would supply databases to the Parliament.

«They pledged and, at a glance, they gave consent, but they have not taken practical steps. We have not ceased communication with them. We met with them several weeks ago. They introduced a presentation, which was unclear for me. The Authorities will be responsible to finance target groups that are not able to take healthcare costs. Naturally, in target groups differential approaches will be carried out on the ground of co-financing principle. We will set margins for those, who have revenues. Above this margin, health insurance will be obligatory and after this the Government may apply the principle of differentiated co-financing», Khundadze said.

Four years have passed since introduction of universal healthcare state program. In 2013 the universal health program was applied to all citizens of Georgia, who did not use other health insurance package. Objective of the program was to grow accessibility of population to medical services and to cut citizens’ costs on healthcare.

Before 2013, health insurance state program were implemented by private insurance companies, while universal health program is carried out by Social Service Agency and private companies are not involved in it. Consequently, insurance-related financial risks come on state budget.

Universal Health Budget Statistics of the past years shows that the Government cannot curb universal health program expenditures and the program’s plan budget grows on annual basis, however, over the past 3 years, the budget turned out insufficient.

The 2014 program budget constituted 200 million GEL, however 338 million GEL was spent. The 2015 program budget increased to 470 million GEL. However, at the end of the year additional 100 million GEL was spent. In 2016 universal health program budget made up 570 million GEL, but even this sum turned out insufficient and according to state treasury indicators, 681 million GEL was spent in the reporting year.

As to the year of 2017, the universal health program budget makes up 660 million GEL.

Currency

February 27, 2017 #182

Whether USA Monetary Policy will Be Tightened Expected Influence of Federal Reserve System Decision on Georgia After assembly of Federal Open Market Committee, the Federal Reserve System head Janet Yellen released a statement on growth in federal funds rate. The monetary policy interest rate is an important monetary instrument in hands of the US central bank. This instrument is applied for creating stable economic growth conditions.

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rowth in federal funds rate signifies that short-term back-toback loans between banks will be more expensive; And this will make influence on loans issued to families and business companies.

Change in short-term interest rate makes influence on longterm interest rates too, such as rates of mortgage loans and securities. In its turn, change in long-term rates corrects value of property and capital.

“Our companies cannot compete with Chinese imports, because our currency is excessively strong. This kills our economy”, the US President Donald Trump noted in his interview to the Wall Street Journal.

This interview resulted in USD depreciation. Namely, USD index (DXY) declined by 1.2%.

This index expresses steadiness of USD in relation to main partner countries of the USA. Shortly after this statement, USD depreciated in relation to key trade partners: Great Britain – GBP strengthened by 2.3% (presumably, Theresa May’s speech inspired the currency strengthening, when she introduced BREXIT action plan). This upturn was the major extreme growth for a day after 2008. As a result, 1 GBP totaled 1.233 USD; Russia – Ruble strengthened by 1.1% and 1 USD totaled 59 Rubles; EU- EURO strengthened by 0.8% and 1 EUR totaled 1.06 USD; Mexico – Mexican Peso rose by 0.6% and 1 USD equaled to 21.6 Peso.

Japan – Japanese Yen grew by 0.7% and 1 USD totaled 113 Yen; Gold price went up by 0.9% and the price of one ounce made up 1.213; Crude oil rose in value by 1.2% and the price of one barrel made up 56 USD. FED’s decision to tighten

monetary policy makes USD expensive. On December 14 FED raised monetary policy by 0.25% to 0.75% point. As a result, USD exchange rate strengthened more on global level.

The Banks & Finances has interviewed experts and analysts about what Georgia should expect from tightening the US monetary policy.

Paata Sheshelidze, head of New Economic School Georgia, asserts that stricter monetary policy of the USA will bring nothing alarming for Georgia. He urges National Bank of Georgia (NBG) to take adequate steps in relation to the mentioned processes.

“Refinancing loan is a shortterm loan with and its maturity period in Georgia lasts one week, while in the USA the maturity period makes up 24 hours. In most cases, when refinancing loan interest rate rises, naturally, banks show less interest in borrowing money. Consequently, if it is not oriented on money mass reduction, growth pace will decline anyway. This factor generates multification in market rates and, as a rule, money rises in value. Much demand for USD strengthens its exchange rate, but this does not signify that GEL will be depreciated in relation to USD inevitably, because NBG is able to take certain decisions. We see that arguments such as LARI devaluation enhances exports and so on do not work. The national currency devaluation has grown into a system crisis over the past years, however, exports have not increased anyway. Stability is of crucial importance for GEL exchange rate. When integration aspects are considered on international markets, USD is important here, because it is the instrument of exchange. Consequently, strong exchange rate in relation to USD is very important for Georgia. If we maintain

strong exchange rate, business will be able to develop without shocks and pressure. Some changes in the USA cannot bring alarming outcomes for Georgia”, Sheshelidze said.

Economist Vakhtang Khomizurashvili, vice president of Tbilisi Interbank Currency Exchange, says that Trump’s economic policy aims at making USD cheaper and FED’s decision to tighten monetary policy cannot make any influence on Georgia.

“I do not know how much monetary policy rate will rise in the USA. Anyway, if the monetary policy rate goes stricter, we should expect USD to strengthen in the USA, while Trump follows

Much demand for USD strengthens its exchange rate, but this does not signify that GEL will be depreciated in relation to USD inevitably, because NBG is able to take certain decisions.

We see that arguments such as LARI devaluation enhances exports and so on do not work. other economic policy for making USD cheaper. At this stage, we should expect USD to grow, because, if the FED makes loanissuing terms stricter, this will inevitably strengthen USD, but this decision cannot make influence on Georgia, because our integration in global economy is unimportant. We expect no affects in finance system, in general”, Khomizurashvili noted.

For the purpose of recovering from global financial crisis outcomes, over the past years the USA has carried out cheap money policy. In June 2006 monetary policy rate made up 5.25%. Since then the Bank was reducing monetary policy rate systematically. After the 2008 financial crisis, FED lowered the interest rate to almost 0%.

Starting the second half of 2014 it became clear that the USA had recovered from the crisis and it was not necessary to maintain softened monetary policy. The FED started tightening monetary policy at the end of 2015.

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Whether GEL Overcomes Crisis What Factors Strengthen Georgian National Currency

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major part of experts and analysts expected that the GEL exchange rate would depreciate further in January-February 2017, but the situation went in opposite direction and the Georgian national currency recorded strengthening tendency. As a result, 1 USD equaled to 2.6429 GEL as of February 17, after seeing the bottom of 1 USD against 2.78 GEL. There were several factors promoting the GEL exchange rate enhancement.

Namely, volume of money transfers rose by 26.1%. In January 2017 money transfers to the country made up 83.9 million USD, that is 226.7 million GEL, up 26.1% (+17.4 million USD) as compared to January 2016.

Ratio of ten major donor countries with more than 1 million USD money transfers to Georgia made up 88.6% in January 2017. The ratio was 86.2% in January 2016.

According to National Bank of Georgia (NBG), four EU member countries are recorded among Georgia’s ten major donor countries.

