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Distributed free N011 NEWSPAPER IN No 9 (1552) Monday, May 18, 2015 Weekly Newspaper, International Edition - Published by “The Georgian TIMES” Media Holding Since 1993 www.geotimes.ge

www.tbcbank.ge www.psp.ge www.elwagon.ge www.aversi.ge www.socar.ge www.ginoparadise.ge www.wissol.ge www.geotimes.ge EBRD Annual Meeting 2015 – Why ?

Being chosen to host the European Bank of Reconstruction and Development (EBRD) meeting in Tbilisi on 12-15 May could be considered a great achievement for Georgia as it implies recognition from the international financial community that this is a stable and economically developed country. On p. 2 Three New Turkey Welcomes American Instructors Deputies of Defense – A Missed Opportunity for Georgia? Minister Named The Syrian conflict has devel- On p. 4 oped in such a way that the Great Powers cannot avoid being EaP, Some EU involved until it is concluded. Therefore it is not surprising FMs Meet in that Turkish media sources have Bratislava recently said that around 40 U.S. Ahead of Riga Special Forces members are now based at the Hirfanli Summit gendarmerie base in the Central On p. 7 Anatolian province of Kirsehir, where they will to help their Georgia, Turkish colleagues train Syrian EBRD in Initial rebel groups to fight the Islamic State of Iraq and Levant (ISIL) Deal on Gori within the next ten days. Wind Farm On p. 7 On p. 4 Georgian President Russia-China Strategic Meets NATO Secretary Partnership – From the General On p. 9 Pacific to the Black Sea The New Cold War has brought about a new geopolitical power distribution Georgian, U.S. in whicha Russia-China strategic alliance is a logical counterweight to Troops thecombined EU-NATO-USA pole. Growing strategic partnership in energy security and geoeconomic areas has created a deepening cooperation in the Launch Joint military sphere. Two Chinese missile frigates, The Linyi and the Weifang, Drills Outside accompanied by a support ship, entered the port of Novorossiysk on May 8 Tbilisi to take part in Victory Day celebrations, the first time in history this had occurred. On p. 6 POLITICS Monday, May 18, 2015 www.geotimes.ge 2 EBRD Annual Meeting 2015 – Why Tbilisi?

By DR. VAKHTANG MAISAIA

which outlines the cooperation strong commercial prospects, priorities for 2013-2016. It is involve significant equity con- this which set the three priori- tributions in-cash or in-kind ty areas outlined above, the from the project sponsor, ben- overall aim being to develop efit the local economy and help Georgia as a regional hub. The develop the private sector and EBRD is currently seeking to satisfy banking and environ- make a huge investment, $150 mental standards. million, in the energy sector, The EBRD finances Being chosen to host the main areas: regulatory frameworks; cial offer to host the meeting in intending to build hydro-elec- projects in most sectors. These European Bank of Recon- - Fostering private invest- - Supporting Georgia’s May 2013, and that Septem- tric and wind operated power include: struction and Development ment: The EBRD will contin- regional and global econom- ber the EBRD technical mis- stations. · Agribusiness (EBRD) meeting in Tbilisi ue to pursue operations with ic integration. The EBRD sion positively assessed Tbili- Founded in 1991, The · Energy efficiency on 12-15 May could be private sector clients directly will focus on projects in vari- si’s capacity to host the event. EBRD uses the tools of invest- · Financial institutions considered a great achieve- and, indirectly, via private ous areas including infrastruc- EBRD Annual Meetings are ment to help build market econ- · Manufacturing ment for Georgia as it banks operating in Georgia. As ture, logistics, telecommunica- held in either its London Head- omies and democracies in 30 · Municipal and environ- implies recognition from the business environment in tions and the financial sector, quarters or in member coun- countries from central Europe ment infrastructure · Natural resources the international financial Georgia is generally very good, that would support cross-bor- tries. While they are attended to central Asia. Its initial mis- · Power and energy community that this is a policy dialogue activities in this der economic activities. The by government delegations, sion was to support formerly · Property and tourism stable and economically area will focus on the unfinished EBRD will support opportu- Business Forums run in paral- communist countries in the · Telecommunications developed country. Though reform agenda in the area of nities for skills transfer to en- lel with them are attended by process of establishing their · Information technology the Georgian economy is governance, rule of law and able Georgian companies to representatives of the interna- private sectors. By the seventh and media currently going through competition policies, in line take advantage of trade oppor- tional business community. meeting, representatives of 40 · Transport hard times, with the Lari with the authorities’ priorities; tunities and to become more Between 1,200 and 1,500 nations and two European in- Hosting the EBRD Annual enduring super-inflation - Completing the modern- competitive in a wider regional