Economic Press Monitor January 21 - 27, 2018	Days:  30 20 27 03 10

economic & politics

EUGEORGIA.INFO: “WILL BUSINESS ADMINISTRATION BECOME MORE COMPLICATED BECAUSE OF NEW RULE OF ADVANCE TAXATION WITH VAT”

January 25, 2018 - Before 2017, VAT payers had opportunity to pay VAT, in case of receiving advance payment for production/service, to pay VAT after delivery of production / rendering of service.

Since January 1, 2017, moment of VAT payment is defined as moment of advance payment’s receiving.




TABULA: “ECONOMY MINISTRY TO MOVE FROM RENTED OFFICE TO THE JUSTICE HALL”

January 25, 2018 - The Ministry of Economy and Sustainable Development is moving from the office, located in Tbilisi on Chovelidze Str., 10, to the Justice Hall, Tabula reports. The whole process of moving has to come to the end in March.




REZONANSI: “REGULATION OF TAXI WILL END IN ESTABLISHMENT OF TAX”

January 25, 2018 - Tbilisi City Hall begins obligatory registration of taxi, the newspaper reports.

As deputy to the Mayor Maya Bitadze says, “First stage of taxi regulation includes very simple form of permission’s acquisition”.




REZONANSI: “THE COUNTRY NOT TO HAVE LAND CODE FOR ANOTHER YEAR”

January 23, 2018 - First Deputy Chairman of the Parliament’s Agrarian Committee Gela Samkharauli says that “the group, working on the Land Code, has to clarify itself and then consideration will take place”.

“I think, we will start working on this issue at the spring session”, Samkharauli declares and adds that he supports maintenance of established moratorium.




FORBES GEORGIA: “ASSESSMENT OF REFORM OF PROFESSIONAL EDUCATION”

January 22, 2018 - Referring to Sakstat, the magazine reports that share of those youngsters, who neither work, nor study, makes up 26%. The article indicates that it is supposed that professional education is the shortest way to youth employment.

macroeconomics & budget

BANKEBI DA FINANSEBI: “ACCORDING TO IMF FORECAST, GEORGIA BY 2022 WILL BE RICHER THAN ALBANIA AND BOSNIA AND WILL APPROACH LEVEL OF BELARUS”

January 23, 2018 - According to the IMF, Georgia’s GDP per capita for 2017 will exceed $4,123. As a result, Georgia will move to the 1^st place in the South Caucasus and will outstrip not only Armenia, but Azerbaijan too, the newspaper says.




TABULA: “THE BUDGET HAS 80 MILLION FOR THAT DEPARTMENT, WHICH DOES NOT EXIST”

January 23, 2018 - The state budget-2018 envisages 80 million lari for that department, which does not exist yet, Tabula reports. The matter concerns the state pension fund.




KVIRIS PALITRA: “THE EMPLOYED POOR”

January 22, 2018 - Referring to official statistics, the newspaper reports that unemployment level in Georgia makes up 11.8% and decreases annually, starting from 2009 (16.9%).

As the article notes, research of National Democratic Institute (NDI) show that 60% of Georgian respondents consider themselves unemployed, while 54% said that creation of jobs is the most important issue.

energy, oil & gas

REZONANSI: “IMPLEMENTATION OF LARGE ENERGY PROJECTS GRADUALLY BECOMES IMPOSSIBLE”

January 24, 2018 - Possibly, energy projects in Svaneti will not be possible to launch in 2018 too, the newspaper states. The article reminds that KhudonHES project is deadlocked, while project of NenskraHES is clogged because of investor’s decision.

companies

TABULA: “OVERPASS HAS TO BE BUILT ON IVANISHVILI’S HIPPODROME, THE CITY HALL TO REIMBURSE LOSS TO HIM”

January 26, 2018 - Since 2009, Tbilisi hippodrome of 40 ha is private property of Bidzina Ivanishvili (billionaire ex-premier of Georgia), Tabula says. As the article notes, the hippodrome is not fenced and the population uses it as recreational area.