Russia – 26.5 million USD Italy – 9.6 million USD USA – 9.3 million USD Israel – 6.4 million USD Turkey – 6.3 million USD Spain – 2.1 million USD Germany – 2 million USD Ukraine – 1.5 million USD Azerbaijan – 1.3 million USD. According to the NBG information, in January 2017 money transfers from Georgia abroad constituted 13.4 million USD (36.1 million GEL), as compared to 11.9 million USD in January 2016 (29 million GEL).

Increased exports has also fostered GEL exchange rate strengthening in January.

Year on year growth marked 48%. At the same time, year on year growth in foreign trade constituted 22% in January 2017.

Geostat, the national statistics service of Georgian, has published a preliminary report for January 2017, under which in January 2017 Georgia’s foreign trade turnover (without undeclared trade) made up 651 million USD, up 22% year on year, including exports constituted 177 million USD (up 45%) and imports marked 474 million USD (up 15%).

Negative trade balance in January 2017 made up 298 million USD, 46% in foreign trade turnover.

GEL exchange rate is

strengthening thanks to reduced money mass in turnover and restrictions on refinancing loans. As of December 31, 2016, the turnover recorded 2.999 billion GEL, while as of February 16, 2017 the volume fell to 2.821 billion GEL. Money mass has reduced by 178 million GEL since January 1, 2017.

Following these processes, the main factor is to restrict deficit spending of the budget. When deficit spending grows, GEL exchange rate falls, but when deficit spending narrows, the GEL exchange rate strengthens. In February 2017, an absence of budget deficit spending promoted exchange rate strengthening trend.

However, balance has slightly shaken. From February 10 to February 15, as compared to February 16, a total volume of refinancing loans rose from 1.058 to 1.200 point. As a result, we have received a slight change in exchange rate in the direction of devaluation.

According to assessments of specialists, GEL strengthening depends on the attitude of NBG towards refinancing loans. Meanwhile, NBG prefers to keep silent, however, tightened monetary policy and messages about expected new tightening of monetary policy rate will further strengthen the GEL exchange rate.

The Government shows optimism, but specialists appraise the existing situation from more realistic positions. It is worth noting that the month of January 2016 recorded a low exports volume (122 million USD).

Thus, comparison to the 2016 indicators cannot be considered as much success.

“As compared to January 2016, even small changes are evident. The month of January is less appropriate for determining long-term tendencies. Naturally, growth is better than slowdown. It is early to talk whether this tendency will be maintained in the future or not”, Soso Archvadze, doctor of economics, noted.

Exchange rate changes will depend on macroeconomic factors too. However, we should take into account that the 2017 budget is planned at 2.50 exchange rate and we have strong arguments that the exchange rate will rise by several points again.

PR

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February 27, 2017 #182

Interview with Eldar Pirmisashvili, Founder of Peritus Group Strategic Communications Agency and PR Consultant

“I think PR is wider established in Georgian reality and it becomes an important and valuable direction for business and public and NGO sectors”

PR Specialists Should Be Educated in Various Fields - What are you by profession?

- I am a specialist of public relations. I have completed BA, MA and doctoral studies in the field of PR and communications. I have also passed twelve various communication training courses in Barcelona, Turin and Bucharest.

- Your first job place.

- My career started as part of probation probation at PR department of the global brand Coca-Cola Bottlers Georgia. I was a fourth-year university student, when Coca-Cola announced program – Your Turn to Change the World. The company asked universities to involve successful students into the program. Then I continued my career Prime Europe, Youth Association of Europe.

This was a good opportunity for developing people in PR and communications field. From this organization I visited various cities of Europe and passed very interesting training courses. As part of this organization we received World Bank’s small grant for developing a youth portal.

- Current job and position - Currently, I work for Peritus Group (peritus.ge) strategic communications agency. I am a founder of this organization and PR consultant. This is not a businessoriented organization. Objective of our organization is to develop PR field and improve PR services. Since 2008 we have been assisting international and business companies in shaping image and reputation and this is an important aspect of PR. I am also involved in providing PR consultations for various organizations and conducting lectures at universities.

- Your first success.

- My success started at university, where we shaped a very interesting group of enthusiasts. This group continues developing PR field even today. I was 27 when finished doctoral studies and received doctoral degree and status of a professor. Jointly with my friends, I created PR consulting organization and wrote book «10 Steps for Developing PR Plan». This book continues assisting many organizations and PR specialists in shaping an organization strategy.

- Your business, project that you take pride in even today.

- I have implemented many and very interesting projects and I love almost all of them. I would name three of them: breast cancer prevention campaign, which I joined in 2008 and we carried out many interesting initiatives and campaigns; UN gender equality campaign – it is still continued. My mission was to prepare campaigns, upgrade awareness and ensure efficient cooperation with media and coverage. Attained goals

“

We need better results.

Universities are developed and their programs, interesting training courses are developed to receive fundamental knowledge, but foreign education is also important and valuable.

is the most interesting factors in this process, when you guess that something changes to the positive and you have contributed to this success. This is a very pleasant moment.

I would also name the website www.prweek.ge that was created for PR development in 2006 by MA degree students of PR faculty. We started developing the mentioned website in 2006. In that period our society was not ready for similar information platform, but now the situation has changed and PR is popular and everybody is interested in PR informations. We plan to further develop this direction.

- Field where you would never work.

- I work for a consulting company and we implement projects in various fields, including healthcare, development sector, banking and all of them are very interesting. Therefore, I think there is no field, where I would never work.

- What factors make a person successful in your field? Besides knowledge, what special features are required?

-First of all, we should define what the success is. Some people think that having a good job is a success, others give preference to wealth and social status. Not only knowledge is required, but also professionalism and interesting personal features, ability of personal intercommunication and proper assessment of situations and planning. Finally, without consecutiveness and regularity, it is difficult to attain important results.

- Is it possible today in Georgia to study PR very well or international knowledge and experience is required?

- PR field requires education in various fields. If we compare the current situation to the period 10 years ago, we have made real progress, but this is not sufficient. We need better results. Universities are developed and their programs, interesting training courses are developed to receive fundamental knowledge, but foreign education is also important and valuable. I always say that if you want to work in Georgia, you should know Georgian reality and existing public attitudes.

- Is PR perceived and understood in Georgia in its classic form?

- I think PR is wider established in Georgian reality and it becomes an important and valuable direction for business and public and NGO sectors. In general, PR has negative connotation in wide society, but professional circles understand its importance and influence. In our country a major part of PR is related to relations with media and this practice changes gradually, because PR field is more diverse.

Nobody asks in the world whether PR is necessary. They

just analyze how to apply it. Refusing PR technologies may be compared to refusal of food and water, because PR is as important as food and water for life.

- How simply do you manage to settle crisis situations and take decisions?Do you think emergency situations affect working process quality?

- It is a very difficult task to manage crisis and settle emergency situations. It requires huge competence and experience, because communicative crisis situations create threat to company image and reputation mainly.

In emergency situations I analyze real grounds of crisis and I divide them in parts, then involve interested bodies and plan effective communication. Emergency situation may be destructive and on the contrary, useful, because frequently we cannot see problem in advance. Foreseeing problems in advance is an important function of PR in similar situations.