guests usually attend both stitutions had reached agree- Meeting will not save the Geor- and GDP growth having ization of the energy and international context. events. ment on the bank’s charter, its gian economy, and inflation con- fallen from 4.2% to 2.3%, sector. The EBRD will com- The decision to hold the EBRD is an important part- initial size, and the distribution tinues to rise: at the end of June the EBRD considered the plete the energy sector projects 2015 Annual Meeting in Tbili- ner of Georgia both in terms of of power among shareholders. the exchange rate will be $1=2.5 Tbilisi meeting very started during the past strate- si was taken by the Board of funding and cooperation with The EBRD provides loan GEL. The long term effect it fruitful. gy, which aim to increase ener- Governors of the EBRD. The Europe. It has financed over and equity finance, guarantees, will have on Georgia’s econom- gy production and access ex- announcement came after a 165 projects in Georgia worth leasing facilities and trade fi- ic conditions may be another Georgia joined the EBRD in port markets. Future projects meeting between the Prime around1.8 billion Euros. 81 per- nance and finances profession- matter. 1992, and since then the bank will foster private sector par- Minister of Georgia, Irakli cent of its funding is allocated al development through sup- has been actively involved in ticipation and will be support- Gharibashvili, and EBRD Pres- for private sector projects. On port programmes. To be eligi- The Georgian Institute for the country’s economic and fi- ed by policy dialogue in the ar- ident Sir Suma Chakrabarti at September 4, 2013 the EBRD ble for EBRD funding, a project Geostrategic and Euro- nancial development. At eas of domestic markets reform the World Economic Forum in Board of Directors approved must be located in an EBRD Atlantic Studies Institute, present it is focusing on three and introduction of modern Davos. Georgia made the offi- the new Strategy for Georgia country of operations, have Chairman

Publisher/Editor in Chief Executive Editor: Copy Editor Director: The Georgian TIMES Nana Gagua Mariam Toidze Rumwold Leigh Kakha Maskharashvili # 1 English-Language Newspaper in Georgia Tel.: (+995) 555 293 003 Tel: (+995) 577 727 207 Tel: (+995) 599 501 452 Tel: (+995) 551 501 313 E-mail: E-mail: E-mail: E-mail: First published in 1993. [email protected] [email protected] [email protected] [email protected] The Founder and the President Malkhaz Gulashvili. Tel: (+995) 577 461 046 The Georgian Times Media Holding. 12, Kikodze str, Tbilisi, Georgia. Tel: (+995 32) 2934405, Contributions to The Georgian TIMES are welcome. If you are interested in submitting an article or E-mail: [email protected]; http://www.geotimes.ge news item, ect. please contact; Tel/fax: (+995 32) 2934405 PUBLICITY Monday, May 18, 2015 www.geotimes.ge 3 LIVE modern, Welcome to Batumi Miracle!

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Address: S.Zhgenti str. # 1 Batumi, Georgia Sales Office: (+995 ) 577 50 77 05 ; (+995 ) 422 22 60 70 [email protected] GEOPOLITICS Monday, May 18, 2015 www.geotimes.ge 4 Turkey Welcomes American Instructors – A Missed Opportunity for Georgia?

By DR. VAKHTANG MAISAIA

The Syrian conflict has developed in such a way those associated with Adjand al-Kavkaz, which is led by the that the Great Powers famous Chechen warlord Amir cannot avoid being involved Abdul Khakim al-Shishani until it is concluded. (Rustam Ashiev), which is now Therefore it is not an important ally of the Free surprising that Turkish Syrian Army. This group is part media sources have of the International Expedition recently said that around Force sent by the Caucasus Is- 40 U.S. Special Forces lamic Emirate to fight against members are now based at the Assad regime, a force which the Hirfanli gendarmerie has Western backing. But this base in the Central development is rather strange,considering that ISIS Anatolian province of itself emerged outof the Syrian Kirsehir, where they will opposition forces in 2012-13, to help their Turkish all of a sudden. colleagues train Syrian rebel groups to fight the The Georgian Institute for Islamic State of Iraq and Geostrategic and Euro- Levant (ISIL) within the Atlantic Studies Institute, next ten days. Chairman ing this training now? The rea- sons are unclear but may well be related to the breakdown in relations between Alasania and Prime Minister Gharibashvili. One way or another Georgia declared itself unready to host the programme, despite Alasa- nia’s desire to do so, and this must be regarded as a missed opportunity to play a part in combating ISIS and helping de- velop an international coalition against it. The moderate Islamic groups most likely to be in- volved in this training include

