Tag Archives: Georgia

France agrees $577m finance deal with Georgia

JUNE 10 2021 (The Bulletin) — France demonstrated its financial clout in the South Caucasus by signing a $577m deal to provide grants and loans to Georgia over the next three years. France is home to sizable Georgian and Armenian diasporas and takes a close interest in the region. Armenian PM Nikol Pashinyan met with French Pres. Emmanuel Macron in Paris last month and in 2008, French officials negotiated an end to a war between Russia and Georgia. The loans and grants will be used to finance infrastructure and social welfare projects.

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— This story was published in issue 48 of the Central Asia & South Caucasus Bulletin, on June 16 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Georgian flour mill workers call off strike

JUNE 10 2021 (The Bulletin) — Workers at the Gulistani flour-milling plant in western Georgia have ended their 38-day strike after agreeing terms with management, said Georgia’s Trade Union of Agriculture and Industry. The trade union didn’t give any details of the terms and conditions reached. Georgia has been hit by a wave of industrial disputes this year.

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— This story was published in issue 48 of the Central Asia & South Caucasus Bulletin, on June 16 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Georgian PM says he wants new terms on controversial dam

TBILISI/JUNE 9 2021 (The Bulletin) — After months of protests, Georgian PM Irakli Garibashvili said that he wanted to renegotiate the terms that Turkish construction company Enka and Norway’s Clean Energy Group were given to build and run the Namakhavani Hydropower Plant in the Rioni Valley in the west of the country. 

Protesters have said that the project, slated to be Georgia’s biggest hydropower plant, damages the countryside and is too lenient towards the foreign investors. The government has said that the Namakhavani Hydropower Plant is vital for its future energy generation projects as it will boost energy production by 15% and must go ahead.

Protesters have blocked access to the site for the past seven months and staged rallies in both Kutaisi and Tbilisi which have attracted thousands of people. Police have made several arrests at some of the protests in the Rioni Valley after clashes with demonstrators.

Enka Renewables, in which Enka owns a 90% stake and Clean Energy Groups owns a 10% stake, signed an $800m deal to build and run the Namakhavani hydropower plant with Georgia in April 2019. 

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— This story was published in issue 48 of the Central Asia & South Caucasus Bulletin, on June 16 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Third of Tbilisi residents have had coronavirus, says top doctor

JUNE 9 2021 (The Bulletin) — Around a third of Tbilisi’s 1m residents have been infected with the coronavirus, Tengiz Tsertsvadze, head of the Infectious Diseases and AIDS Centre, told media. He also said that two-thirds of the people who had been infected were asymptomatic and didn’t even know that they had been infected.

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— This story was published in issue 487 of the Central Asia & South Caucasus Bulletin, on June 9 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Church-run orphanage in Georgia accused of abuses

TBILISI/JUNE 5 2021 (The Bulletin) — A court in Georgia accused a bishop of presiding over a sadist regime at a school for disabled orphans that beat and sexually abused children, rare criticism of the Orthodox Church in Georgia where it is held in high esteem.

The court order to remove disabled children from the church-run school will also embarrass the ruling Georgian Dream government which has been criticised for its close ties with the Orthodox Church and for being reluctant to carry out a full investigation at the Ninotsminda Orphanage despite evidence of abuse. 

Four investigations since the orphanage was opened in 2015 have fallen through.

Anna Arganashvili, head of the Partnership for Human Rights NGO which had pushed for the court’s intervention, said: “The court decreed that if children are in danger today, it must be stopped immediately. This is crucial.”

The Georgian Orthodox Church, and Bishop Spiridon Abuladze whose jurisdiction the orphanage falls under, have denied any wrongdoing and appealed the court’s decision to effectively close the school where 57 children had lived.

Media reported that the Ninotsminda Orphanage, 160km southwest of Tbilisi, is one of three orphanages that the Georgian Orthodox Church runs. Online reports quoted children from the school as saying that they had been placed in stress positions, beaten and abused.

In Georgia, with its instinctively traditional culture, the Orthodox Church is one of the most powerful institutions in the country. Analysts have said that an unofficial alliance with the Orthodox Church has been vital to the Georgian Dream’s election successes since 2012. 