- Interesting episode from your life or business that has changed your life?

- I love my profession very much and my business. When I graduated secondary school, my friend gave me the book by Sam Black - What PR Is. This book changed my life and having read this book I decided to study PR and become a PR specialist.

- Without this profession, which field would you work in?

- I would be a good journalist, good teacher (I am involved in teaching activities even currently) and a good psychologist.

- What are strong features of you, as a businessman?

-Devotion, competence, analytical skills and positiveness.

-What does your employer company give you?

What makes it interesting for you?

- It gives me huge motivation and opportunity for development.

- What makes major discomfort in your working process?

- Postponement and protraction of projects and affairs and missing deadlines.

- Where do you see yourself after 20 years?

- I will be involved in larger international projects and consultations, Peritus Group strategic communications agency will be a global and leading company in PRconsulting field. Our communication training center that we call Bernays PR college, will be an important place for PR education. I will share my experience to all interested bodies and organizations. Supposedly, I will also write several books.

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February 27, 2017 #182

agro business

Agro Test Laboratory Capacity in Georgia Business Consulting Company

irakli chikava Director

T

Shorena Chumburidze Tbilisi Business Hub lawyer

Mediation, Cheap and Alternative Mechanism for Disputes Resolution

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bilisi Business Hub is fully oriented on businessmen and their needs. Our services enable you to maximally save money, time, which a contemporary individual lacks for, most of all. Mediation is among our services, that, according to the world practice, is the cheapest and fastest way for disputes resolution. Therefore, we are interested in mediation process. We asked Tbilisi Business Hub lawyer Shorena Chumburidze to explain the nature of mediation mechanism.

Today, mediation is one of the widespread mechanisms for conflicts settlement worldwide, but in Georgia this mechanism is less developed. And this is a surprising fact, taking into account Georgia’s unique historical heritage in this field, as well as the oldest forms of trials and courts, when a mediation court used to play an important role in procedural activities, on the ground of ordinary legal norms.

Mediation was the most frequently practiced mechanism in highland Georgia and it was expression of conscience, honesty, wisdom and quite high legal thought. Mission of mediation court was to prevent conflicts and revenge and resolve all disputes between parties by agreement.

Mediation court’s decision was to be satisfactory and just for both parties. Because of this factor, arguing parties used to trust disputable issues to mediation court for resolution.

As noted, today a major part of civil disputes in European countries and the USA is resolved through mediation.

Statistics clearly shows that 80% of all disputes, where mediation is involved, ends in full agreement and far less time and financial resources are spent. Based on the abovementioned, mediation mechanism has become an important part of legal system and culture.

In General, 40-50% of civil disputes in European countries are settled through mediation, while in the USA only 5% of civil disputes are transmitted to court system.

It is worth noting that in contemporary Georgia certain progress is recorded in this respect and rich historical experience and knowledge is revitalized. For example, on January 1, 2010, a new law on arbitration was enacted, which, despite some shortcomings, corresponds to universally recognized international standards in this field. Moreover, amendments were made to the Civil Procedural Code on December 20, 2011. As a result, court mediation practice was introduced in Georgia.

In general, international doctrines and practice includes mediation courts and nonjudicial forms. Our national legislation has

recognized both forms: in court mediation, according to amendments to civil procedural code of Georgia, the court gives recommendation for discussions through the case mediation. A mediator is appointed by court. An appeal is submitted to the court, first of all.

After submission of an appeal to the court, case that is subject to court mediation may be transmitted to a mediator for the purpose of finishing the dispute by agreement, while in nonjudicial mediation, mediation process proceeds out of the court and the parties agree to resolve dispute through mediation process. To this end, the Parties select an authorized body. In this instance, the dispute has already arisen and the parties strive for dispute resolution, not for legal settlement of the dispute.

According to amendments to the law on Notaries, such an authorized body may be a notary that will act as «a mediator between arguing parties».

I think notarial mediation is the most interesting practice in this respect – an idea has been established in national legislation through introduction of a new form of enforcing justice, based on the principle of equality of the parties.

In this situation the principle Everybody is Equal” is applicable. Notary is not obliged to make parties aware of legal foundations of the dispute, give advices or talk about available legal outcomes. In this case a goodwill of acting Parties is considered to be a higher category, which is expressed in the choice of parties to resolve the dispute by agreement.

The latter mechanism has more advantage than legal resolution of a dispute. Therefore, the Parties bear risks of undesirable legal sanctions that may be caused by available agreement act.

In general, European doctrine is based on the same idea, when it interprets mediation as a procedure based on free will of the Parties, and shifts process completion outcomes onto responsibility of the Parties and this is expressed in choice of the Parties to resolve the dispute by agreement.

Liberalization of mediation process is also very interesting, actual freedom that is not subjected to ordinary legislate frameworks.

What does a withdrawal from legal frameworks mean? The point is that the mediation process is neither a legal proceeding nor court proceedings, where decisions are made on the ground of legislation. As noted, it is mainly oriented on results – for resolution of the so-called dispute, when arguing Parties are not interested in legal grounds of the demand and entirely rely on their own opinion that provides more leverages for

flexible decisions amid established norms.

However, it should be also noted that a mediator is authorized to refuse issuing an agreement act if the agreement contradicts public order that rules out, despite a withdrawal from legal frameworks, availability of violation of interests of any party.

It should be also noted that an additional positive aspect of notarial meditation is that an agreement achieved by the Parties as a result of mediation is confirmed by notarial regulations, while in the event of non-fulfillment of obligations, a notary’s order of enforcement is issued upon request of a creditor. Based on this document, enforcement activities are carried out under Georgian law on Enforcement Proceedings and this procedure does not require additional trial that sometimes proceeds endlessly., Naturally, all information on the mediation process is confidential and the mediation process participants must not divulge this information. In some countries, violation of this obligation is punished by a fine. It is inadmissible to interrogate a mediator on similar issues.

Mission of justice and law is to resolve disputes between individuals according to regulations that are recognized and established by the state and society in advance.

The court, which is a constitutional institute for implementing justice, is not an only and the best mechanism for legal resolution of disputes.

Alternative mechanisms for disputes resolution includes any other forms, besides court proceedings.

Over the past decades the increased costs on court and legal services make legal various legal systems and traditions to seek cheaper and more efficient ways that would alleviate the process, on the one hand, and ensure real resolution of the existing disputes, on the other hand.

Mediation is the mechanism that can provide huge assistance to civil justice if its legal regulation and employment practice will be tailored to the existing experience and standards of the developed world. All the abovementioned enables to think that it is more efficient that disputes be resolved by specialists of such fields as defense lawyer, auditor or body of other profession, whose knowledge is closer to the disputable subject.

Even more so, if it is possible to receive service of these people in the form of a team, where professionals of all fields participate together, it will make the mediation institute more flexible and desirable as the cheapest and best alternative mechanism for disputes resolution.

he majority of new challenges that our country needs to address after signing of the EU Association Agreement are related to the agriculture sector.