Turkey’s National Intelli- moderate Syrian opposition. Apart from being an impor- NEWS gence Organization (MIT) is They discussed efforts to deep- tant U.S. ally in the region and currently selecting new rebels en cooperation to stem the flow a member of NATO, Turkey to join this programme. Turk- of foreign fighters”, it added. has also jointly chaired the Glo- THREE NEW DEPUTIES OF DEFENSE MINISTER mens are said to be the most Up to 5,000 new rebels will bal Counterterrorism Forum NAMED prominent ethnic group be trained in Jordan as part of (GCTF) with the U.S. since amongst these mercenaries, the same programme, and this 2011. The GCTF is a major ini- who will form additional strike training has already begun. tiative to build an international combat units which will pro- 2,000 Syrian are being trained structure for dealing with 21st vide support to the Syrian Free at presentand the figure will century terrorism. It seeks to Army. They will be trained in reach 5,000 when the pro- provide a unique platform in Turkey in groups of 400. gramme is extended to Saudi which senior counter-terrorism This programme was sched- Arabia and Qatar. The U.S. is policymakers and experts from uled to begin at the end of 2014 providing all the necessary around the world can work to- but was then postponed to training equipment. gether to identify urgent needs, February. In the event, talks This programme is only a devise solutions and mobilize between Turkish and U.S. offi- part of the broad new strategic the resources to address key cials have only recently been cooperation between Turkey counter-terrorism challenges. concluded. Turkish Defense and the USA. Programmes such as this are a Minister Ismet Yilmaz was The two countries are due natural extension of the GCTF’s quoted by the state-run Anad- to sign a new agreement on in- work. olu Agencyas saying that this creasing cooperation and intel- What is interesting is that is a U.S.-led programme, and ligence sharing in the fight when this programme was first has the direct consent of the against ISIS which will give mootedit was intended that U.S. Congress. Turkey improved access to no- some of the new rebels would The key details of the pro- fly lists and of-the-moment in- be trained in Georgia.This is- gramme’s execution were decid- telligence so that it can better sue was discussed during then edat an official meeting between monitor the flow of people Georgian Defence Minister New defense minister Tina Khidasheli named on May 15 Davit Ebralidze, Anna Dolidze and Besik U.S. President Barack Obama travelling to and from Syria. Irakli Alasania’s official visit to Loladze as her deputies. and President of Turkey Recep Turkey is already an active Washington last year, when it Davit Ebralidze, who will oversee finances and procurements in his capacity of first deputy Tayyip Erdogan on March 26. member of the anti-ISIS coali- was suggested he had proposed defense minister, served as deputy finance minister before May 2013, when he resigned, citing The two parties discussed co- tion and constantly reiterates to host programme elements at disagreements with Finance Minister Nodar Khaduri. Anna Dolidze, who up until recently was a professor of law at the University of Western that it is devoting much effort Georgian military bases. This operation in fighting ISIL mili- Ontario in Canada, was head of Tbilisi-based rights and legal advocacy group Georgian Young tants and their “common ef- to halting the flow of foreign- report was fiercely denied by Lawyers’ Association (GYLA) in 2004-2006; her predecessor as head of GYLA was current forts to bring security and sta- ers seeking to join ISIS. Accord- Georgian officials, but the pro- defense minister Khidasheli. As deputy defense minister Dolidze will be in charge of social issues bility to Iraq and Syria”, ac- ing to its Ministry of Internal visions of the new American- of service members. cording to a White House state- Affairs almost 13,000 people Turkish agreement make clear Besik Loladze, who will serve as MoD’s parliamentary secretary in his capacity of deputy ment. “The two leaders re- have been barred from entering that Alasania did indeed make minister, was deputy chairman of the Constitutional Court and served as deputy justice minister for the country for this reason and such a proposal. about a year till February, 2005. viewed the train-and-equip pro- Remaining two posts of deputy defense minister are still vacant. gram for vetted members of the 1,300 have been deported. So why is Georgia not host- Civil.ge PUBLICITY Monday, May 18, 2015 www.geotimes.ge 5 GEOPOLITICS Monday, May 18, 2015 www.geotimes.ge 6 Russia-China Strategic Partnership – From the Pacific to the Black Sea

By DR. VAKHTANG MAISAIA

The New Cold War has ity to repel naval threats in parallel to them. August. brought about a new combat.However they are be- Russia has been conducting Beijing’s foray into the geopolitical power ing held at a time when NATO exercises within its own terri- Mediterranean is seen as an at- distribution in whicha and its allies are holding a mas- tory throughout winter and ear- tempt to extend its naval reach Russia-China strategic sive wave of military drills all ly spring, including massive worldwide and emphasize its alliance is a logical across Europe, collectively drills in the Baltic Sea, the growing strategic partnership codenamed Operation Atlantic Black Sea, the Arctic and the with Moscow against the West. counterweight to thecom- Resolve. NATO commanders Far East.The Chinese and Rus- A joint command centre has bined EU-NATO-USA pole. and European leaders have said sian Navies have been conduct- been set up in Novorossiysk. Growing strategic that these are designed to send ing joint exercises