Issue no: 1082/146 • SEPTEMBER 11 - 13, 2018 • PUBLISHED TWICE WEEKLY PRICE: GEL 2.50

In this week’s issue... FOCUS City Hall, Transport ON GEORGIAN Company Meet with We take a look at the latest global designer successes from Stadler PAGE 3

NEWS PAGE 1 ADC & USAID Zrda Invest in Regional Economic Development of Anaklia/ Zugdidi & Surroundings BUSINESS PAGE 6

Vetements. Design by Welcome to Georgia! Extends Registration to Ruling GD Supports Salome 2018 Tourism Awards BUSINESS PAGE 8 Zurabishvili in Presidential Elections Georgia Listed among BY THEA MORRISON Top 5 Fastest Growing

uling party Georgian Dream (GD), Tourist Destinations which decided not to have their BUSINESS PAGE 8 own candidate for the presidential elections scheduled for October 28, will back independent candidate EMUI 9.0 Promises SalomeR Zurabishvili. The decision of the party was announced by the Parliament Speaker Irakli Kobakhidze on Unrivaled Experience of September 9 after the political council meeting. Kobakhidze said the Georgian Dream was HUAWEI Mate 20 series sticking to its decision not to nominate its own candidate for the elections. BUSINESS PAGE 10 “Georgia is a Parliamentary Republic, where power is concentrated between the parliament and the government, where the President enjoys Prepared for Georgia Today Business by only representative functions; and in this sys- Markets As of 07-Sep-2018 tem, the President has to be above partisan STOCKS Price w/w m/m BONDS Price w/w m/m politics, has to be unbiased and should not rep- Bank of Georgia (BGEO LN) GBP 17.03 +3,0% -5,4% GEOROG 04/21 103.06 (YTM 5.48%) -0,0% +0,8% Georgia Capital (CGEO LN) GBP 10.28 +0,1% +2,7% GEORG 04/21 105.38 (YTM 4.64%) -0,0% -1,1% resent the interests of the ruling party or the GHG (GHG LN) GBP 2.31 +0,4% -13,5% GRAIL 07/22 106.01 (YTM 5.97%) -0,1% -0,5% opposition, but rather be a defender of the peo- He then called on Georgian society to support the legislative body. TBC Bank Group (TBCG LN) GBP 15.84 -1,0% -7,9% GEBGG 07/23 98.25 (YTM 6.42%) -0,6% -1,8% ple’s interests,” he explained, adding that in Zurabishvili’s candidacy. The Central Election Commission (CEC) of Geor- COMMODITIES Price w/w m/m CURRENCIES Price w/w m/m Crude Oil, Brent (US$/bbl) 76,83 -0,8% +2,9% GEL / USD 2,6049 +1,2% +5,8% order to ensure maximum political pluralism, After the ruling party announced their choice, gia says 46 applicants have applied to the Central Gold Spot (US$/OZ) 1 196,93 -0,4% -1,2% GEL / EUR 3,0081 +0,8% +5,2% considering the country’s interests, an inde- Zurabishvili said her expectations had been met. Election Commission. September 18 is the deadline GEL / GBP 3,3657 +0,9% +5,6% INDICES Price w/w m/m GEL / CHF 2,6832 +1,3% +8,5% pendent candidate should become President. “This is a very positive decision for me, I think for presidential candidates to submit a list of sup- FTSE 100 7 277,70 -2,1% -5,7% GEL / RUB 0,0372 -2,6% -4,1% FTSE 250 20 209,61 -2,3% -2,3% GEL / TRY 0,4067 +3,5% -13,4% “We [GD] think Salome Zurabishvili can estab- it is also a right and a democratic decision for porters (no less than 25,923) to the CEC. DAX 11 959,63 -3,3% -5,4% GEL / AZN 1,5355 +1,3% +6,0% lish a new tradition in our constitutional system: the ruling party…I am very happy,” she added. Zurabishvili submitted signatures of more than DOW JONES 25 916,54 -0,2% +1,1% GEL / AMD 0,0054 +1,9% +5,9% NASDAQ 7 902,54 -2,6% +0,2% GEL / UAH 0,0922 +1,1% +1,5% she can fulfi ll the President’s functions not in Salome Zurabishvili was an independent can- 73 thousand supporters to the CEC. MSCI EM EE 149,46 -3,8% -6,7% EUR / USD 0,8656 +0,4% +0,4% the interests of an individual party or a political didate in the 2016 parliamentary elections and Check out GEORGIA TODAY'S EXCLUSIVE MSCI EM 1 022,98 -3,1% -5,3% GBP / USD 0,7739 +0,3% +0,1% SP 500 2 871,68 -1,0% +0,5% CHF / USD 0,9692 +0,0% -2,7% group, but based on the interests of the country the GD decided to withdraw their candidate in interview with PRESIDENTIAL CANDIDATE MSCI FM 2 584,57 -2,4% -5,7% RUB / USD 69,9013 +3,6% +10,1% GT Index (GEL) 1 582,68 --TRY / USD 6,4089 -2,0% +22,6% and society as a whole,” Kobakhidze said. Mtatsminda region to help her win the seat in SALOME ZURABISHVILI this THURSDAY! GT Index (USD) 1 208,13 --AZN / USD 1,6959 +0,0% -0,3% GEORGIA TODAY 2 NEWS SEPTEMBER 11 - 13, 2018 Grape Harvest Kicks Off in Kakheti 150 wine companies are involved in this Ministry of Environment Protection and BY THEA MORRISON year’s harvest process and are buying Agriculture, National Wine Agency, and grapes from local farmers. Grapes have State Representative-Governors of the already been processed by 71 wine com- Kakheti region. he Grape Harvest 2018 has panies. The Headquarters work 24/7 during begun in Georgia’s win- “The harvesting process started in the harvest, helping farmers and enter- emaking region of Kakheti. almost all municipalities of Kakheti prises to organize the harvest, and ensur- Georgia’s National Wine except Sagarejo where traditionally the ing accountability and traceability, which Agency (NWA) reports vintage starts later…In all regions of is a precondition for quality production. thatT more than 23 thousand tons of Kakheti, wine enterprises continue The NWA reports that the grapes grapes have been processed in Kakheti receiving grapes in the usual regime and are collected on the basis of the Uni- so far, including 14 thousand tons of are processing the harvest, ” Aslanishvili fied Electronic Accounting system Saperavi, 5 thousand tons of Rkatsiteli, stated, adding the number of participant implemented by the Ministry of Envi- 800 tons of Kakhuri Mtsvane, and other companies is growing. ronment Protection and Agriculture kinds of grapes. The NWA has The Harvest Headquarters began oper- since 2013. announced that the income of local ating in Kakheti on August 20 and is In order to promote grape growing, farmers has already reached 37 million ready to register more enterprises that the government issued subsidies on GEL ($14,859,436.80). wish to participate in the collective har- Rkatsiteli, Saperavi and Kakhetian Green The Head of the Harvest Coordination vest. grapes in 2017. However, this year the Headquarters and Deputy Head of the The harvest coordination Headquarters government decided not to subsidize NWA, Andro Aslanishvili, stated around was set up by representatives of the Image source: Georgia’s National Wine Agency grapes in the country. City Hall, Tbilisi Transport Company Meet with Stadler in July 2016, when four new, double-decker Stadler is one of the world's leading BY SAMANTHA GUTHRIE ‘Stadler KISS’ trains began carrying railway companies in railroad transport, and has passengers between Tbilisi and Batumi. been operating since 1942. It has been The trains marked a signifi cant upgrade working closely with Georgian Railway, ice-Mayor of Tbilisi Irakli from previous trains servicing the route Tbilisi City Hall, and the Georgian gov- Khmaladze and the Director as they are adapted for people with disa- ernment on its plans to construct a fac- of the Tbilisi Transport Com- bilities