The Deep and Comprehensive Free Trade Agreement (DCFTA) has provided a real perspective for export of the Georgian products to the EU market. The DCFTA opens for the Georgian products the access to the world’s largest market with 28 countries and more than 500 million consumers.

Based on the above, it is of utmost importance to develop a business-oriented agriculture in our country and Georgia to become an exporter of agro-food products with the support of the Government.

Agro test laboratory network is well developed as far as considerable resources from state budget and various donor organizations have been invested in recent years to improve laboratory systems in Georgia.

There are governmental and private laboratories operating in the country.

The laboratories have a wide range of tests like animal disease diagnostic, Plant disease diagnostic, GMO, water microbiology and chemical tests, food/feed testing, soil testing, and act.

Most laboratories have internal quality control (IQC) systems in place and participate in regular external quality assessment programs or inter-laboratory comparisons for some or all of their activities.

Almost all Test Laboratories are accredited and certified

by ISO 17025:2005. Testing refer to the accompanying scope of accreditation for information regarding the types of tests to which this accreditation applies. ISO 17025 accredited laboratories have demonstrated that they are technically proficient and able to produce precise and accurate test and calibration data. This ensures a laboratory’s quality management system is thoroughly evaluated on a regular basis to guarantee continued technical competence and compliance with ISO 17025.

ISO/IEC 17025 accreditation helps customer minimize risk by ensuring that customers are choosing a

technically competent lab that has a sound quality system in place. This also allows stakeholders to avoid expensive retesting, which enhances confidence in customer product by assuring that it has been thoroughly evaluated by an independent, competent testing or calibration laboratory that has been assessed by a third party.

There are following laboratories operating across Georgia: The Laboratory of the Ministry of Agriculture (LMA) (www.LMA.GOV.GE) works animal and plants diseases diagnosis and food safety direction. The Laboratory network operates countrywide and includes three (3) zonal diagnostic laboratories in Tbilisi, Kutaisi and Akhaltsikhe and eight (8) regional ones in Gori, Marneuli, Dusheti, Gurjaani, Ambrolauri, Ozurgeti, Zugdidi, and Batumi. The Laboratory of the Ministry of Agriculture owns international ISO 17025:2005; in addition, the quality management system ISO 9001:2015 has been introduced and applied.

Adjara Laboratory Research Center (www.moalab.ge) mainly operates in Adjara region and does food testing.

The laboratory owns accreditation and certified ISO 17025:2005.

Wine Test Laboratory can assist customers for alcohol content testing, anti-oxidant testing, vine testing and act. The laboratory owns accreditation and certified ISO 17025:2005.

Quality Lab (QL) operates in food testing and GMO testing. The laboratory owns accreditation and certified ISO 17025:2005.

Multitest Lab operates in three different directions like food testing, soil testing and alcohol content testing.

The laboratory owns accreditation and certified ISO 17025:2005 G. Natadze Scientific-Research Institute of Sanitary, Hygiene and Medical Ecology, mainly operates in food testing. The laboratory owns accreditation and certified ISO 17025:2005.

Cito 2, can assist customers in food testing. The laboratory owns accreditation and certified ISO 17025:2005 Agricultural University of Georgia, Division of Ecological Agriculture and Nature Conservation, mainly works on soil test analyses.

There are some laboratories working in food safety issues: Etalon Lab, Expertise plus, Norma, Test lab and ect.

business

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February 27, 2017 #182

Collection of Georgian Designer, Mariam Gvasalia on Sale in Venice

After the interest of journalists and potential clients Mariam Gvasalia received at Tbilisi Fashion Week, supported by the Ministry of Economy and Sustainable Development Entrepreneurship Agency, designer decided to sell her collection in Italy. Representatives of International Fashion Industry became interested in Georgian textile production after attending the fashion show which took place at the company of Geo–M–Tex. n the frame of the program “Produce in Georgia”, the factory mentioned above gets financial and infrastructural support and it is a company which works in the textile industry and has all the recourses to produce high quality production and it united the production line of both, men and women.

wine

bank

Business Café Meets up For the 8th Time

On February 22nd 8th meeting of Business Café took place at Holiday Inn Tbilisi. The get together was moderated by the businessman and entrepreneur – Guga Tsanava. The topic of the meeting was “Stanford Model of Management”.

Business Café is a project initiated by consulting company “Insource”. Throughout 2015 and 2016 the project was exclusively supported by PASHA Bank.

PASHA Bank is a Baku-based financial institution operating

in Azerbaijan, Georgia and Turkey, providing corporate and investment banking services to large and medium-sized enterprises.

Top managers of large enterprises regularly attend the Business Café meetings to network, exchange the ideas on recent trends in various industries and the economy as a whole. Interesting discussion topics, high caliber of speakers and interactive event format all contribute to the rising popularity of the Project. It is not

news

Business Idea

New York Skyscraper Under Construction in Tbilisi The project is implemented by the International Investment Group Quadrum Global, which operates in the local market under BD PROPERTY name and owns East Point shopping and entertainment center. The company representative says that a residential house is located on Asatiani street, the construction began in 2015 and is planned to be completed on 1 April, 2018. According to him, professionals from various countries were involved in the project, the architectural project was created by Israeli company MYS Architects which is well-known in Tel Aviv for its projects.

Dutch-Georgian startup launches innovative agriculture app Traktor

The country of Georgia is developing fast. With many young and creative English-speaking people, a friendly business climate and a favorable tax system, the country is gaining increasing attention of investors and sees a remarkable growth in the number of startups.

However, the majority of the population (about 53%) is still working as smallholder farmers on small plots of land with a low productivity. For this reason two Dutch entrepreneurs decided to bring the worlds of agriculture technological development together with a new startup: Traktor

unusual for the Business Cafe meeting to run well over the allotted time frame as participants tend to take keen interest in the presentations followed by lively Q&A sessions. Beginning from the first meeting of the year two new sponsors will support the initiative – ACT and Orient Logic “We are glad to extend our partnership with Insource for the third year running. In 2017 PASHA Bank will remain the General Sponsor of Business Café. We are most happy to welcome the new partners of the project and hope that our cooperation will have the most positive impact on further development and success of the Business Cafe. The year’s first meeting was quite dynamic and informative, the positive feedback we receive and growing number of people wishing to attend the meetings clearly indicates that the project is truly successful and anticipated,” – said Anano Korkia, Head of PR and Marketing Department at PASHA Bank.

How Gift Idea Became a Business Gultatmani is a knitted items brand which appeared on the market not so long time ago. The idea Mariam Morchiladze came up with to buy a special gift turned into a small startup. She tells more about it.

Tell us about you, when did you create your company, who established it and etc.?

It started very spontaneously without any plans. For me, it has always been a difficult task to buy a gift for the friend. I wanted something different for my friend’s birthday. I didn’t have time to knit something big, so I made gloves. My friend liked it a lot and that’s how Gultatmani idea was born. Later, the demand increased for it.

How did you come up with an idea?

I was knitting hearts on the palm places and that’s why I named it Gultatmani. From the beginning, it was only gloves with hearts knitted inside but later a lot of people asked for hats and we couldn’t refuse them. We are working for new ideas in the future and we will be more prepared next winter, probably in summer too, but we will see how it will work out.

