Caucasus Business Week #312

pa rtm s? e ent x Teachers pay Ta

DISTRIBUTED FREE OF CHARGE

#312

e N in w

A

WEEK

February 3, 2020 - www.cbw.ge

r cto Se gy ner P.7 E

BUSINESS caucasus

d

n a s

y

or

eg ul

ha S e at

wE o d

m o n co

or t Tu l l i –w

un de rt oje cts P.5 Pr

G P.4

M

Fund t n e pm

it h t ie w w P.10 Interv

ov er nm e

nt pla ns t

he

al p i ic n u

elo v e D

e he g

P s em bl ro

d an how

li hvi tias ba ka ma

to r's

ist ar t

ne ss Se c

ia n or g

P.6 T he B usi

Re ali ty

to tackle them

2 February 3, 2020 #312

Tornike Rizhvadze: Adjara Region’s Investment Portfolio makes up 4 billion GEL Adjara Region’s investment portfolio makes up 4 billion GEL. This project will employ 6000 persons.

USD 30 Million Hotel Ambassador set to open at Goderdzi Resort A new 5-star hotel is set to open at Goderdzi Resort, Adjara, on December 1, 2020.

Irakli Lekvinadze: Competition Agency to finish monitoring of 3 Sectors in First Quarter Container Shipping rates by Transcaspian International Transport Route (TITR) are Record High Under the leadership of Director General David Peradze, the Georgian Railway delegation attended the meeting of the International Association of Trans-Caspian International Transport Route (TITR) in Almaty, Kazakhstan.

The Competition Agency will finish monitoring of three sectors in the first quarter 2020, the Competition Agency director Irakli Lekvinadze told the Business program, broadcast

by Palitra radio station.

Natural Grape Wines is most exported Product from Georgia to Russia As of the official data of Geostat, Russia is the second-largest export market of Georgia (491.1 million USD).

Ia Shugliashvili to be among 10 Best Subtle Movie Performances of the Decade Taste of Cinema focuses on World Cinema and Classics.

Municipal Development Fund of Georgia presents Year 2019 Report The Municipal Development Fund of the Ministry of Regional Development and Infrastructure of Georgia presented a report for the year 2019.

Giorgi Sisauri's Personal Exhibition to be opened in Sofia Exposition, called "Touch of Heaven" is created by young Georgian calligrapher and artist, which unites 38 letters of Georgian alphabet, miniatures, and graphical art pieces.

National Tourism Administration to participate in Fitur 2020 Administration of Tourism of the Ministry of Economy and Sustainable Development participated in the tourism national exhibition "Fitur 2020" in Madrid.

Nana Jorjadze's Documentary Film to Launch in Washington With the collaboration of Georgian National Film Center, Embassy of Georgia continues to launch Georgian film series in the U.S.

The Editorial Board Follows Press Freedom Principles Publisher: LLC Caucasian Business Week - CBW Director: Levan Beglarishvili WWW.CBW.GE Address: Aleksidze Street 1 Sales: Mob: +995 591 01 39 36 Email: caucasianbusiness@gmail.com Editor: Nutsa Galumashvili. Mobile phone: 595 380382 Copy Editor: Ellie Rambo Reporters: Nina Gomarteli; Mariam Kopaliani; Merab Janiashvili, Economic columnist: Andria Gvidiani; Technical Assistant: Giorgi Kheladze;

3 February 3, 2020 #312

4 February 3, 2020 #312

The Georgian government is set to regulate the shadow economy. Geostat, the national statistics service of Georgia, plans to explore the shadowy elements of the education and real estate market.

The agency will count the number of tutors and lessons, and their incomes.

As estimated by the agency, about 13% of the economy remains in the shadow market, and the ratio of these two fields in particular is impressive.

Most likely, both tutors and apartment lessons will be imposed, taxes paid after a fuller picture has emerged.

As noted by the financier Giga Bedineishvili, plans for regulating the shadow economy are not dictated by good intentions, and the key goal of the authorities is to fill the state’s coffers.