and meet European standards of tory in the country. The Swiss company pany, Mamuka Kobakhidze, safety and comfort. manufactures railroad passenger trains, met Friday with representa- After signing the Memorandum, Geor- as well as subway and tramway cars, and tivesV of the Swiss rail company Stadler. gian Railway JSC released a statement has various plants worldwide. Products During the meeting, the participants saying that they believe Stadler decided produced in Georgia will be designated discussed the details of Stadler’s activi- to build the factory in Georgia due to its for the local and regional market. ties in Georgia and plans for future coop- Image source: Photo: Tbilisi City Hall previous success entering the market Stadler’s holding company consists of eration within the framework of the and the continual improvement of the eight subsidiaries with locations in Alge- Memorandum of Cooperation that was orandum. If Tbilisi City Hall and Stadler us to introduce new buses and renew domestic business environment. “Launch- ria, Germany, Italy, the Netherlands, signed in June. can come to an agreement on several the metro trains in the capital,” said Tbi- ing such a high-tech enterprise in our Austria, Poland, Switzerland, Spain, the Khamaladze said after the meeting, important issues, then by the end of the lisi Mayor Kakha Kaladze after signing country bears paramount importance Czech Republic, Hungary and Belarus. “Several months ago, Tbilisi City Hall year there may be a cooperation agree- the Memorandum in June. Kaladze also for increasing the export potential of In 2014, Stadler formed a joint venture signed a Memorandum with Stadler. The ment. Within the scope of this agree- said that the factory will play an impor- Georgia, providing high-end fully with Azerbaijan-based company Inter- fi rst working meeting was held with the ment, a Stadler rail transport factory will tant role in creating new jobs for Tbilisi equipped railroad passenger trains as national Railway Distribution LLC and management and founders of the com- be built in Georgia.” residents. Stadler Rail employed approx- well as metro and tram rolling stock for agreed to provide the passenger car that pany today, where we discussed the “It is an important project in terms of imately 7,000 people worldwide in 2017. the regional and worldwide markets,” will run on the long-awaited Baku-Tbilisi- details of cooperation within the mem- transport development as it will enable Stadler fi rst entered the Georgian market read the Georgian Railway statement. Kars route. GEORGIA TODAY SEPTEMBER 11 - 13, 2018 NEWS 3 Georgian Designers Make a Splash in Showrooms ning through October 2, 2018, which will exhibit BY SAMANTHA GUTHRIE Georgian brands ANOUKI, Dalood, LIYA, and Mate- riel. Cairo-based Maison Pyramide opened The Show- t Paris , twice a year, room in March 2017, a platform that “gained immedi- top international designers present ate recognition for bringing together a heavy roster spring/summer and autumn/winter of award winning and emerging talents presenting a women’s ready-to-wear collections fresh approach to contemporary and advanced con- in a series of fashion shows, with temporary womenswear and accessories,” according Asmaller Fashion Weeks for men's and haute couture to their website. collections in between. A Fashion Week presents Paper Mache Tiger is a fashion sales and commu- approximately 100 brands to hundreds of buyers nications agency specializing in integrated solutions and media representatives from around the world. for quality brands, based in London and New York In the buzz and excitement surrounding Fashion with a year-round showroom in Paris. “From emerg- Weeks, in one of fashion’s most important cities, ing talent to established international brands, Paper many showrooms pop up independently to exhibit Mache Tiger provides brand partners with tailored, the work of emerging designers. communicative and strategic representation and Products from seven Georgian designers were consultation,” their website reads. exhibited at the Paris showrooms of More Dash, In Georgia, fashion is becoming more than an enter- Maison Pyramide, and Paper Mache Tiger Paris from tainment industry, now playing a signifi cant role in June 19 to June 26 as part of the Men’s Fashion Week the growth of the economy. The fashion industry has for Spring/Summer 2019. The collections were sup- drawn attention to the country, particularly on the ported by Enterprise Georgia, an agency of the Min- part of superstar designers such as Demna Gvasalia, istry of Economy and Sustainable Development of the creative director of and head designer Georgia, which is responsible for business support, for . Gvasalia brought the post-Soviet aes- export promotion and investment in various sectors thetic to the world stage and turned heads with his of the Georgian economy. The showrooms displayed Georgian 90s-inspired collections. Even after pro- the brands N-Duo, Dalood, ANOUKI, Tamuna claiming, in 2017, that “Eastern Europe is over,” young Image source: More Dash Ingorokva, Lako Bukia, Materiel Tbilisi, and LIYA. still fl ock to the bazaars to buy knock-offs More than 22,000 Euros worth of merchandise by of his designs – and the occasional authentic piece. Many Georgian brands have received international and draws culturally curious fashionistas to the bou- Georgian designers were sold across the three show- In May, GQ wrote about the future of fashion and success, such as Avtandil, worn by Lady Gaga and tiques and workrooms of Georgia’s top fashion houses. rooms this June. Georgia’s role in it in an article on their website, call- Mary J. Blige, Situationist, worn by Bella Hadid, and In June of this year, Tea Agladze, Editor-in-Chief of Ukrainian promotion and sales agency More Dash ing Georgia “the wildest country in fashion.” Georgia George Keburia, worn by Rihanna and Kortney Kar- fashion and lifestyle magazine Bomondi, predicted represents Ukrainian and Georgian designers. Their was this year’s guest nation at Pitti Uomo, one of the dashian. In July, Materiel announced that it was that fashion tours of Georgia would be the next big website explains that, “From year to year we organ- world’s most important platforms for men’s clothing anticipating orders from 30 retail stores globally, trend in the tourism industry – so far, interest in ize...events to promote a new generation of Eastern and accessory collections and for launching new including Italy, France, the UK, the USA, China, Japan Georgian designers continues to grow, but mainly in European designers to international buyers and press.” projects in men’s fashion, described by GQ as “typi- and the UAE. While the big brands are beyond the exported collections rather than domestic visitors. More Dash will open its next showroom, coinciding cally known for generating insane, eyeball-twitching reach of most average Georgians, high-end fashion The 2019 Spring/Summer will with Women’s Fashion Week, on September 27, run- street style.” from local designers inspires street wear lookalikes be held October 19-21.