How many people work in your company?

Currently, we are two. I am a producer and my friend does PR. What is the segment of your production?

It is for happy and colourful people of different ages and taste.

Why customer should buy your product, how is it different from other competitor companies and brands?

I can’t tell you. I also want to know but its fact that people like it and I didn’t expect it at all. Its been only one month since we created facebook page and practically we are in testing regime, we didn’t make an ad yet but we have a very good response from people and we are very happy.

Where do you sell your production?

We manage sales via facebook.

What activities do you plan to implement for the popularization of brand in Georgia or abroad?

In the future, we are going to get involved in different activities (e.g Flea market, startups and etc.) so that more people will know about our product. At this stage, only one person receives the orders but we are going to add human resource to our company. As for international market, considering its unique character, it is not a problem to present the offer and it depends on the demand.

Among the speakers and presented topics of the previous Business Café meetings were: Lado Gurgenidze, former Prime Minister of Georgia, an executive chairman of the supervisory board of Liberty Bank with the topic “Thoughts about management and leadership” Giorgi Kadagidze, former president of National Bank of Georgia, with the topic “Innovation management” Alexander Jejelava, Minister of Education of Georgia – „Organizational corporate culture“ David Gogichaishvili, general manager of Night Show Studio – „Management of human resources” Andro Dgebuadze, business advisor – ”Management 3.0 or MBA books in mirror” Papuna Toliashvili, founder and managing partner of Synergy Group – „Circular Organizational Structures“ Tinatin Rukhadze, Co-founder and General Director at research and consulting company ACT“Who is the leader of the future?”

Konka on Manhattan- Georgian Wine Made of American Grapes He started business at the age of 16 in the small wine bar in Tbilisi and reached the pages of New York Times later. Making Georgian wine on Manhatten and new Georgian-American project Konka Wine Club -This is a story of Erekle Khaziauri, who introduced Georgian wine brand to Americans and made them fall in love with it.

When did you come up with an idea to open wine club on Manhatten?

I arrived in New York in 2015. I met a young, Italian engineer, Matt Baldassano, who tried to make wine in his yard. It was his hobby doing it with his friends. After I met him, we decided to make a Georgian-American project and make wine together. We decided to make wine with Georgian technologies and use American grapes. We brought special kinds of wine from California. Today, we are very good business partners.

How many people are members of east village wine club?

East village wine club has 70 regular members and they are mostly Americans, but there are Georgians too. As for Georgian-American project, it is indeed successful. We have new VIP members, for example Diana Jgenti.

Can Georgian wine compete with other American brands at the market?

I can talk about Georgian wine non-stop, however, I would emphasize on pitcher wine. There are a lot of factory-made wines imported to New York, but pitcher one has a special attention at the market and a lot of people like it. In few years, Georgian pitcher wine will be one of the most successful wines in the US. Can you tell us about your future plans?

As for future plans, of course, it concerns Georgian wine and the popularization of its technology. It’s been two years since we are thinking about bringing pitcher in the club and make pitcher wine, but it is of course risky.

We don’t want to make low quality pitcher wine.

February 27, 2017 #182

Real estate

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publicity

February 27, 2017 #182

World news

February 27, 2017 #182

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Quotes

“ Mentors show you The event will draw over 200 participants, including commercial dairy farmers, processors from Georgia, Armenia, Azerbaijan and Ukraine

EBRD and FAO organize First Caucasus Dairy Congress European Bank for Reconstruction and Development (EBRD) jointly with Food and Agriculture Organisation (FAO) and Association of Milk Producers of Ukraine (AMP) will organize the First Caucasus Dairy Congress to take place on the March 14, 2017 in Tbilisi, Georgiawithin the framework of East European Dairy Congress.

The event will draw over 200 participants, including commercial dairy farmers, processors from Georgia, Armenia, Azerbaijan, Ukraine and other countries of Eastern Europe and Central Asia, potential investors, international organizations and Government representatives. The event will offer an opportunity to explore modern technological and business approaches in dairy husbandry development, based on real cases and experience of associations of milk producers’ and farmers from the region. Managers and specialists of the most successful farms from Georgia, Armenia, Ukraine, Azer-

baijan and other countries will reveal secrets of their success. Some of them have already reached the production of over 10 thousand litres of milk per cow annually, and it is feasible to achieve similar level of productivity in Georgia.

Within the framework of the Dairy Congress, the key takeaways of the joint FAO and EBRD project “Improving food safety in Georgia’s dairy sector through capacity building” as well as recommendations on further development of dairy business will be presented.

On the second day of the Congress, participants will be given an opportunity to visit commercial dairy farms of Georgia where advanced technologies have already been successfully implemented.

The Caucasian International Dairy Congress will set up a platform for sharing knowledge and technologies for farmers and other entities of dairy business in the region, who are interested in the development of modern dairy business.

2.5M Euros Allocated for IAP Project

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ontenegro has received a 2.5 million euro grant for the preparation of project documentation of the Ionian Adriatic Pipeline (IAP) from the Western Balkans Investment Framework (WBIF), said the country’s economy minister Dragica Sekulic, according to the message posted on the website of Montenegrin government.

The grant will finance the preparation of the project documentation of the pipeline on the territories of Montenegro and Albania and was approved as a result of the joint work of both governments, Sekulic said during the meeting, attended by representatives of ministries and gas distribution operators from Bosnia and Herzegovina, Croatia and Albania, said the message.

The Western Balkans Investment Framework (WBIF) is a joint initiative of the EU, international financial institutions, bilateral donors and the governments

of the Western Balkans. IAP is a proposed natural gas pipeline in Southeastern Europe (SEE) that will stretch from Albania through Montenegro, and Bosnia and Herzegovina, to Split in Croatia. It will be connected with the Trans Adriatic Pipeline (TAP).

IAP will provide deliveries of Azerbaijani gas to several countries of South-Eastern Europe. The capacity of the pipeline will amount to five billion cubic meters of gas per year. TAP has already signed memorandums of understanding and cooperation with the developers of this project, in particular with companies of Plinacro (Croatia), BH-Gas (Bosnia and Herzegovina), Geoplin Plinovodi (Slovenia), as well as with the governments of Montenegro and Albania. There has been created a TAP-IAP joint working group that gathers regularly to synchronize the timing both pipeline projects and coordinate the technical issues of interconnection.

something about yourself that you didn’t realize

”

Butch Rovan

“Despite ASEAN’s progress and its impressive economic potential, considerable work still remains to narrow development gaps across countries”

Mehriban Ali- Working Together for the yeva Appoint- Region — ESCAP and ASEAN ed as Azerbaijani First Vice-president President of the Heydar Aliyev Foundation, UNESCO and ISESCO Goodwill Ambassador, MP Mehriban Aliyeva was appointed First Vice-President of the Republic of Azerbaijan by President Ilham Aliyev`s order Feb. 21.

Until her appointment, Aliyeva led a charitable foundation to promote the political legacy of her father-inlaw by sponsoring music and dance performances in Paris and Moscow.

Born into a powerful Azerbaijani family, Aliyeva is the granddaughter of a well-known writer and the niece of a former ambassador to the US.