“When the authorities start implementing similar projects, it is difficult to find good intent. Naturally, there is nothing bad that businesses should operate on equal conditions, but this is not likely in good faith. They think that a certain part of the economy remains in the shadows, and they want to bring this sector into the light of day, tax it. This would be an expedient decision, if the authorities were willing to be lenient. Naturally, we should legalize this part of the economy, but we should also ask a question – do we need to collect so much money from the business sector, because I believe the authorities collect much more money than is necessary. We should just move to reducing and lowering taxes, not to monitoring every untaxed person and field and taxing

all of them”, Giga Bedineishvili said. In the pre-election period, the authorities plan to increase the state budget as much as possible. Therefore, they seek apply every mechanism to tax as many businesses as possible, he noted.

“It is impossible to tax all economic activities at 100%. At the same time, it is unacceptable that only several businesses fill the state budget. Therefore, taxes should be collected from everybody, but we should pose a question – in reality, how many taxes do we need? The authorities squander so much money. In reality, we have a lot of resources to cut taxes, and then equally distribute the remaining burden onto every sector of the economy. Now they have recalled all these issues, because the elections are coming, and they want to prevent a budget deficit, they want to tax miserable tutors. They want to mobilize more money for the state budget.

Furthermore, amid slower economic growth, the amount of collected taxes has also declined, and the Finance Ministry is seeking new channels”, Giga Bedineishvili said.

Some economic experts asserts that this initiative

by Geostat enables them to

assess the real volume of the economy, and potential investors will be able to properly choose their priorities.

However, legalization of this segment of the economy will rise prices, and both tutors and apartments lessons have to increase prices.

It is unknown how Geostat plans to tax tutors or apartment lessons and register their incomes.

As explained by statistician and economist Soso Archvadze, the hothouse conditions for tutors have come to an end, and there are several reasons.

Previously, graduates had to compete with each other to get enrolled into universities, while today, universities compete with each other to get students, and only 0.8 student is registered for every opening at a university, Soso Archvadze noted.

The demand for tutoring services is declining, but this does not mean that part of them will not continue to work. If we knew the precise number of tutors, Geostat would not have to explore the field.

“According to the experts, tutors earn about 25-30 million GEL a year, while the population spends much more on education – 400-500 million GEL a year.

The budget allocation for the education sector also grew –almost 1.4 billion GEL was spent in 2019, while the allocation for 2020 amount to 1.5 billion GEL. Under the current legislation, tutors are

subjected to income tax, but an inventory is not carried out, and this issue is left to follow its own course, and the state budget receives no benefits. Furthermore, an inventory of the field will not have financial effects, because the budget may receive only an additional 6-7 million GEL, however, this decision will bring about social justice and fiscal discipline.

All members of society, be it businessman, employees or those who earn their living through their own skills and talents, should realize that there are two key, inevitable aspects of a market economy – death and taxes. The fiscal effect is only a byproduct”, Achvadze said.

When asked what economic effect we will receive by regulating tutors, and whether they should pay income tax, join the pension system, and how unemployment and employment indicators will change, Soso Achvadze noted that the tutors, as a group, means that public schools cannot provide valuable knowledge.

Therefore, the investigation of this field will be interesting. We will know which regions, cities or schools show the highest demand for tutors, and we will identify specific problems, Soso Archvadze concluded.

Projects under the Municipal Development Fund The Municipal Development Fund of the Ministry of Regional Development and Infrastructure has introduced the 2019 report, under which the Fund joined two new educational infrastructure project development and the promotion of forcibly displaced persons.

Last year, the Fund started 250 and completed 70 projects with a total budget of 366 million GEL. The Fund finished such important projects as the construction of the Vani Museum, the rehabilitation of Zugdidi Botanical Garden, Batumi and Kobuleti seaside improvement, and the rehabilitation of Schwab’s Street in Asureti and so on.

As part of the education infrastructure development program, the Fund began the construction and rehabilitation of 161 public schools with a total budget exceeding 220 million GEL. As for the construction of pre-school facilities, the Fund launched design and construction works for 76 kindergartens with more than 50 million GEL in investments. “The Fund launched a construction of refugee housing in Tskaltubo, Zugdidi and Kutaisi. As a result, more than 2440 families will receive new residential spaces in 2019-2021.