The Eastern Economic Forum: An Important Platform for Regional Dialogue & Cooperation

Image source: Kremlin info us the necessary advantages for more active inter- BY DIMITRI DOLABERIDZE action and development,” he summarized, going on to note that this year, for the fi rst time in the history of the forum, China's President Xi Jinping he Eastern Economic Forum (EEF) is will participate. In addition to the head of state, an international forum held each year the Chinese delegation will include business rep- since 2015 in September, at the Far resentatives, as well as leaders of nine regions of Eastern Federal University in Vladi- the country. vostok, Russia, for the purpose of “Regarding the dialogue at the regional level, Tencouraging foreign investment in the Russian Far there will be nine regional leaders from the Chi- East. The Russian President and the Japanese Prime nese side and 13 of their colleagues from Russia, Minister have attended this forum since its foun- which will be a very large meeting in terms of dation. regional cooperation,” Hanhui said. The 4th EEF will be held in Vladivostok on Sep- “This year is a year of regional cooperation tember 11-13. between China and Russia: we will hold a dialogue The Chinese Assistant Foreign Minister, Zhang between the heads of regions, exchange fruitful Hanhui, emphasized that the EEF has become an experience of cooperation in the Far East and important international platform for promoting thereby fully utilize the potential of two important dialogue and strengthening cooperation between platforms for interaction: between Northeast China the countries of the region. and the Russian Far East, as well as the Volga – “With the expansion of its scale and infl uence in Yangtze Mechanism,” Hanhui added. the last four years, the EEF has become an impor- The Yangtze-Volga Mechanism links areas along tant platform for strengthening dialogue and coop- the two major rivers in China and Russia. It plays eration between different countries. China attaches a positive role in promoting ties and cooperation great importance to it and fi rmly supports Russia between the nations and includes six regions along in holding the forum: we have sent high-ranking the upper and middle reaches of the Yangtze River delegations to participate in the EEF in the last in China and 14 federal provinces along the Volga. three years,” Hanhui said. Over the past four years, regions along the rivers “At present, the countries of the region show have had extensive cooperation on trade, invest- enthusiasm for cooperation in the Far East, giving ment and e-commerce. GEORGIA TODAY 4 BUSINESS SEPTEMBER 11 - 13, 2018 Carstensen on German-Georgian Relations & Georgia’s Growing Agriculture Potential