off Russia’s This military muscle is not be- partnership in energy a message to Russia over its al- far eastern coastsince 2012. ing demonstrated so near the security and geoeconomic leged aggression and the crisis Russian Deputy Defense Min- Black Sea Basin by accident: areas has created a in Ukraine, and some individu- ister Antonovhas said that there Russia has expressed concern deepening cooperation in al states are conducting their will be further Sino-Russian over the increasing US and the military sphere. Two own training maneouvresin exercises in the Sea of Japan in NATO presence in the Black Chinese missile frigates, China itself has been open- The Linyi and the We- ly developing a naval strategy ifang, accompanied by a aimed at challenging American support ship, entered the dominance of the western Pa- port of Novorossiysk on cific, including the waters May 8 to take part in around Japan and Taiwan. Victory Day celebrations, China criticized last month’s announcement by US President the first time in history Barack Obama and Japanese this had occurred. They Prime Minister Shinzo Abe that are now conductingjoint the two countries were beefing exercises in the Mediter- up military cooperation. Hence, ranean with six Russian China has introduced a military vessels. presence in the Black Sea to protect its interests in the west- Each of the Chinese ships is ern Pacific Rim. a 4,000-ton vessel of the rela- China and Russia are con- tively new Type 054A (also sidering the possibility of cre- known as Jiangkai II), which ating a common trade and eco- first entered service in 2007. nomic zone,and there is even a The exercisesare the first of slight possibility that China their kind to take place in the will join the Eurasian Econom- Mediterranean, and began on ic Union and create a common May 11th and will last until the Eurasian Grand Coalition with 21st. The stated aim of the ex- security, energy, economic and ercises is todeepen the friendly military components. It is this cooperation between China and prosopect which lay behind Russia and strengthen their abil- Turkish Foreign Minister Mev- Sea Region, examples of this size military unit in Lithuania lut Chavushouglu’s initiative at being the 600 American mili- in response to the reinforce- the Anatolia NATO Foreign tary instructors sent to Ukraine ment of the Russian military Ministers session that “acces- to train and equip the Ukraini- forces in the Kaliningrad Oblast sion talks” be launched with an National Guard and the joint and their deployment of theIS- four candidate countries: Mace- American-Georgian military KANDER-M tactical missile donia, Bosnia-Herzegovina, exercises involving about 600 system. Hence Russia is seek- Montenegro and Georgia. A U.S. and Georgian troops, for ing to demonstrate how The new geopolitical muscle race is which the U.S. army transport- Kremlin can counter-balance clearly underway, and Georgia ed an entire mechanized com- NATO involvement in the will once again be at the centre pany, including 14 Bradley in- Black Sea, akey geostrategic of international debate. fantry fighting vehicles, across location as it is the gateway to the Black Sea from Bulgaria, the the Caucasus-Caspian Basin The Georgian Institute for first time this had happened. and then Central Asia, where Geostrategic and Euro- NATO has also stated that China has geostrategic inter- Atlantic Studies Institute, it intends to deploy a brigade- ests. Chairman ANNOUNCEMENT

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Mr. Harry Gilbert Buron Ms. Elisana Marie-Antoinette Labonte Liquidator Liquidator NEWS Monday, May 18, 2015 www.geotimes.ge 7 EAP, SOME EU FMS MEET IN Garibashvili signed a memorandum of understanding about set- also part of the ruling coalition, GD coalition was named by 42%. ting up of the council in Tbilisi on May 12. UNM was identified in the recent poll as the political party “clos- BRATISLAVA AHEAD OF RIGA 15-member Investors Council, chaired by the PM, will bring est” to them by 13%, statistically the same as in August, 2014. together business ombudsman and other representatives of the “The electoral playing field is wide open and no party is strongly SUMMIT government, as well as representatives of business associa- ahead in Georgia,” Laura Thornton, NDI’s senior director in Geor- tions and international investors. gia, said on May 13, when the poll was released. “Georgians are Foreign ministers “This Investment Council is a crucial platform for promoting undecided about their political support, presenting an opportunity from six Eastern Part- constructive dialogue between the private and public sector, as for all parties to spend the next year and a half leading up to the nership (EaP) coun- well as stimulating local and foreign investment by addressing parliamentary elections earning citizens’ backing through respon- tries, among them those very obstacles that investors face,” said EBRD President sive platforms and policies.” Georgia, meet their Chakrabarti after signing of the memorandum. Head of the Georgian Orthodox Church, Patriarch Ilia II, has counterparts from “With this initiative Georgia is taking an important step to- the highest approval rating with 87%. Visegrad Group of wards further improving the development