The total budget of the program is 152.3 million GEL.

In 2019, the Fund completed the construction of two buildings and new apartments, and were given to 120 families of refugees.

The projects implemented by the Fund are to generate new opportunities in the outlying regions, attract domestic and international tourists, improve the social and economic conditions of local residents. As noted by the Fund’s Director Giorgi Shengelia for BusinessPartner TV program, in 2020, the Municipal Development Fund will spend 421 million GEL, including a full rehabilitation of the Tbilisi Subway. Since its foundation, the Municipal Development Fund has been cooperating with all major international financial institutions in Georgia. The key objective of the Fund is to develop tourism infrastructure, road and transport infrastructure, water supply and sport infrastructure and to ensure urban development. As explained by the Fund’s director, in 2020 the Fund will maintain traditional sectors as priority fields, however, comparatively more emphasis will be made regarding tourism and road infrastructure. The Fund plans to buy special, more comfortable buses for tourists in Bakuriani. “The traditional fields will remain our priority, primarily, tourism and road infrastructure.

5 February 3, 2020 #312

I do not mean to imply the inclusion of highways. This is the field of the Road Department.

We will care for developing local roads connecting two or more municipalities. These activities will benefit not only local residents, but also stimulate new tourism. Thus, road development will be maintained”, Shengelia noted.

We have a very interesting project in terms of the development of transport infrastructure. Buses will be bought for six cities, he added.

“We have announced a deal for Bakuriani. We will buy specially adapted buses that enable skiers to move to the ski tracks together with their equipment”, Shengelia said.

As for Tbilisi, the capital city’s subway will be fully rehabilitated, and the project will be funded by Asian Development Bank (ADB), Shengelia pointed out.

“In part, I would like to thank the Asian Development Bank (ADB), which is a key contributor to this project. The Tbilisi Subway is not a new project for ADB. Several years ago, we finished construction of a new station, and now we plan to fully rehabilitate the network. All power cables and ventilation systems will be replaced”, Shengelia noted.

The Georgian Chamber of Commerce and Industry (GCCI) plans to hold regional meetings, Giorgi Vekua, the director of the GCCI Department for Services and Regional Development told Business Partner.

The key mission of the GCCI is to promote the business sector’s development in Georgia, however, it is noteworthy that the GCCI not only cares for its member companies, Giorgi Vekua said.

“The Chambers shape the international network. All countries have established domestic chambers. This network enables us to hold tight communication and work on certain fields.

Furthermore, the promotion of small and medium businesses is an important aspects. The Georgian Chamber of Commerce and Industry (GCCI) is an organization with regional offices.

Consequently, we have full information on what specific needs exist in the business sector, which is the backbone of any country. It is of crucial importance to lobby for it, and realize their interests in a comprehensive manner”, Vekua pointed out.

As for the specific problems in the small and medium business sectors in Georgia, a lack of information on state programs and projects is a key challenge, Vekua explained.

“There are certain problems characteristic to all regions. The lack of information on state programs and projects is one of these familiar challenges. We have very good projects for business development, but the information on these programs and projects does not reach local residents, or these programs remain unattainable for them. For example, the Enterprise Georgia program, the Ministry of Agriculture and other agencies have been implementing very good programs. And the worst thing in this situation is that local residents have the feeling that these programs are not implemented with them in mind, and this factor effectively diminishes the program .

There were distinct problems where local residents lacked the technical skills to engage in these programs. We have detected this problem, and now various training sessions are being held”, Vekua said.

The reformation of the vocational education system is one of

the key challenges. Unemployment is Georgia’s number one problem today, but the business sector complains that the country lacks professionals, and this is another big obstacle, Vekua noted.

“We frequently hear that the key problem is the Georgian mindset. Georgians avoid vocational education, and they strive instead for universities, diplomas and so on. The analysis shows that the problem does lay in the mindset. If we offer an alternative of either taking a diploma or receiving vocational education that provides the opportunity for employment and income, our citizens will definitely have a preference for the second option”, Vekua pointed out.