Germany. When you want to sell a prod- BY KATIE RUTH DAVIES uct, it’s obvious that the infrastructure should be good. Georgia has a lot to work on. We Germans are very interested in eter Harry Carstensen is Georgia and believe in its capability to known as a political fi gure in develop; we’ve seen people unite, one Germany. He was a Member with a desire to build a potato factory, the of Parliament there from 1983 second wanting to make potato chips- to 2005, and from 2005 to 2012 doing it with their own hands and work, heP was Minister-President of the State asking for help when needed. This is a of Schleswig-Holstein, serving as Presi- positive development for Georgia. dent of the Bundesrat in 2005/06. His experience is related to agriculture. HOW IMPORTANT IS THE He passed his Abitur in 1966 and worked DEVELOPMENT OF AGRICULTURE in agriculture before beginning a course FOR ECONOMIC STABILITY? of study in agronomy in 1968, fi nishing Georgia is amazing exactly because of its in 1973 as a qualifi ed engineer. He was fertile soil. The fi rst time we came here, employed as a teacher of agriculture at we saw people outside the market selling the Bredstedt Agricultural School and vegetables, watermelons, potatoes, all also as an economics advisor in the Agri- grown on this fertile land. Today, the main cultural Ministry of Schleswig-Holstein aim is to use this land optimally. What until 1983. we did here is not only the result of good He is a very important person in Ger- land, we also had capital, we had experi- many and great friend and advisor for ence, advisors and even people we could Georgia. GEORGIA TODAY asked him work with: that’s exactly what we have to elaborate on his connection with the to keep doing! country. With the emergence of jobs in the coun- try, Georgia will develop- this is clear. MR. CARSTENSEN, YOU That’s what happens when you have such RECENTLY VISITED GEORGIA, factories on the Georgian territory. AND NOT FOR THE FIRST TIME. WHAT WAS YOUR MISSION TO WHAT EXTENT ARE YOUNG IN TBILISI THIS TIME ROUND? PEOPLE INTERESTED IN RURAL I’m very proud when I see what we DEVELOPMENT IN YOUR achieved. 5-6 years ago, we were talking COUNTY? HOW IMPORTANT about potato chips with local entrepre- ARE YOUNG PROFESSIONALS neurs. We were talking about Georgia, FOR THE DEVELOPMENT which has such fertile soil, and we were OF AGRICULTURE? thinking about how people could develop I was an agricultural advisor and spent strong agriculture – everything you see some time teaching in an agricultural here is the result of our conversations. school: agriculture is in my heart and I We sowed about 50 hectares of potato; want to pass my knowledge to others! most of the produce of which goes to a Are young people interested in agricul- potato chips factory now. Not only do we ture? This is a very interesting question. have agricultural products, but we also Obviously, I cannot give you a clear answer. have production, which has additional In Germany, when people come to us value. We have almost 60 employees in from the village, they are interested in high season. This includes the output of the development of this culture. In Ger- the product in Georgia and new jobs for many, there is another structure- the area Georgians. It makes me proud to see it is bigger than here, there is a lot of poten- working. tial, but we don’t have many farmers. This potential should be used effi ciently. I have YOUR FIRST VISIT TO GEORGIA to think how to create agriculture that WAS 10 YEARS AGO, AND will benefi t. This is what I think is still Peter Harry Carstensen. Photo by Frank Osssenbrink NOW YOU’RE A GREAT FRIEND not being done in Georgia, meaning we OF THE COUNTRY, SHARING need to make people more enthusiastic. boundaries. You should try to create the Angela Merkel was here, though the topic gia, there was fruit and vegetable produc- YOUR EXPERIANCE AND People should be proud they can produce same product you see here in other regions of "potato breeding" was not on her tion and export. Georgia is a country KNOWLEDGE. HOW WOULD food. of Georgia. I’ve done so much here, and agenda. The kind of development we’re where wine was created, Georgia has the YOU RATE THE POTENTIAL OF if I could do the same in other regions, I looking for in Georgia is not necessarily greatest potential to profi t from agricul- AGRICULTURE HERE AND WHAT IN YOUR CAREER, YOU’VE would be very proud of it. There are many related to fi nances or politics, but more ture. What I love in Georgia is that in the IS THE BIGGEST CHALLENGE MADE A GREAT CONTRIBUTION fi elds left to develop; we should feel it to transmit knowledge. We have an 4th century, I think in 353, it became a FOR GEORGIA NOW? TO THE DEVELOPMENT OF and look for it. That’s my mission. employee who studied agriculture at a Christian nation in a political region where I believe that the biggest challenge is GERMAN AGRICULTURE. German university. I think that's exactly sometimes everything looks different. knowledge and experience. If you have WHAT ARE YOUR FUTURE GERMAN CHANCELLOR ANGELA what we need - the exchange of knowl- Maybe this is the moment that made knowledge of agriculture and then build PLANS IN GEORGIA? MERKEL VISITED GEORGIA edge. And if I can do something towards Georgia so profi table. And when a man it up structurally, this can make the rural I’m a pensioner now but I still have a lot IN AUGUST. GERMANY HAS it, even collaborating with universities to travels around Georgia, he assures you market more profi table. It was our goal of energy and strength, so I will gladly BEEN A GREAT SUPPORTER help Georgia, I'm delighted to do so. I how good the lands are here: mountains, to introduce more structure and educa- continue sharing my experience and OF GEORGIA. HOW WOULD have contacts and will use them with sea, lakes, the most fertile soils with abun- tion in this fi eld. We have a Polish man- knowledge. I believe that Georgia has a YOU ASSESS THE STRATEGIC pleasure. dant water sources… we can do many ager here with a lot of experience and a good future ahead. One of the most impor- RELATIONS BETWEEN THE I think Georgia has one of the biggest things in agriculture and I’m always happy Georgian manager who has studied in tant things here is to develop within the TWO COUNTRIES? potentials in the ex-Soviet space. In Geor- to help move things forward in this regard.