of the private sector,” Among the politicians, President leads four Central European he added. with 52% approval rating, followed by leader of opposition Free states and some other The EBRD is financing the activity of the Investor Council’s Democrats party Irakli Alasania (51%); parliament speaker Davit EU members in secretariat. Usupashvili (45%); UNM parliamentary minority group leader MP Bratislava on May 15 to discuss upcoming EaP summit in Riga. “Investors Council will create new platform of dialogue be- Davit Bakradze (44%) and PM (40%). Visegrad Group, or V4, unites the Czech Republic, Hungary, tween the government and business, promote cooperation and 59% of respondents believe that ex-PM Poland and Slovakia. develop business climate in the country,” PM Garibashvili said. continues to be a decision-maker in the actions of the govern- EU foreign policy chief Federica Mogherini; EU commissioner “Under the memorandum the government will identify those ment. Majority of respondents think Ivanishvili should either return for neighborhood policy and enlargement negotiations Johannes specific areas, where government actions with the support of to politics in an official capacity (30%) or not be involved in deci- Hahn, as well as Foreign Minister of Sweden Margot Wallström; EBRD will make it possible to significantly improve business cli- sion-making at all (41%). Only 6% believed he should make deci- Foreign Minister of Romania Bogdan Aurescu and Foreign Minis- mate. We will of course consider thoroughly and implement those sions in an unofficial capacity. ter of Latvia Edgars Rinkevics, whose country holds EU’s rotat- proposal, which will be offered by the business community and The public opinion survey also shows decline in performance ing presidency, also participate in the meeting. those [proposals] will be discussed at the Investors Council,” he rating of some institutions. Police’s performance has dropped The Georgian Foreign Ministry said that the meeting in said. significantly down to 33% from more than 60% in 2010; only 10% Bratislava gives an opportunity to “prepare more efficiently” for EBRD President Suma Chakrabarti’s visit comes ahead of respondents rate favorably the work of the Parliament. the EaP summit in Riga, planned for May 21-22. of the Bank’s Annual Meeting and Business Forum in Tbilisi on Among the ministries, Healthcare and Social Affairs Ministry Civil.ge May 14-15. Government delegations from about 60 countries are has the highest performance rating with 43%, followed by the expected to arrive in the Georgian capital for the event. Ministry of Justice – 26%. The Ministry of Finance is perceived as Also on May 12, the EBRD President and Georgia’s Finance having the poorest performance (6%). Minister Nodar Khaduri signed agreements on extending a sover- The survey was conducted through nationwide face-to-face EBRD ANNUAL MEETING OPENS eign loan of EUR 7 million to Georgia to introduce a modern solid- interview with 4,360 respondents and has a margin of error plus, waste management system covering the collection and disposal minus 2.3%. IN TBILISI of municipal solid waste in Kvemo Kartli region. The EBRD financ- Political ratings are part of a broader public opinion poll, which ing will be complemented by grant funding of EUR 3 million from includes survey on respondents’ attitudes towards wide range About 2,000 the Swedish International Development Cooperation Agency of issues, which was released by NDI earlier this week. delegates, among (SIDA). Civil.ge them government Civil.ge delegations from over 60 countries and business ex- MARGVELASHVILI MEETS ecutives are gath- GEORGIA, EBRD IN INITIAL DEAL PRESIDENT OF EUROPEAN ered in Tbilisi for a ON GORI WIND FARM two-day Annual COUNCIL Meeting and Busi- ness Forum of the Georgia and President of European Bank for EBRD have reached the European Reconstruction and Development (EBRD). an initial agreement on Council Donald The meeting, which is the first of this kind in the South USD 25 million loan to Tusk said after Caucasus region, opened on May 14 and along with EBRD board finance construction meeting Georgian of governors’ annual meeting also includes panel discussions of country’s first President Giorgi and countries investment outlook sessions, among them on Geor- wind power plant in Margvelashvili in gia. Gori, town in the Brussels on May Georgian officials say the event is a good chance to show- Shida Kartli region. 12 that it was case country’s investment opportunities. The total estimated cost of the planned wind farm, developed agreed to “re- Speaking at the opening of the meeting, Georgian PM Irakli by the state-owned Georgian Energy Development Fund, is USD double efforts” to Garibashvili said that Georgia is “an ideal place for investments” 35 million. Installed capacity of the wind farm will be 20 mega- successfully final- with one of “the simplest tax systems” and “lower tax rates.” He watt. ize EU visa also hailed Georgia’s “long-lasting and productive cooperation” Initial agreement was signed on May 14 on the sideline of liberalisation with Georgia “as soon as feasible.” with the EBRD, noting that investments from the Bank “doubled EBRD’s Annual Meeting and Business Forum in Tbilisi. Echoing report of the