Last month the Georgian Dream was one of the only political parties in Georgia not to sign a pledge to protect gay rights, which the Georgian Orthodox Church opposes.

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— This story was published in issue 487 of the Central Asia & South Caucasus Bulletin, on June 9 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Germany’s Eurowings to start flying to Tbilisi

JUNE 5 2021 (The Bulletin) — Eurowings, the low-cost airline owned by Germany’s Lufthansa, will start weekly flights from Dusseldorf to Tbilisi from July. There has been a boom in flights to Georgia over the past few years, driven mainly by tourism, led by Hungary’s Wizz Air which set up a base in Kutaisi in 2016. Seasonal workers have also pushed up demand for flights to Europe from Georgia. This year Germany has invited thousands of Georgians to pick fruit at its farms.

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— This story was published in issue 487 of the Central Asia & South Caucasus Bulletin, on June 9 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Georgia suspends controversial hydro-dam project

TBILISI/MARCH 12 (The Bulletin) — Apparently bowing to pressure from environmentalists and local residents, the Georgian government suspended work on the construction of its Namakhvani Hydro Power Project. 

Natia Turneva, the Georgian economy minister, said that the project had been suspended to allow for extra studies on the “reliability and safety” of the project. 

“This is a very important large hydropower plant with an installed capacity of 430 MW. It will bring in $800 million in foreign direct investments,” she said.

This is the line that the government has consistently taken with the project, one of the most controversial energy projects in Georgia.

Police and demonstrators have clashed near the construction site of the Namakhvani HPP on the Rioni River in the foothills of the Caucasus mountains. It is slated to be the largest power plant in Georgia when it is complete, generating 15% of Georgia’s energy.

Ms Turneva said that Georgian experts and institutions would be hired to carry out independent surveys of the impact of the dam on the environment and on local communities and that a $1.5m Rioni Gorge Development Fund would be set up to help people relocate.

The hydropower project, which is being developed in two parts — a Lower Namakhvani HPP (333 MW) and the Upper Namakhvani HPP (100 MW) — is being financed by international donors, including the Norway-based Clean Energy Group, and is being constructed by Enka, Turkey’s largest construction company.

Protesters, who complain about the environmental damage and the forced resettling of people from the area, have blocked access to the site for more than four months. They said that the government couldn’t suspend the project as construction work had not started yet.

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— This story was published in issue 475 of the Central Asia & South Caucasus Bulletin, on March 15 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Georgian government support for banks can no longer be relied upon -Fitch

MARCH 11 (The Bulletin) — In a report on government support for banks in Emerging Markets, Fitch the ratings agency said that Georgia could “no longer be relied upon” to prop up its banks because of legislation that it introduced in Jan. 2021. Georgia introduced bail-in legislation that forces creditors and bondholders of banks to accept more risk.

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— This story was published in issue 475 of the Central Asia & South Caucasus Bulletin, on March 15 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

EU appoints mediate for Georgian political stand-off

MARCH 9 (The Bulletin) — Highlighting the central role that the EU expects to play in mediating a resolution to a breakdown in the political system in Georgia since a disputed election in October last year, European Council President Charles Michel appointed a personal envoy to talks. It is expected that Christian Danielsson, head of the EU delegation in Sweden, is expected to mediate in the talks. Last month police arrested a senior opposition leader and the PM resigned. Protests have continued on the streets.

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— This story was published in issue 475 of the Central Asia & South Caucasus Bulletin, on March 15 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021

Phone records spurs Georgian PM resignation demands

MARCH 7 (The Bulletin) — An opposition TV station in Georgia published what it said was a recording of a phone call between PM Irakli Gharibashvili and Bera Ivanishvili, son of the  founder of the Georgian Dream government coalition Bidzina Ivanishvili, which it said showed the excessively close link between the government and the billionaire. In the phone call, Bera Ivanishvili is allegedly heard trying to pressure Mr Gharibashvili into prosecuting people who he said had harassed him online. Mr Gharibashvili has dismissed the phone call as a fake.

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— This story was published in issue 475 of the Central Asia & South Caucasus Bulletin, on March 15 2021

— Copyright the Central Asia & South Caucasus Bulletin 2021