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GEORGIA TODAY 6 BUSINESS SEPTEMBER 11 - 13, 2018 ADC & USAID Zrda Invest in Regional Economic Development of Anaklia/Zugdidi & Surroundings

ties in western Georgia to maximize their ability BY ANNA ZHVANIA to capitalize on the coming economic development opportunities presented by the $2.5 billion Anaklia Deep Sea Port mega project, which is a joint ven- n Monday, September 10, Anaklia ture of a Georgian-US consortium. The new deep- Development Consortium’s (ADC) water port is envisioned to transform Georgia into CEO Levan Akhvlediani, and USAID a regional economic hub and a key link and trans- Zrda’s Chief of Party, Brian King, port corridor between Aisa and Europe. Construc- signed a Partnership Agreement tion of Georgia’s fi rst deep sea port started in withinO the Anaklia Community and Economic December 2017, and the fi rst phase of the project Development Program. According to the agree- - construction of the primary container terminal ment, ADC and USAID Zrda are to invest $2 mil- - will be completed by the end of 2020, which also lion to promote the regional economic development coincides with the timeline of the joint develop- of Anaklia/ Zugdidi and its surrounding areas. ment program between USAID Zrda and ADC. USAID Mission Director Peter Wiebler, ADC Founding Partner Mamuka Khazaradze and other ABOUT ANAKLIA DEVELOPMENT public and private sector representatives attended CONSORTIUM the signing ceremony. ADC is a Georgian-American consortium, man- The new project will focus on three major direc- dated to develop the Anaklia Deep Sea Port in tions: increasing the competitiveness and growth accordance with the Investment Agreement relat- of MSMEs in the region; building a workforce ing to the build, operation and transfer of the Anak- qualifi ed to meet the market demand for both port lia Deep Water Black Sea Port dated 3 October 2016 operations and the wider economy in the region; between ADC and the Government of Georgia. and facilitating the development of community ADC’s vision for the Anaklia Port is to create a infrastructure necessary to meet Anaklia and the world class port complex for Georgia and establish region’s needs. USAID Zrda and Anaklia Develop- Anaklia as a focal point for trade to and from Cen- ment Consortium are investing $1 million each in tral Asia and on the New Silk Road trade route the joint project. between China and Europe. ADC’s goal for the Anaklia Port is to improve the port infrastructure According to Wiebler, “This partnership symbol- in Georgia, thereby providing reduced costs for izes the US government’s commitment to building those who use the port and subsequently improv- self-reliant communities across Georgia. It also ing economic opportunities regionally and domes- represents our intent to engage with the private tically. As part of its corporate social responsibility sector to achieve our shared goals. We are excited strategy, ADC is committed to promote the regional to work with Georgian and US private partners as economic development of Anaklia and its surround- visionary and ambitious as the members of the ing areas, facilitate the development of community Anaklia Development Consortium. While interna- infrastructure necessary to meet Anaklia’s needs, tional donors and government help set the founda- as well as to support growth of MSMEs in the region tion for economic growth, the collaboration and and to develop and sustain skilled workforce. commitment of private sector actors make such growth durable and sustainable.” ABOUT USAID ZRDA “The wellbeing and prosperity of the people of ACTIVITY IN GEORGIA Anaklia and surrounding areas has been among our The USAID Zrda Activity in Georgia is a fi ve- most important goals since the very beginning of the year program designed to promote inclusive and Anaklia Port project,” said ADC’s Khazaradze. “We sustainable economic growth in 81 communities are happy that this purpose will now be realized with of fi ve regions of Georgia by improving MSME this new, very signifi cant project that we commence growth, increasing productivity of rural house- in partnership with USAID Zrda. I want to express holds, facilitating market linkages between pro- my gratitude towards USAID and the US Govern- ducers and buyers, and promoting local economic ment for being part of this important initiative, and, development by establishing and strengthening overall, for their expressed support in the develop- networks. As a result, Zrda will create at least ment of Anaklia and the Anaklia Deep Sea Port.” 2,400 jobs, increase sales for at least 860 MSMEs, increase incomes of 13,200 households, and gen- The Anaklia Community and Economic Develop- erate measurable improvements in community ment Program will provide support to communi- resilience. GEORGIA TODAY SEPTEMBER 11 - 13, 2018 BUSINESS 7 International Maritime Forum to be Held in Batumi for 2nd Time