Turkey, Azerbaijan May Soon use National Currency in Trade Turkey and Azerbaijan continue technical discussions on the draft of the preferential trade agreement, Turkish Minister of Science, Industry and Technology Faruk Ozlu said at the 5th Turkey-Azerbaijan-Georgia business forum in Istanbul.

Ozlu expressed hope that the volume of mutual trade in the national currency between Azerbaijan and Turkey will increase soon.

“In 2016, 6.5 percent of Turkey’s foreign trade operations were carried out in the national currency,” he said. “Switching to national currency in mutual trade will protect businessmen from external financial factors and changes in the US dollar exchange rate.”

The minister noted that last year, the volume of mutual trade between Turkey, Georgia and Azerbaijan reached $4.2 billion.

“The national income of these three countries as a whole is $890 billion, the total foreign trade volume amounts to $363 billion,” Ozlu said, noting that the current level of mutual trade doesn’t reflect the existing potential between the countries.

The Turkish minister added that Turkey has so far invested $7.6 billion in Azerbaijan’s economy and Azerbaijan’s investments to Turkey amount to $4.7 billion.

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he Association of Southeast Asian Nations (ASEAN) has shown to be an exemplary role model for regional cooperation guiding the 10-country bloc on the path toward shared prosperity and sustainable development.

Since its launch in 1967, ASEAN has indeed come a long way in accelerating economic growth, promoting durable peace, and nurturing a common vision in the sub region. The rate of poverty has been reduced from 40 per cent in 1990 to just 8 per cent in 2012 (compared to regional average of 15 per cent), GDP per capita has been raised to almost $4,000 over the past decade, and with a combined GDP of $2.5 trillion ASEAN is now the seventh largest economy in the world and the third in Asia-Pacific.

As the Association celebrates its 50th anniversary this year, the United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) has been a strategic partner of ASEAN during its journey. Over this period both these intergovernmental and regional cooperation platforms have built a strategic partnership which has seen the development of productive symbiosis ultimately benefiting member countries. As ASEAN gains from the multi-sectoral policy advice and capacity programmes facilitated by ESCAP for the more vulnerable of countries within the sub region, the Regional Commission is able to draw from development lessons of ASEAN as the most successful cooperative arrangement in the region.

There are certainly promising prospects for this largest regional bloc of Asia given its determination to foster the ASEAN Economic Community (AEC) by 2025, the benefits of which will be far reaching for the sub region with positive spillovers for the rest of Asia. Continued strengthening of policy and incentive frameworks, innovation and improvements in productivity is set to double the size of ASEAN economies to $4.6 trillion by 2050 as the region will continue to be attractive destination for global investment flows, which already reached over $120 billion by 2015. Further reduction in trade costs through the elimination of tariffs, implementation of trade facilitation measures, and progress on the liberalization of services and investment will deepen trade links within the sub region as well as with the wider global economy. Emerging as a consumer hub, almost 125 million household will witness the doubling of their annual income by 2025.

Despite ASEAN’s progress and its impressive economic potential, considerable work still remains to narrow development gaps across countries. The partnership between ASEAN and ESCAP promotes complementarity between the 2030 Sustainable Development Agenda and AEC, which should over the next decade contribute to narrowing national as well as intra-regional disparities, creating balanced urban growth, and mitigating climate change as well as adapting to its effects. Implementation of urban sustainable goals will be crucial as an additional 25 million people will move to cities by 2025. Building urban resilience will be critical as nearly 40 per cent of ASEAN’s GDP growth will come from 142 cities hosting populations between 200,000

and 5 million people. Creating balanced and inclusive urban growth will require trillions of dollars in investment and effective financial management to provide public services and close gaps in public transportation, ICT infrastructure, housing, and urban environmental management.

The importance of balancing Southeast Asia’s environmental and development needs has also never been more evident. Greenhouse gas emissions grew more rapidly in Southeast Asia than in any other region of the world, increasing by 227% over the past two decades. The impacts of climate change could see ASEAN’s GDP falter by as much as 11 per cent if mitigation measures are not undertaken to curb emissions as part of global efforts. Reducing land use emissions and deforestation while improving energy efficiency and expanding the use of renewables or other low-carbon energy sources are some of the steps to put these countries on a low carbon growth pathway.

Regional cooperation facilitated by the intergovernmental platforms of ASEAN and ESCAP will be also critical to tackling these immense challenges. For instance, this partnership has helped safeguard and improve the livelihoods of many peoples in Southeast Asia. In the area of disaster response, when Cyclone Nargis struck the Ayeyarwady Delta of Myanmar in May 2008, ESCAP and ASEAN together facilitated the flow of humanitarian assistance.

In the post-disaster recovery phase, ESCAP and ASEAN jointly organized the Post-Nargis Regional Partnership Conference where over $103 million were raised to support recovery plans.

This partnership was further advanced in 2011 with ESCAP’s support for the establishment of the ASEAN Coordinating Centre for Humanitarian Assistance on Disaster Management.

The rich history between our institutions has set the stage for the next phase of progressive collaboration, guided by the AEC 2025 and the 2030 Agenda for Sustainable Development. As we work towards achieving both these agendas, coordinated action is needed to address transboundary challenges and unlock the possibilities of regional cooperation.

These include deepening regional integration; facilitating trade; greater financial integration and widening access to finance; realizing the ASEAN Power Grid, connecting missing transport links; and bridging the digital divide. Our collective efforts, delivered through a coordinated approach under the ASEAN-UN Plan of Action, will provide South-East Asia with the strong foundation it needs to prosper in the face a changing world and improve the lives of its citizens.

ESCAP recognizes that we live in an interconnected region and as such, a prosperous ASEAN benefits the wider Asia-Pacific region. We congratulate ASEAN on achieving 50 years of productive subregional cooperation and promotion of peace and security. With the establishment of the forward-looking ASEAN Vision 2025 and the ambitious objectives of the 2030 Agenda, the future of collaboration between ESCAP and ASEAN to improve the future of all the people in ASEAN looks better than ever before.

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February 27, 2017 #182

ASB and Government for Elaboration of Disaster Risk Reduction Roadmap in Education

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n February 23rd aiming at development of a united strategy in integration of civil safety study into educational program international organization ArbeiterSamariter-Bund (ASB) together with its partner organizations organized a workshop in the framework of We are Ready! Disability Inclusive Disaster Risk Reduction for the Culture of Safety Program.

Workshop is organized by Arbeiter – Samariter – Bund in the framework of DiDRR project and with the participation of project partner organizations, stakeholders of Disaster Risk Reduction program in Georgia and governmental entities: National Crisis management Center- Office of the State Security and Crisis Management Council of Georgia, Ministry of Education and Science of Georgia and Emergency Management Agency of the Ministry of Internal Affairs of Georgia.

The main goal of the project is: bringing relevance to and institutionalizing of the disaster risk reduction program in the education sector, introduction of learning course in target uni-

versities and increasing capacity of DPO and NGO working on the problems of persons with disabilities and ensure their active participation in disaster risk reduction issues.