European Commission, assessing last year to over EUR 200 million.” The EBRD’s Board of Directors is expected to take final deci- Georgia’s implementation of visa liberalisation action plan, Tusk EBRD President Suma Chakrabarti told the meeting on May sion whether to provide USD 25 million loan financing for the said that the country made a “significant progress”, but some 14, that the Bank responded “flexibly and successfully” to con- project later this year, according to the Bank. steps are still remaining. tinuing geopolitical and economic uncertainty facing the region. “After investing EUR 312 million in hydropower generation, In a joint letter to the EU, including to the European Council Also on May 14 EBRD released its new Regional Economic we are hoping to make another renewable source – wind – President, on May 5, Georgian President Margvelashvili, PM Irakli Prospects, according to which growth will stagnate in Bank’s attractive for investors,” said EBRD Managing Director for Energy Garibashvili and Parliament Chairman Davit Usupashvili called on area of operations. and Natural Resources, Riccardo Puliti, who signed the initial the EU to make an “unambiguous endorsement of visa-free re- EBRD expects Georgia’s economic growth to slow to about agreement with Georgian Energy Minister Kakha Kaladze. gime” with Georgia at the Eastern Partnership summit in Riga on 2.3% in 2015 as Russia’s recession and conflict in Ukraine is Civil.ge May 21-22. But the European Commission said in its report on having a large negative spillover effect. May 8 that despite of significant progress, Georgia “still needs to “Even though [Georgia’s] economic links [with Russia] are address the remaining recommendations” in the visa liberalization less than they used to be in the past… it still has an impact in NDI POLL SHOWS ‘ELECTORAL action plan. Georgia when Russia is in recession. We expect 2-2.3% growth Looking forward to my next meeting with @eucopresident in in Georgia this year – that compares quite well with much of the PLAYING FIELD WIDE OPEN’ #Tbilisi. Always happy to welcome our #Europian friends. rest of the region,” Hans Peter Lankes, EBRD acting chief econo- pic.twitter.com/0BKZA4JoC2 mist, said in Tbilisi. Source: NDI/ — (@MargvelashviliG) May 12, 2015 Lower exports and remittances have negatively affected CRRC public opinion The European Commission said that it will report on Georgia’s growth and the external balance of payments with Georgian survey, April, 2015 further progress on implementation of the visa liberalisation ac- currency lari depreciating by about 18% since the start of the One-third of tion plan by the end of 2015. But it also said that “in view of the year and by 34.6% against U.S. dollar since early November, likely voters are ei- significant progress Georgia has made in the past few months, when lari started weakening. ther undecided or the Commission is ready to bring forward the timing of the next EBRD estimated that Belarus, Georgia and Moldova experi- have no preferred report provided that the rapid progress… continues.” enced the largest depreciations of their currencies since the political party, ac- Speaking after meeting with President Margvelashvili on May start of the year of around 15 to 25% against the U.S. dollar. cording to a public 11 in Brussels, EU commissioner for neighborhood policy and “The lari has depreciated significantly, which, given the sig- opinion survey com- enlargement negotiations Johannes Hahn said that the European nificant dollarization in the economy, is leading to increase in missioned by the Commission’s report was “very positive.” NPLs [nonperforming loan],” reads EBRD’s Regional Economic U.S. National Demo- “If few outstanding… issues are resolved, I would not ex- Prospects. cratic Institute (NDI), which also shows decline in support for clude that very soon a very positive final report could be there,” “Domestic political uncertainty is also weighing on confidence ruling (GD) coalition. Hahn said. and growth. In 2016, growth is expected to remain still subdued 27% of likely voters said they did not know which political President of the European Council, Donald Tusk, said after at 2.6 per cent, affected by negative external environment, and party they would vote if parliamentary election were held tomor- meeting President Margvelashvili on May 12 that Georgia is “a increasing NPLs, as effects of the slide of lari in 2014-15 and row; 6% said they would not vote for any of the party. close partner of the European Union.” downturn in economy will begin to crystallize,” it says. 12% refused to answer, according to the poll fielded by the “With the Eastern Partnership Summit in Riga just around the Civil.ge Caucasus Resource Research Centers (CRRC) on March 27- corner our meeting was well-timed. I assured President April 19. Margvelashvili that the Riga Summit will reaffirm the European GD ruling coalition had 24%, followed by parliamentary oppo- Union’s strong commitment to the Eastern Partnership and sition parties United National Movement (UNM) and Free Demo- the objective of developing strengthened, closer, and differenti- GEORGIA, EBRD SET UP INVES- crats (FD) with 16% and 5%, respectively. Alliance of Patriots of ated relations between the EU and