states, which greatly contributed to the spread of BY ANNA ZHVANIA employment of Georgian sailors; in the State Reg- ister of Georgia, 10 units engaged in international sailing were registered (today this number has n September 12-14, the International increased to 35); a Memorandum on Ferry Traffi c Maritime Forum 2018 will be held in was signed with Ukraine; the Georgian Women's Batumi for the second time, under International Maritime and Trade Association the initiative of the Government of Branch was established; and awareness was raised Georgia and under the patronage of of Georgia being a maritime country and of inter- theO Prime Minister of Georgia, Mamuka Bakhtadze. est to the world’s maritime industry. The main purpose of the forum is to enhance and During the upcoming forum, a number of semi- popularize the image of Georgia as a maritime nars and meetings are planned, including: country globally. -Global Seminar on "Global Marine Energy Effi - High-ranking offi cials of the international marine ciency Cooperation" (GloMEEP) in connection industry will attend the forum, including International with ports and energy effi ciency; Maritime Organization Secretary General, Lee Kitaki, -Regional Workshop - International Maritime global maritime administration offi cials, commission- Organization's civil liability conventions; ers and various maritime transport sector ministers -Meeting of the Second Maritime Monitoring and other people of infl uence in this area, including Committee of the European Maritime Safety Agency regional and international media. (EMSA) within the framework of the Black and The fi rst forum in Batumi was hosted in Septem- Caspian Seas Project; ber 2016, and as the General Secretary of the Inter- -Meeting of the Mediterranean Memorandum of national Maritime Organization stated, it was a Understanding of the State Control of the Mediter- success, attended by up to 400 delegates of 40 ranean; countries, including ministers of transport in the -Workshop on investing in small cruise ships on world's leading maritime states, representatives of the Black Sea. maritime business sectors and other high-ranking The International Maritime Forum is organized offi cials. by the Maritime Transport Agency, supported by With the support of the forum, a Memorandum the Ministry of Economy and Sustainable Devel- of Understanding was signed between the maritime opment of Georgia and under the patronage of the administrations of the world's leading maritime Prime Minister of Georgia, once every two years. GEORGIA TODAY 8 BUSINESSBUSINESS SEPTEMBER 11 - 13, 2018 Georgia Listed among Top 5 Fastest Welcome to Growing Tourist Destinations Georgia! Extends Registration to 2018 Tourism Awards • Because your teams' successful work must be ADVERTORIAL Image source: Travels of a Bookpacker appreciated! • Because everyone should know about your increase since the 2009 global economic crisis hit BY THEA MORRISON company! and well above UNWTO’s long-term forecast of HIS IS FOR YOU! This is YOUR • Because you are ready for future development 3.8% per year for the period 2010 to 2020. chance to be recognized as a leader and aren't afraid of competition! A total of 1,323 million international tourist arriv- in the tourism and hospitality indus- Most importantly, the project gives you an oppor- he United Nations World Tourism als were recorded in destinations around the world, try! tunity to express yourself and to be highly appre- Organization (UNWTO) 2018 Tour- some 84 million more than in 2016. Due to a lot of requests from tour- ciated! ism Highlights Report sheds some By region, Africa and Europe grew above average Tism and hospitality market representatives, regis- The project has huge support from the govern- light on the fastest-growing tourist and by sub-region, North Africa and Southern and tration within the Welcome to Georgia! National ment and from numerous private businesses. The destinations in 2017, based on inter- Mediterranean Europe led results in 2017, refl ect- Tourism Awards competition 2018 is being pro- Georgian National Tourism Administration of the Tnational arrivals. Georgia is listed among the Top ing strong demand for destinations around the longed until 24 September!!! Ministry of Economics and Sustainable Develop- 5 fastest growing tourist destinations in the world. Mediterranean. Do not miss your chance to fi ght for affi rmation ment of Georgia is a co-organizer. Georgia welcomed 27.9% more visitors last year. “2017 marks the eighth year in a row of sustained on the market, to stand out from the crowd, to Tbilisi City Hall and the Partnership Fund are The list of the UNWTO Top 10 fastest growing growth in Europe, the world’s most visited region,” develop together with us and most importantly to Offi cial Supporters. Bank of Georgia is a co-organ- destinations is as follows: the report says. be rewarded for your successful work and achieve- izer of this Project. 1. Egypt – up 55.1% As for the world’s most popular destinations, ments. THIS IS YOUR CHANCE! Alliance Group – General Sponsor. Independent 2. Togo - up 46.7 0% which attracted the highest number of tourists in The Welcome to Georgia! National Tourism Auditor of the Award - BDO Georgia and Financial 3. San Marino – up 31.1% 2017, the list is as follows: Awards invites hotels, restaurants, wineries, tour- Consultant -Altido. 4. Vietnam - up 29.1% 1. France - 86.9 million istic attractive festivals and major events, tour For more information about the project and for 5. Georgia - up 27.9% 2. Spain - 81.8 million agencies, tour operators and other companies the latest news, please visit our offi cial website and 6. Palestinian territories - up 25.7% 3. United States - 75.9 million working in the tourism and hospitality industry to keep an eye on our social network. 7. Niue - up 25.4% 4. China - 60.7 million participate in the annual competition. This is the THE WELCOME TO GEORGIA! NATIONAL 8. Nepal - up 24.9% 5. Italy - 58.3 million place where the best representatives of the fi eld TOURISM AWARDS TEAM WISHES YOU GOOD 9. Israel - up 24.6% 6. Mexico - 39.3 million fi ght to be named THE BEST! LUCK AND HOPES TO SEE YOU AT THE AWARD 10. Northern Mariana Islands - up 24.3% 7. United Kingdom - 37.7 million WHY ENTER? CEREMONY. The report reads that global tourist arrivals grew 8. Turkey - 37.6 million • Because your contribution to the tourism and 6.8% in 2017, hitting 1.32 billion. That's 84 million 9. Germany - 37.5 million hospitality industry must get recognition! www.awards-tourism.com more travelers than the previous year, the highest 10. Thailand - 35.4 million.