The purpose of the workshop is to finalize the Disaster Risk Reduction Roadmap for the education system with the participation from governmental and non-governmental organizations, to use elaborated roadmap / guide for programming and planning of disaster risk reduction strategy in education sector.

Launched in 1996, the Disaster Preparedness ECHO program (DIPECHO) is the core element of ECHO’s DRR global effort, in which it has invested €325 million thus far. The key goal of the program is to increase communities’ resilience and reduce their vulnerability.

DIPECHO is a people-oriented program, helping communities at risk of disasters to better prepare themselves by undertaking training, establishing or improving local early warning systems and contingency planning. It also encourages citizens, civil society groups and local, regional and national authorities to work more effectively together.

February 27, 2017 #182

Embassy United States of America Embassy 11 Balanchivadze St., Dighomi Dstr., Tbilisi Tel: 27-70-00, 53-23-34 E-mail: tbilisivisa@state.gov; askconsultbilisi@state.gov United Kingdom of Great Britain and Northern Ireland Embassy 51 Krtsanisi Str., Tbilisi, Tel: 227-47-47 E-mail: british.embassy.tbilisi@fco.gov.uk Republic of France Embassy 49, Krtsanisi Str. Tbilisi, Tel: 272 14 90 E-mail: ambafrance@access.sanet.ge Web-site: www.ambafrance-ge.org Federal Republic of Germany Embassy 20 Telavi St. Tbilisi Tel: 44 73 00, Fax: 44 73 64 Italian RepublicEmbassy 3a Chitadze St, Tbilisi, Tel: 299-64-18, 292-14-62, 292-18-54 E-mail: embassy.tbilisi@esteri.it Republic of Estonia Embassy 4 Likhauri St., Tbilisi, Tel: 236-51-40 E-mail: tbilisisaatkond@mfa.ee Republic of Lithuania Embassy 25 Tengiz Abuladze St, Tbilisi Tel: 291-29-33 E-mail: amb.ge@urm.lt Republic of Latvia Embassy 16 Akhmeta Str., Avlabari, 0144 Tbilisi.

E-mail: embassy.georgia@mfa.gov.lv Greece Republic Embassy 37. Tabidze St. Tbilisi Tel: 91 49 70, 91 49 71, 91 49 72 Czech RepublicEmbassy 37 Chavchavadze St. Tbilisi ;Tel: 291-67-40/41/42 E-mail: czechembassy@gol.ge Web-sait: www.mzv.cz Japan Embassy 7 Krtsanisi St. Tbilisi Tel: +995 32 2 75 21 11, Fax: +995 32 2 75 21 20 Kingdom of Sweden Embassy 15 Kipshidze St. Tbilisi Tel: +995 32 2 55 03 20 , Fax: +995 32 2 22 48 90 Kingdom of the Netherlands Embassy 20 Telavi St. Tbilisi Tel: 27 62 00, Fax: 27 62 32 People’s Republic of China Embassy 52 Barnov St. Tbilisi Tel: 225-22-86, 225-21-75, 225-26-70 E-mail: zhangling@access.sanet.ge Republic of Bulgaria Embassy 15 Gorgasali Exit, 0105 Tbilisi, Georgia Tel: +995 32 291 01 94; +995 32 291 01 95 Fax: +99 532 291 02 70 Republic of Hungary Embassy 83 Lvovi Street, Tbilisi Tel: 39 90 08; E-mail: hunembtbs@gmail.com State of Israel Embassy 61 Agmashenebeli Ave. Tbilisi Tel: 95 17 09, 94 27 05 Embassy of Swiss Confederation’s Russian Federation Interests Section Embassy 51 Chavchavadze Av., Tbilisi Tel: 291-26-45, 291-24-06, 225-28-03 E-mail: RussianEmbassy@Caucasus.net Ukraine Embassy 75, Oniashvili St., Tbilisi Tel: 231-11-61, 231-12-02, 231-14-54 E-mail: ukraina_pu@wanex.net; emb_ge@mfa.gov.ua Consular Agency: 71, Melikishvili St., Batumi Tel: (8-88-222) 3-16-00/ 3-14-78 Republic of Turkey Embassy 35 Chavchavadze Ave., Tbilisi Tel: 225-20-72/73/74/76 embassy.tbilisi@mfa.gov.tr Consulate General in Batumi 9 Ninoshvili Street, Batumi Tel: 422 25 58 00 consulate.batumi@mfa.gov.tr Republic of Azerbaijan Embassy Kipshidze II-bl . N1., Tbilisi Tel: 225-26-39, 225-35-26/27/28 E-mail: tbilisi@mission.mfa.gov.az Address: Dumbadze str. 14, Batumi Tel: 222-7-67-00; Fax: 222-7-34-43 Republic of Armenia Embassy 4 Tetelashvili St. Tbilisi Tel: 95-94-43, 95-17-23, 95-44-08 E-mail: armemb@caucasus.net Web: www.armenianembassy.ge Consulate General, Batumi Address: Batumi, Gogebashvili str. 32, Apt. 16 Kingdom of Spain Embassy Rustaveli Ave. 24, I floor, Tbilisi Tel: 230-54-64 E-mail: emb.tiflis@maec.esRomania Embassy

Tbilisi Guide 7 Kushitashvili St., Tbilisi Tel: 38-53-10; 25-00-98/97 E-mail: ambasada@caucasus.net Republic of Poland Embassy 19 Brothers Zubalashvili St., Tbilisi Tel: 292-03-98 Email:tbilisi.amb.sekretariat@msz.gov.pl Web-site: www.tbilisi.polemb.net Republic of Iraq Embassy Kobuleti str. 16, Tbilisi Tel: 291 35 96; 229 07 93 E-mail: iraqiageoemb@yahoo.com Federative Republic of Brazil Embassy Chanturia street 6/2, Tbilisi Tel.: +995-32-293-2419 Fax.: +995-32-293-2416 Islamic Republic of Iran Embassy 80, I.Chavchavadze St. Tbilisi, Tel: 291-36-56, 291-36-58, 291-36-59, 291-36-60; Fax: 291-36-28 E-mail: iranemb@geo.net.ge United Nations Office Address: 9 Eristavi St. Tbilisi Tel: 225-11-26/28, 225-11-29/31 Fax: 225-02-71/72 E-mail: registry.geo@undp.org Web-site: www.undp.org International Monetary Fund Office Address : 4 Freedom Sq., GMT Plaza, Tbilisi Tel: 292-04-32/33/34 E-mail: kdanelia@imf.org Web-site: www.imf.ge Asian Development Bank Georgian Resident Mission Address: 1, G. Tabidze Street

Freedom Square 0114 Tbilisi, Georgia Tel: +995 32 225 06 19 e-mail: adbgrm@adb.org; Web-site: www.adb.org World Bank Office Address : 5a Chavchavadze Av., lane-I, Tbilisi, Georgia ; Tel: 291-30-96, 291-26-89/59 Web-site: www.worldbank.org.ge Regional Office of European Bank for Reconstruction and Development Address: 6 Marjanishvili St. Tbilisi Tel: 244 74 00, 292 05 13, 292 05 14 Web-site: www.ebrd.com Representation of the Council of Europe in Georgia Address : 26 Br. Kakabadze, Tbilisi Tel: 995 32 291 38 70/71/72/73 Fax: 995 32 291 38 74 Web-site: www.coe.ge Embassy of the Slovak Republic Address: Chancery: 85 Irakli Abashidze St. Tbilisi, 0162 Georgia Consular Office: 38 Nino Chkheidze St. Tbilisi, 0102 Georgia Phone: 2 222 4437, 2 296 1913 e-mail: emb.tbilisi@mzv.sk