its sovereign, independent Georgia had 4% and Labor Party – 3%. Eastern partner states,” Tusk said. TORS COUNCIL No similar question about parliamentary elections was asked He also said that “smooth” implementation of the Association in a similar survey in August, 2014, just after the local elections Agreement and deep and comprehensive free trade treaty with With the support from the European Bank for Reconstruction won by GD; but respondents were asked in both polls “which the EU should be another priority. and Development (EBRD) the Georgian government is establish- party is closest to you.” “For the Georgian government the time is now ripe to drive ing Investors Council with the participation of business commu- On this question in the recent poll 35% of respondents said forward necessary reforms while maintaining a close dialogue nity to identify and address specific obstacles that investors “no party”, up from 30% in August 2014; Georgian Dream party with the citizens to ensure long-term public support for the pro- face. (leading party in the GD ruling coalition) was named by 21%; in cess,” Tusk said. EBRD President Suma Chakrabarti and Georgian PM Irakli the previous survey in August 2014, when Free Democrats was Civil.ge PUBLICITY Monday, May 18, 2015 www.geotimes.ge 8 NEWS Monday, May 18, 2015 www.geotimes.ge 9

with a large rally, led by the Orthodox clerics, which turned into 494,478 bottles of Georgian wine were exported to China in the GEORGIAN PRESIDENT MEETS anti-gay demonstration and protest against anti-discrimination law, first four months of 2015, which is 87% increase over the same NATO SECRETARY GENERAL which was newly adopted at the time. period of last year, according to the National Wine Agency of Civil.ge Georgia. Civil.ge NATO Secretary General Jens Stoltenberg said after meeting with Georgian Presi- GEORGIAN, U.S. TROOPS dent Giorgi Margvelashvili in EUROPEAN COMMISSION: Brussels on May 11 that imple- LAUNCH JOINT DRILLS OUTSIDE mentation of the substantial GEORGIA ‘STILL NEEDS TO AD- package of cooperation with TBILISI Georgia is “well on track.” DRESS REMAINING RECOMMEN- Stoltenberg reiterated that Paratroopers jump out NATO-Georgia Joint Training from aircraft over Vaziani mili- DATIONS’ ON VISA and Evaluation Center, which is one of the components of the tary training ground outside substantial package, will be established in Georgia this year. Tbilisi as Georgiana and U.S. LIBERALISATION “Georgia is moving closer to NATO,” he said at a news con- solders are lined up in front of ference after the meeting.” We are looking forward to continue Bradley and BMP-2 infantry The European Commis- working with you on this path.” fighting vehicles during an sion, which released on May “Today we also discussed Georgia’s progress in making the opening ceremony of joint mili- 8 third report on implementa- defence sector more transparent and accountable. We have seen tary drills Noble Partner on May tion of visa liberalisation ac- significant progress. We welcome the ambitious plans you have 11, 2015. Photo: Eana tion plan (VLAP) by Georgia, announced for this year. We encourage you to deepen your Korbezashvili/Civil.ge said that although country’s democratic reforms. That includes strengthening the indepen- Two-week long joint U.S-Georgian military exercises, Noble progress has been significant, dence of the judiciary, and the rule of law,” the NATO Secretary Partner, started at the Vaziani training area outside Tbilisi on May it “still needs to address the General said. 11. remaining recommendations.” Stoltenberg thanked Georgia for its “remarkable role” in NATO- About 600 soldiers from the both countries are participating “Georgia’s progress has led operation in Afghanistan, where Georgia is now the second in the exercises, which aim at enhancing U.S. and Georgian NATO been significant in a short period of time and is broadly in line with largest troop contributor to Resolute Support mission with about Response Force interoperability. the second-phase benchmarks,” the European Commission said. 850 servicemen, down from its pick of about 1,600 during ISAF “I want to remind everyone that although Georgia is not a “While the legislative and institutional framework in place and mission. Under the Resolute Support mission the Georgian troops’ NATO member state, it is voluntarily taking part in NATO Response the integrity of the institutional and organisational practices across duties focus on security and rapid reaction force. As Chief of Forces,” Georgian PM Irakli Garibashvili said in his speech at the the four blocks of VLAP [that includes document security, border General Staff of Georgian Armed Forces Maj. Gen. Vakhtang opening ceremony. and migration management, public order, and external relations Kapanadze said, when he visited Afghanistan in April, “since the 14 Bradley infantry fighting vehicles and several wheeled- and fundamental rights] generally comply with the European and change of the mission our troop numbers have decreased, but support vehicles were shipped by the U.S. Army Europe from international standards, Georgia still needs to address the re- our responsibilities have increased.” Bulgaria to Georgia across the Black Sea for participation in the maining recommendations