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www.awards-tourism.com | [email protected] +995 558 84 20 60

GEORGIA TODAY 10 BUSINESS SEPTEMBER 11 - 13, 2018 EMUI 9.0 Promises Unrivaled Experience of HUAWEI Mate 20 Series

in the HUAWEI Mate 20 series. ADVERTORIAL Within the framework of IFA 2018, many press conferences and presenta- tions were held to provide more detailed t the IFA 2018, the world's information for customers and media. leading trade show for con- “Today's smartphones are overloaded sumer electronics and home with many features that consumers do appliances, the Customer not need daily and which can be quite Business Team (CBG) of confusing,” said the HUAWEI President AHUAWEI introduced the operating system of the Software Engineering Depart- EMUI 9.0 based on Android Pie. ment, Vang Chenglum. “The idea of The EMUI 9.0 is one of the fi rst per- creating the EMUI 9.0 came from the sonalized systems to have an intuitive awareness that the system should be interface and a variety of functions to pleasant, consistent and simple. Addi- satisfy even the most demanding user tionally, by submitting EMUI 9.0, HUA- requirements. WEI became one of the fi rst smartphone The 10th exhibition-sale of IFA was companies to offer customers a person- hosted in Berlin, where innovative prod- alized operating system based on ucts of the world's most popular brands Android Pie, which, in our opinion, have grown into one space. speaks about the close relationship Much attention was paid to the Android between us and Google.” Pie-based operating system EMUI 9.0. The EMUI 9.0 comes with GPU Turbo It is noteworthy that HUAWEI's latest 2.0, meaning more support for game a Smartphone Camera to the Object of ulation. According to 2015 data, the the main destinations for smartphones, personalized operating system is much lovers. Another important function that Interest and you will get full informa- smartphone market is the third largest personal computers, tablets and smart more precise than its predecessor: 12.9% comes with the system is HiVision, tion from history and interesting facts,” in the world. 16 Research and Develop- services. HUAWEI's global network is faster when operating and switching which gives the camera the ability to explains the company. ment Centers operate in the US, Ger- based on 20 years’ experience in tele- applications. The combination of EMUI identify famous monuments and paint- HUAWEI products and services are many, Sweden, Russia, India and China. communications and produces innova- 9.0 and recently presented Kirin 980, ings and provide information to the available in more than 170 countries and HUAWEI Consumer BG is one of the tive technologies for consumers world- promises users an amazing experience user. The function is quite simple: “apply are used by a third of the world's pop- three business units in Huawei, one of wide.