Hotels in Georgia TBILISI MARRIOTT Tbilisi , 13 Rustaveli Ave. Tel: 77 92 00, www.marriott.com COURTYARD MARRIOTT Tbilisi , 4 Freedom Sq. Tel: 77 91 00 www.marriott.com RADISSON BLU HOTEL, TBILISI Rose Revolution Square 1 0108, Tbilisi Tel: +995 32 402200 radissonblu.com/hotel-tbilisi RADISSON BLU HOTEL, BATUMI Ninoshvili Str. 1, 6000 Bat’umi, Georgia Tel: 8 422255555 http://radissonblu.com/hotel-batumi SHERATON METECHI PALACE Tbilisi , 20 Telavi St. Tel: 77 20 20, www.starwoodhotels.com SHERATON BATUMI 28 Rustaveli Street • Batumi Tel: (995)(422) 229000 www.sheratonbatumi.com Holiday Inn Tbilisi Business hotel Addr: 1, 26 May Square Tel: +995 32 230 00 99 E-mail: info@hi-tbilisi.com Website: http://www.hi-tbilisi.com Betsy’s Hotel With Marvellous Tbilisi Views Addr: 32/34 Makashvili St. Tbilisi Tel: +995 32 293 14 04; +995 32 292 39 96 Fax: +995 32 99 93 11 E-mail: info@betsyshotel.com Website: http://www.betsyshotel.com

Restaurants Corner House Tbilisi, I. Chavchavadze ave. 10, Tel: 0322 47 00 49; Email: contact@cornerhouse.ge Restaurant Barakoni Restaurant with healthy food.

Georgian-European Cuisine Agmashenebeli Alley 13th Phone: 555 77 33 77 www.barakoni.com CHARDIN 12 Tbilisi , 12 Chardin St. , Tel: 92 32 38 Cafe 78 Best of the East and the West Lado Asatiani 33, SOLOLAKI 032 2305785; 574736290 BREAD HOUSE Tbilisi , 7 Gorgasali St. , Tel: 30 30 30 BUFETTI - ITALIAN RESTAURANT Tbilisi , 31 I. Abashidze St. , Tel: 22 49 61 DZVELI SAKHLI Tbilisi , 3 Right embankment , Tel: 92 34 97, 36 53 65, Fax: 98 27 81 IN THE SHADOW OF METEKHI Tbilisi , 29a Tsamebuli Ave. , Tel: 77 93 83, Fax: 77 93 83 SAKURA - JAPANESE RESTAURANT Tbilisi , 29 I. Abashidze St. , Tel: 29 31 08, Fax: 29 31 08 SIANGAN - CHINESE RESTAURANT Tbilisi , 41 Peking St , Tel: 37 96 88 VERA STEAK HOUSE Tbilisi , 37a Kostava St , Tel: 98 37 67 BELLE DE JOUR 29 I. Abashidze str, Tbilisi; Tel: (+995 32) 230 30 30 VONG 31 I. Abashidze str, Tbilisi Tel: (+995 32) 230 30 30 BRASSERIE L’EXPRESS 14 Chardin str, Tbilisi Tel: (+995 32) 230 30 30 TWO SIDE PARTY CLUB 7 Bambis Rigi, Tbilisi Tel: (+995 32) 230 30 30

Cinemas AKHMETELI Tbilisi. “Akhmeteli” Subway Station Tel: 58 66 69 AMIRANI Tbilisi. 36 Kostava St. Tel: 99 99 55, RUSTAVELI Tbilisi. 5 Rustaveli Ave. Tel: 92 03 57, 92 02 85, SAKARTVELO Tbilisi. 2/9 Guramishvili Ave. Tel: 8 322308080,

15 SH. RUSTAVELI STATE THEATRE Tbilisi. 17 Rustaveli Ave. Tel: 93 65 83, Fax: 99 63 73 TBILISI STATE MARIONETTE THEATRE Tbilisi. 26 Shavteli St. Tel: 98 65 89, Fax: 98 65 89 Z. PALIASHVILI TBILISI STATE THEATRE OF OPERA AND BALLET Tbilisi. 25 Rustaveli Ave. Tel: 98 32 49, Fax: 98 32 50

Galleries ART GALLERY LINE Tbilisi. 44 Leselidze St. BAIA GALLERY Tbilisi. 10 Chardin St. Tel: 75 45 10 GALLERY Tbilisi. 12 Erekle II St. Tel: 93 12 89

Real Estate International Real Estate Company (IREC) Tbilisi. 9 P. Aslanidi St. Tel: +995 32 238 058 Mob: 599 95 76 71 Email: Info@irec.ge www.irec.ge

GSS Car rental offers a convenient service for those who are interested in renting car in Georgia. Rental fleet mainly consist of Japanese made SUV’s, the company has various models of cars including sedans and minivans which are in good technical condition.

Contact information: Email: info@gsservices.ge.

Address: Shalva Dadiani 10

LimelightTravelinfoCenter Address: 13 Sioni Street, 0105, Tbilisi (at the end of Shardeni Street) Phone: +995 322 999 123 E-mail: info@limelight.ge Web-page: www.limelight.ge Facebook page: www.facebook.com/limelight.ge

Theatres A. GRIBOEDOV RUSSIAN STATE DRAMA THEATRE Tbilisi. 2 Rustaveli Ave. Tel: 93 58 11, Fax: 93 31 15 INDEPENDENT THEATRE Tbilisi. 2 Rustaveli Ave. Tel: 98 58 21, Fax: 93 31 15 K. MARJANISHVILI STATE ACADEMIC THEATRE Tbilisi. 8 Marjanishvili St. Tel: 95 35 82, Fax: 95 40 01 M. TUMANISHVILI CINEMA ACTORS THEATRE Tbilisi. 164 Agmashenebeli Ave. Tel: 35 31 52, 34 28 99, Fax: 35 01 94 METEKHI – THEATRE OF GEORGIAN NATIONAL BALLET Tbilisi. 69 Balanchivadze St. Tel: (99) 20 22 10 MUSIC AND DRAMATIC STATE THEATRE Tbilisi. 182 Agmashenebeli Ave. Tel: 34 80 90, Fax: 34 80 90 NABADI - GEORGIAN FOLKLORE THEATRE Tbilisi. 19 Rustaveli Ave. Tel: 98 99 91 S. AKHMETELI STATE DRAMATIC THEATRE Tbilisi. 8 I. Vekua St. Tel: 62 59 73

The Best Georgian Honey of chestnuts,acacia and lime flowers from the very hart of Adjara Matchakhela gorge in the network of Goodwill, Nikora and smart

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February 27, 2017 #182