The next fundamental challenge, particularly in regions, is that it is difficult to find a partner abroad, he said.

An attitude is a decisive factor in business. Therefore, more communication is required, he said.

“Both the Ministry of Economy and the Ministry of Agriculture have done a lot of work, however, the business sector’s representatives note that much more should be done, more communication and immediate contact with the business sector is required. The public dialogue pursues this goal, as well as meetings and an open dialogue with business.

Attitudes are decisive, particularly in the outlying regions, where the story of success or failure spreads very quickly.

A failed story discourages business. We try to deliver this message to all businesses. To this end, we will actively cooperate with various Ministries, in the form of a publicprivate dialogue. Listening to business is decisive in this case”, Giorgi Vekua told Business Partner.

7 February 3, 2020 #312

Energy Sector in New Reality “The year of 2020 will be decisive in terms of liberalizing the Georgian electricity market, while full liberalization will be achieved in 2021”, Maia Melikidze, member of the Georgian National Energy and Water Supply Regulatory Commission (GNERC) told the Business Partner TV program.

In 2017, Georgia took up the obligation to liberalize the energy market after the country joined the European Energy Union, following the Georgian-EU association agreement signed in 2014. The country prepared the corresponding legislation at the end of 2019, and established the Georgian Energy Exchange to regulate the transmission, supply and distribution of energy resources, and multiply options for consumers, she noted.

The year 2019 was fully dedicated to developing new legislation. Crucial work was provided by the Parliament and the Ministry of Economy and Sustainable Development. At the end of 2019, two important laws were adopted – the first one will regulate water supply and electricity supply, and another law will regulate the renewable energy sector, she added.

“At this stage, we are developing energy efficiency legislation. The market will be fully liberalized. In December 2019, we established the Georgian Energy Exchange, i.e. the Georgian energy market, involving transmission, supply and distribution. Today, if you want to receive electricity at your room, it is necessary to apply to TELASI. Our objective is to separate TELASI from this chain, and leave it only in the distribution sector. We should establish another major company in the electricity supply chain”, Maia Melikidze noted, and added that energy companies will have to determine their own responsibilities.

“The year 2020 will be a period of transition, and in 2021 the market will be fully liberalized. The different Function should be differentiated. The companies with both transmission and distribution obligations should be divided in full. This means that two independent companies should be established in the place of of TELASI. One of them will provide distribution services and another will provide supply services. Therefore, this process will bring certain challenges to the companies; however, this process will generate jobs, and more suppliers will appear on the market. Furthermore, consumers will have more options in Tbilisi, not only TELASI”, Maia Melikidze pointed out.

The market’s liberalization has already increased the demand for constructing small 13-MW hydro power plants (HPPs), which are not subject to GNERC regulations, she explained.

“The regulation of HPP means that it can sign an agreement with a direct supplier. For instance, in May 2019, we directed several major consumers directly to the free market. This means that they were able to find a generator themselves, and sign agreements with suppliers directly, and they have managed to do this”, Maia Melikidze noted.

Electricity has become a difficult product in Georgia.

Therefore, its import and prices have increased. To lower expenditures, it is necessary that consumers learn how to spare energy and, simultaneously, they should try to create their own small generators, so as to sell excessive power on the free market. The new energy market reality will provide this opportunity, Maia Melikidze noted, and added that today, the power generated in Batumi may be consumed in Borjomi. Before, power was to be generated and consumed in the same location. This means that if a person generates power in Batumi and does not consume it, he/she can consume electricity in any other location, on an exchange.

“We identified this in 2019. Thanks to so-called reverse meters, when a person generates and consumes power, the meter rotates in the other direction. If a person does not use the generated power, and this power is supplied Energy Sector in New Reality. “The year of 2020 will be decisive in terms of liberalizing the Georgian electricity market, while full liberalization will be achieved in 2021”, Maia Melikidze, member of the Georgian National Energy and Water Supply Regulatory Commission (GNERC) told

the Business Partner TV program. In 2017, Georgia took up the obligation to liberalize the energy market after the country joined the European Energy Union, following the Georgian-EU association agreement signed in 2014. The country prepared the corresponding legislation at the end of 2019, and established the Georgian Energy Exchange to regulate the transmission, supply and distribution of energy resources, and multiply options for consumers, she noted.