Georgian fusion restaurant "Meama" with an authentic taste tradition! Adress: 8 Dzmebi Zdanevichebi str. Tbilisi Mob: 558 31 11 33 GEORGIA TODAY SEPTEMBER 11 - 13, 2018 BUSINESS 11 Christianity: Ukraine Another Solar Power Plant Launched in Azerbaijan

BY DIMITRI DOLABERIDZE Might Diverge

he solar power station in the Baku village of Sahil has been connected to Further from the the power grid, Deputy Chairman of the State Agency for Alternative and Renewable Energy Sources Jamil TMelikov announced. Today in Azerbaijan, solar power plants function Russian World in the cities of Gobustan and Samukh, and in the Baku villages of Pirallahi, Surakhani and now Sahil. “The solar power plant in Sakhil is already connected to the power grid and is functioning. At the same time President Ilham Aliyev at the launch of the solar power plant. Image source: trend.az there is preparation to connect a solar power station in Sumgayit. We expect it to be put into operation before at 5,000 megawatts. the end of the year,” Melikov said. Wind energy is 4,500 megawatts, biomass is 1500 The design capacity of the Sahil power plant is megawatts, geothermal energy is 800 megawatts, 2.8 megawatts. The potential of renewable energy and the remaining 350 megawatts comes from the sources in Azerbaijan is over 25.3 thousand mega- potential of small hydroelectric power stations. watts, which will generate 62.8 billion kilowatt- In 2018-2020, the State Agency for Alternative hours of electricity per year. By 2020, it is planned and Renewable Energy Sources of Azerbaijan plans to reach a capacity of 2,676 megawatts, which will to implement 23 projects with a total cost of about be about 20% of all electricity produced in the 13 million Manat ($7,635,829.50) within the frame- country. work of the strategic roadmap for the development Most of the country's potential in this area comes of public services (electric and thermal energy, from solar energy, and this potential is estimated water and gas supply).

Ecumenical Patriarch Bartholomew, Russian Patriarch Kirill and Russian PM Dmitry Medvedev. Image source: kremlin.ru of the Alliance. Considering modern military tech- BY EMIL AVDALIANI nologies and Russian abilities to defend the coun- try, it is surprising to see how much emphasis Moscow is putting on military aspects, while cru- he Russian Orthodox Church (ROC) cial developments in the borderlands take place in is experiencing troubles in Ukraine. the economic and cultural realms. Territory once considered as uncon- I have written often on how Russia is losing its tested land of the Russian Patriarchate grip on its borderlands primarily in the economic may now split and become autoceph- realm. For centuries, western economic reach into Talous (independent), adding yet another dimension Russian borderlands was meagre and, as said above, to the challenges Russia is facing in the borderlands. Russian rulers faced only a military threat which One of the major features of Russian history of they repelled successfully. In the last 20-30 years the last several centuries was the battle over ter- though, Western powers have been successful in ritories spanning from the Baltic to the Black Sea expanding their economic reach. The European in the south, then turning eastward towards the Union (EU) is a powerful entity as it has already South Caucasus. attached the former Soviet protectorates in eastern Those are the lands for which the Russians fought Europe and all the three Baltic states. Moreover, the Swedes, Poles, Nazi Germans, Napoleon’s the EU is active in Ukraine, Moldova and the South armies, Turks and the Iranians. To the Russians’ Caucasus to the level that much of these countries’ credit, they fought their geopolitical competitors trade is now associated with the West. successfully, stalling European advances into the Beyond economics, the changing geopolitical arc of lands around the Russian heartland, where landscape is also being tilted in favor of the West most of Russia’s industrial and human potential on the local level. Elites in Ukraine and Georgia laid. are being redirected to the West through economic When it came to direct military confrontation, and political incentives. Youngsters, when facing the Russians have never been fundamentally weaker the choice of studying abroad, predominantly head than their European or Asian competitors. Defi - to western universities and upon return to their ciencies in the organization of the Russian military native countries, go on to occupy key governmen- machine always existed, alongside a lack of modern tal positions. military capabilities, but those problems were alle- Even in the spiritual realm where the Russian viated by Russian geography, large landmass, and Orthodox Church (ROC) was predominant through- diffi cult to penetrate and poor road infrastructure. out centuries, claiming its right to unite Orthodox Like its earlier versions, the modern Russian Christians over large expanses of the Eurasian military does not fundamentally lag behind its landmass, it is now experiencing troubles in Ukraine. western competitors. The gap historically has been The latter’s Church was canonically under the so small that neither Russia nor any of the Euro- ROC’s jurisdiction, but ever since the Ukraine con- pean powers was totally dominant on the continent fl ict in 2014, Kyiv has been successful in its efforts for an extended period. to distance itself from the Russian Church. Ukrain- Therefore, it is at times baffl ing to hear that ians claim that the transfer of the Kyivan Metro- nowadays the Russians are afraid of NATO expan- politan See in the late 17th century to Moscow was sion near the Russian borders. True, it would be unlawful. diffi cult for any major player to accept rival The meeting held on August 31 between Russian armies near its own borders and Russia is no Patriarch Kirill and Ecumenical Patriarch Bartho- exception, but in the Russian mindset, surely lomew signaled that the Ukrainian Church is likely NATO expansion near Russian frontiers is no to gain autocephaly (independence). different from what previous invasions of Euro- If this scenario plays out, then it will be yet another pean commanders were? indication how Russian infl uence may be dimin- How serious a problem the NATO troops consti- ishing over its borderlands. Religious developments tute for Moscow is largely doubtful. NATO troops in Ukraine go hand-in-hand with geopolitics between are already in the Baltics, and Turkey is a member Russia and Ukraine.

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