NETGAZETI.GE: “19 PEOPLE POISONED WITH SANDWICHES, BOUGHT IN “CARREFOUR” – CENTER OF DISEASE CONTROL”

January 26, 2018 - Referring to Disease Control Center, Netgazeti.Ge reports because of poisoning with food of Carrefour, diarrheal infection revealed to 19 people. Medical care was required to 14 of them.




FORBES GEORGIA: “20 MOST ACTIVE COMPANIES IN MEDIA OF 2017”

January 22, 2018 - Referring to research of IPM (Institute for Polling and Marketing), the magazine reports that among Georgian companies, articles and news mentioned most of all during 2017 TBC Bank (9,190 times). On the second position is Sakartvelos Banki (Bank of Georgia, 6,335 times).

transport & communications

REZONANSI: “MOTOR FREIGHT TURNOVER IS FROZEN AT ONE MARK”

January 26, 2018 - By 10-month data of 2017, vehicles had transported in total freights of 33.4 million t, which is by 900,000 t less, than for the same period of 2016, the newspaper reports. The article notes that volume of freights, processed by seaports, has decreased also.




TABULA: “KALADZE TO BUILD THE OVERPASS, WHICH NARMANIA REFUSED UNDER MOTIVE OF 87 TREES’ PRESERVATION”

January 23, 2018 - Tbilisi City Hall already announced the tender on overpass’ arrangement at crossing of Tsintsadze and Kartozia streets near old hippodrome, Tabula reports.

Estimated cost of works makes up 2.9 million lari.

international cooperation

EUGEORGIA.INFO: “INITIALLY, GEORGIA WILL BE ABLE TO TAKE PART IN TENDERS OF THE CENTRAL GOVERNMENTS OF THE EU”

January 24, 2018 - In September 2017, Georgian Agency of State Procurements has finished the 1^st phase of the action plan for rapprochement with the EU in the sphere of state procurements, Eugeorgia.Info reports. Within this phase, main regulating standards were worked out.

finances & banking

FORBES GEORGIA: “INTEREST RATES ON CREDITS, ISSUED IN LARI, INCREASED IN 2017 BY 4.5 PERCENTAGE POINTS”

January 26, 2018 - In 2017, credits, issued by Georgian banks in national currency, has increased by 2.6 billion lari (by 39%), while ones, issued in foreign currency – by $190 million (by 4%), the magazine reports.

As the article notes, average interest rate on credits in lari has raised in 2017 by 4.5 percentage points and made up 22.7%.




REZONANSI: “CREDITS ARE OFFERED TO PEOPLE FOR MANUFACTURING OF BITCOINS!”

January 25, 2018 - Some microfinancial organizations offer credits to population for manufacturing of cryptocurrency, demanding the real estate in guaranty, the newspaper reports.

In this connection, banking expert Gocha Tutberidze points at risk of price dynamics.

construction

REZONANSI: “NEW STANDARDS OF THE CITY HALL TO RAISE PRICE OF APARTMENTS UNDER CONSTRUCTION”

January 26, 2018 - More than 200 objects in Tbilisi received verbal warnings concerning construction issues’ streamlining, while 54 constructions were suspended, the newspaper reports. That are results of inspection, which was conducted from November 20, 2017 to January 17, 2918.




REZONANSI: “SETTLEMENT OF AFFECTED FLAT-OWNERS’ PROBLEM WILL REQUIRE 45M AT LEAST”

January 24, 2018 - Tbilisi Mayor Kakha Kaladze declared that “about 3,000 families expect for years concrete decision of the state in connection with living space”. “I promise the population that this issue will be resolved during my term in office”, he assured.




REZONANSI: “OLD INFRASTRUCTURE DOES NOT BEAR HUGE BUILDINGS ANY MORE!”

January 23, 2018 - Urbanistic expert Lado Vardosanidze considers that networks of water supply, sewerage and other communal infrastructure in large cities should be urgently brought in good shape. “The population grows daily, while old infrastructure does not bear such quantity and load”, he declares.