The year 2019 was fully dedicated to developing new legislation. Crucial work was provided by the Parliament and the Ministry of Economy and Sustainable Development. At the end of 2019, two important laws were adopted – the first one will regulate water supply and electricity supply, and another law will regulate the renewable energy sector, she added.

“At this stage, we are developing energy efficiency legislation. The market will be fully liberalized. In December 2019, we established the Georgian Energy Exchange, i.e. the Georgian energy market, involving transmission, supply and distribution. Today, if you want to receive electricity at your room, it is necessary to apply to TELASI. Our objective is to separate TELASI from this chain, and leave it only in the distribution sector. We should establish another major company in the electricity supply chain”, Maia Melikidze noted, and added that energy companies will have to determine their own responsibilities.

“The year 2020 will be a period of transition, and in 2021 the market will be fully liberalized. The different Function should be differentiated. The companies with both transmission and distribution obligations should be divided in full. This means that two independent companies should be established in the place of of TELASI. One of them will provide distribution services and another will provide supply services. Therefore, this process will

bring certain challenges to the companies; however, this process will generate jobs, and more suppliers will appear on the market. Furthermore, consumers will have more options in Tbilisi, not only TELASI”, Maia Melikidze pointed out.

The market’s liberalization has already increased the demand for constructing small 13-MW hydro power plants (HPPs), which are not subject to GNERC regulations, she explained.

“The regulation of HPP means that it can sign an agreement with a direct supplier. For instance, in May 2019, we directed several major consumers directly to the free market. This means that they were able to find a generator themselves, and sign agreements with suppliers directly, and they have managed to do this”, Maia Melikidze noted.

Electricity has become a difficult product in Georgia.

Therefore, its import and prices have increased. To lower expenditures, it is necessary that consumers learn how to spare energy and, simultaneously, they should try to create their own small generators, so as to sell excessive power on the free market. The new energy market reality will provide this opportunity, Maia Melikidze noted, and added that today, the power generated in Batumi may be consumed in Borjomi. Before, power was to be generated and consumed in the same location. This means that if a person generates power in Batumi and does not consume it, he/she can consume electricity in any other location, on an exchange.

“We identified this in 2019. Thanks to so-called reverse meters, when a person generates and consumes power, the meter rotates in the other direction. If a person does not use the generated power, and this power is supplied

8 February 3, 2020 #312

Ana Ivanishvili: "Development of Any Kind is never a Challenge, it’s an Opportunity’’ Interview with Marketing Director at ACT Research & Strategic Consulting, Ana Ivanishvili.

Tell us about how you got into the field of marketing, and what factors played an important role in choosing this profession?

I got involved in marketing deliberately. I chose this profession while doing a Master’s Degree at Caucasus Business School, after having mastered all the major subjects and developing a general understanding of management, finance, HR and other areas of business, and I realized that marketing was what I wanted to do with the rest of my life, and every day I was further convinced of my decision. This field opens up limitless possibilities for me, it’s the most dynamic and exciting, and facing constant challenges, and ways that were effective yesterday are no longer effective today, and those that were today will not be tomorrow. It is a field that does not allow for relaxation, and gives you the power to manage someone else's preferences. It's a magical field.

What challenges do you face as a leader in marketing, during a time of technological change?

Development of any kind is never a challenge, it is an opportunity. The world is evolving, which means that every minute you have more opportunities, and technology is one of the tools to reach our goal. So today I have more ways to move forward, which I will definitely use.

What has changed in the field in the last 5 years, and what changes are expected?

In the first place, the importance of data has been promoted in the decision-making process; that is, the creative process has become more thorough; A data-driven approach helps marketers work more productively, create the right content faster, and deliver it to the right customer, on the right channels, at the right time.

It is also noticeable that communication has become very narrow, purposeful, and personalized. Marketers strive to bring individual communication and value to each individual customer.

Approaches have changed at both the level of project and organizational management, with new tools being introduced; I mean agile or the so-called "Coaching"model may not be direct-

ly related to marketing, or any other specialty, though this simplifies thinking, planning, and other processes, for me, this is the future we are heading towards.

further enhance and help them achieve their goals.

What’s your organization’s business model, in terms of marketing?

You would be surprised, but the advice sounded like, "you don't have to be perfect," that is to say, the work you do, doesn’t necessarily need to be flawless.

It seems weird, but after realizing that it was the most important piece of advice, not only professionally, but also in life, because the key is to be effective, because otherwise, by the time you reach perfection, your perfect product might not be that useful.

I actually find it hard to name a company that is focused on its customers at this scale. ACT is a company where customer satisfaction and interest is the central locus, and processes and competencies develop around it. All decisions, whether it is the introduction of a new direction, technological development, product modification or anything else, come from one starting point - what value will this change bring to our customers, how much will this decision help them solve a problem?

Due to the specifics of our job, we deal with all kinds of clients, be it a private business, international organization, government structure, individual or other. Therefore, the knowledge and experience they have accumulated over the past 18 years in working with them is enormous. Our primary goal is to provide our customers with the latest innovations, and products that will

The most useful advice you’ve ever received in your life?

Think of a person who inspires you professionally.

I get inspired by many things, so it’s hard to name one person. I get inspiration from people who have the power to create something important, a turning point that will affect the general well-being of mankind.

9 February 3, 2020 #312

Business News

Radisson Collection Hotel, Tsinandali Estate chosen as a Finalist of MIPIM 2020 Awards

Ibis Styles and Novotel Living Hotels to be opened in Batumi

The finalist of the world’s leading International property event were named on 29th of January in Paris, France.

The hotel situated in Kakheti region, was nominated in the category of “Best Hotel & Tourism Award”.

2 international brands of hotels will be presented in Batumi. AR-Meridian already succeeded in negotiations conducting with Ibis Style and Novotel Living.

At this moment, they formed a 20-year agreement with Ibis Style. AR-Meridian and Novotel living will sign the contract in three months according to the memorandum.

Untitled Gallery hosts Tamar Giorgadze's Exhibition - Anamnesis - ignored Part of our Memory

Nena declare, they plan to enlarge producing and add a new line of vegetable preserves. Company noted, that selling of the product and amount of exported product is increased in 2019 on Georgian market.

Untitled Gallery is set to host the solo exhibition of a Georgian painter Tamar Giorgadze with her project "Anamnesis". ‘Anamnesis’ - summary of both general signs of illness and a person's subjective feelings.

Exhibition ‘Anamnesis’ relates to the forgotten, ignored, traumatic parts of our memory.

Georgian Company Alter Socks will be on sale in Azerbaijan "Belarus is the first export market, on which our "Alter Socks" brand operates.", noted founder of Alter Socks, Rezi Beselashvili. "Armenia, Azerbaijan, France, Germany, Belarus, America, Korea - this is the incomplete list of the countries, in which our product is sold. Until then, Alter Socks was presented in several shops.", declared Rezi Beselashvili.

New Hotel of Ambassador to be opened in Goderdzi

Invest Group to launch Large-Scale Project for Rehabilitating the Ananovs’ Palace

The new 5-star hotel Ambassador will open on 1st December of 2020 in the resort Goderdzi. Perhaps, this is the first part of the project. As the company declares, Ambassador Goderdzi's second block will start functioning from December 2021.

LLC Invest Group has introduced the project for rehabilitating the Ananovs’ Palace. The project calls for maintaining the historical appearance of the Palace, arranging a 6-suite hotel in the building and a tourism center on the neighboring territory, space for exhibition/tasting of strong drinks, sports playground and other tourism infrastructure.

Startup Grind Tbilisi hosted British Investor Nelson Gray On January 28th, Startup Grind held a meeting with British investor Nelson Gray. The event holded within the collaboration of World Bank, EU and Agency of Innovations and Technologies.

First Georgian Brand of Wooden Wristwatches opens Store Handy is the first Georgian brand of wooden wristwatches. The company plans to open a store of accessories on Leselidze Street at the end of January. The brand launched operation 3 years ago. The company founder produced first two wristwatches with an only 300 GEL investment.

Nena plans to produce Vegetable Preserves The company Nena producing fruit jams plans to produce vegetable preserves. As representatives of

Georgia presented on East Mediterranean International Tourism and Travel Exhibition 24th East Mediterranean International Tourism & Travel Exhibition opened in Istanbul. The stand of Georgia was presented at the event. Together with National Tourism Agency of Georgia, Adjarian Tourism and Resorts Department, Georgian companies also participated in the exhibition.

10 February 3, 2020 #312

Maka Batiashvili: I try to show not just a Particular Figure I am drawing, but my Attitude towards that Figure Interview with the Georgian Artist Maka Batiashvili Maka Batiashili is a Georgian artist who works in painting, book illustration, and video art. Her inspiration comes from the moments of mundane reality that frequently turn into important visual images. The artist grasps moments from ordinary situations, which find participants on the verge, where keeping a balance is required. The key concept for Maka is a person surrounded by an emotional environment and things which constantly balances the situation, and never crosses the lines. CBW had an interview with Maka Batiashvili: Your exhibition "Moment of Narcissism" has recently opened. Where did the idea for the title come from?

Narcissism is a slowed down or rigid moment when we focus on ourselves, observe our sights or our senses, and at the same time, get very close to our identity, and start controlling it. At this time, everything is distorted, and there is only "me," and nothing else around it. This is one of the pleasures that our brains and bodies constantly seek. These works have been created with this idea underpinning it, which was displayed at the Project Art Beat Gallery.

What was the work process like, and how did you decide to put it together, or when the time for exhibition was?

I worked until I had something to say; it's easy to just feel like it’s good enough, completed. At the time, I was completely engrossed in this, and not just during the process of drawing, but also in different situations, observing people, how they behaved, how they looked, how they posed for a photo, and so on. The mind fixes the image, and then some part is realized, from the thoughtful state to the material level. At this point, this topic is over for me, and I chose a new theme to work on after a month-long interval, it’s a good feeling for a fresh start.

The process of working, in general, depends on different attributes. It is like being a child, who constantly needs to be amazed and impressed. At this time, I don't think I am trying anything special, I just prefer to convey everything as simply as possible. I try to show not just a particular figure I am drawing, but my attitude towards that figure.

What makes you the most comfortable at this time?

Everything, good lighting, tranquility, a deliberate pace, sounds coming from the street, the sound of the wind, dogs barking, neighbors shouting, kids shouting in the yard. But by no means music, this time it holds my power because the focus is on it.

What was your education like?

I chose to go to the Academy of Arts, without any fuss. I told my family about my decision, and he immediately received my support. We chose a teacher and started to work with him as a student.

My painting teacher was Bezhan Shvelidze, who had 20 students like me. It was a workshop near Nutsubidze Street, now called Pablo Picasso Street.

Along the way, I realized that this is how I want to spend my entire life. There were no special restrictions here, there was a sense of freedom and a desire to become an extraordinary artist. Here, I could see so many students painting the same exact still life, yet these paintings would have come out

entirely different from one another.

My teacher didn't give me a lot of notes, telling me: ‘’you know the most important thing - how to enjoy drawing, and there’s nothing more important... go on and have fun, darling! I’m always observing you, and you seem to be ecstatic; loving what you do, is the case, can’t be taught by a teacher, although one can create an atmosphere, where a student will study for pleasure, rather than obligation.

I was enrolled in the Academy of Arts in 1992, and it is easy to imagine what the situation there was like at the time. There was chaos in every sense, the first shock was that some of my students were not too keen on drawing. And whoever enjoyed it, would look crazy. It's still unclear to me why they chose this university. For a painting I dedicated my entire life to, the teacher didn't show up to the lecture for an entire year, and many other frustrating stories, but it was still so mysterious and appealing.

I remember I arrived there hanging on a trolleybus, only to get there somehow…..because it was a meeting place, a strange and unexpected world that allowed for freedom.

Have you met any famous artist that affected your work?

I participated in a group exhibition recently where one of Natela Iankoshvili's paintings was presented.

When I stopped by her drawing, fragments of memories would come out. I was 14 years old when I met her at her at the workshop, perhaps a relative of mine had invited me as a guest. Natela and her husband hosted us. For the first time there, I came across huge, distinct drawings in the artist's workplace. I remember how attentive they were to me, to treat me as an adult, and not as a child, they talked to me, showed me around and explained each painting. At some point, Natela and I were left alone, and she said to me: I haven't seen your paintings, but you have such a deep look your eyes, I believe you can be a good artist. Remember, the most important thing is to have your own distinctive style, for people to recognize it’s you. I tried it, and I think it worked. This is the power of words. As for the visual impact, I think all the artists I’ve ever seen contributed, even a bit.

What role do you think your artworks have, or will have in the future?

I'm bringing colors and lines to this, superficially speaking. I'm just looking for something, constantly.

In today' s technological era, we have a continuous stream of information that causes information intoxication, from time to time. The righteous and fictional are intertwined, at such times, and I have a desire to find something very simple and frivolous in the world of these skyscrapers. What role it may play in the future will be decided by time, and by the

people.

When did you feel like a success?

A sense of success helps people to keep going in all professions. It is an extraordinary feeling of power and motivation, but I felt successful when I stopped caring about it, and as boring as it may sound, I just go with the flow, I draw in this flow, and everything else comes on its own, with no pressure…

In what profession would you imagine yourself, if you weren’t an artist?

I would be an ecologist, I’m very interested in this field. I love and it hurts. It hurts because most of this world consists of air, and we don't have it in our city.

Breathing is a symbol of life and it lacks that aspect here, it brings a sense of helplessness, and I have no power to abandon my socially active life and escape from the centre of the city to live in the village.

Project ArtBeat appeared in the art arena just a few years ago, and it’s always in the spotlight. What is it like collaborating with a contemporary art gallery?

I already knew Natia Bukia when it opened, she bought some of my artwork, then I met Salome Vakhania, and was told about their idea; then, many galleries opened up, but it was a bold move on their part. Because it is a complex and financially unsustainable business. I liked this decision a lot, it was very bold, and thoughtlessly joined them. During these 4 years, they’ve implemented many important projects, and Georgian art has been brought to numerous important art markets, worldwide.

Can you share what the subject of your upcoming series is?

It's a fog driven by two contrasting, masses of warm and cold air, the most mysterious grey quilt in atmospheric events.

11 February 3, 2020 #312 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: 29167-40/41/42 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 Pixel Center, 34, Ilia Chavchavadze Ave. 3rd floor Tel: +995 32 227 62 00 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 76-g Chavchavadze Ave., Tbilisi Tel: 231-11-61, 231-14-54 E-mail: 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 Kingdom of Spain Embassy Rustaveli Ave. 24, I floor, Tbilisi Tel: 230-54-64 E-mail: emb.tiflis@maec.esRomania Embassy 7 Kushitashvili St., Tbilisi Tel: 38-53-10; 25-00-98/97 E-mail: ambasada@caucasus.net Republic of Poland Embassy Oniashvili str. 24, Tbilisi Tel.: +995322 920398; Fax: +995322 920397 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, 291-2689/59 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 European Investment Bank Regional Representation for the South Caucasus Address: 1,G.Tabidze Street, Freedom Square

Phone: +995 322 006284 Embassy of The Republic of Korea 12, Titsian Tabidze Str. Tbilisi 0179, Geogia Tel: (995 32) 297 03 18; 297 03 20; Fax: (995 32) 242 74 40; Email: georgia@mofa.go.kr 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 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 RIVER SIDE HOTEL With incredible service and views Addr: Mari Brosse street turn, Old Tbilisi.

Tel: +995 32 2242244; +995 32 2242288 Fax: +995 32 2 242277 Email: info@riverside.ge Website: www.riverside.ge 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, 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 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

12 February 3, 2020 #312