and sustained efforts by all stakehold- Georgian troops are stationed in Kabul; Bagram Airfield and Noble Partner exercises, which are held for the first time in Geor- ers involved will be needed.” at the German army’s Camp Marmal in Mazar-i-Sharif. gia. “The key priority is the sustainable implementation of the legal “NATO is committed to help Georgia make its defence still Drills will include a combined parachute operation, classroom and institutional framework, in particular in the areas of asylum, more modern. This will help you move closer to your aspiration of training, a field training exercise and a live-fire exercise. anti-corruption, trafficking in human beings and drugs,” it said. NATO membership,” Stoltenberg said. “These exercises represent yet another confirmation of firm “Fulfilling the actions required in this report would allow Geor- President Margvelashvili reiterated Georgia’s aspiration to join military cooperation between Georgia and the United States,” the gia to complete its implementation of all the VLAP’s second-phase NATO and said: “Georgia will continue its path towards democ- Georgian PM said. benchmarks,” the European Commission said. racy, towards introduction of values, which the alliance has been “I also want to emphasize that these exercises are not di- Also on May 8 the European Commission released fifth report built upon, as well as will continue our… military cooperation.” rected against any particular threat. These military drills aim at on implementation of VLAP by Ukraine. Civil.ge increasing compatibility with the NATO Response Force,” he said. “The visa liberalisation dialogue is an important driver of re- “I want to thank our main strategic partners and real friend – forms in the area of Justice and Home Affairs. Georgia and Ukraine the United States, for sponsoring these exercises and for sup- showed great commitment in fulfilling the VLAP benchmarks un- porting Georgia,” the PM added. der the second phase. It is crucial that this hard work continues ECHR: POLICE FAILED TO PRO- A mechanized infantry company from 1st Brigade, 3rd Infan- in the months to come,” EU Commissioner for Migration, Home TECT ANTI-HOMOPHOBIA DEM- try Division, which is part of the U.S. contribution to NATO Re- Affairs and Citizenship, Dimitris Avramopoulos, said. sponse Force in 2015, as well as a rifle company of paratroopers Georgia and the EU launched the visa liberalisation talks in ONSTRATORS FROM ATTACKS from the 173rd Airborne Brigade are taking part in the drills from June, 2012 and Visa Liberalisation Action Plan (VLAP) – a set of the U.S. side. detailed requirements that a country should meet in order to be granted short-term visa-free regime in the Schengen area – was IN 2012 The Georgian participation includes a company from 1st in- presented to Georgia in late February, 2013. fantry brigade’s 12th battalion; a mechanized company from 4th The plan addresses broad range of areas related to docu- European Court of Human Rights (ECHR) has ruled that the mechanized brigade’s 42nd battalion and a military police unit. ment security, border management, migration, mobility and asy- police “failed to provide adequate protection” to a small group of “Joint military exercises [with the U.S. troops] of such scale lum, as well as other issues such as the fight against corruption gay rights activists against attacks when they were marking are taking part for the first time in Georgia,” Tina Khidasheli, and organized crime, protection of human rights, minorities, and International Day Against Homophobia on May 17, 2012. Georgia’s new Defense Minister, told journalists after the opening anti-discrimination. Application, filed to the Strasbourg-based court by Tbilisi- ceremony. On October 29, 2014 the European Commission announced based LGBT rights group Identoba and over dozen of individuals, “This is just the beginning. These exercises are important for that Georgia met first-phase requirements of its Visa Liberalisation was stemming from the incident which took place in Tbilisi center number of reasons. It shows that Georgia has not just a partner, Action Plan, paving the way for the launch of the second phase. three years ago, when the first-ever march of a small group of but a friend [referring to the U.S.], which is ready to help Georgia The first phase benchmarks included the overall policy and rainbow flag-waving gay activists ended in a scuffle after Ortho- in every possible way to strengthen its statehood and its army. legal framework, involving adoption of relevant legislation, and dox groups blocked activists’ way, not allowing them to continue Second: it is unique opportunity for the Georgian solders to train the second phase benchmarks involve putting into practice ef- procession. alongside with the U.S. troops with the use of U.S. military equip- fective and sustainable implementation of these relevant mea- Along with violation of freedom of assembly rights, ECHR ment. And the third: there is a long-term plan of cooperation in sures and legislation. also ruled in a judgment released on May 12 that there was a frames of the Noble Partner. Several other large-scale exercises The European Commission’s report comes ahead of the EU violation of Article 3 (prohibition of inhuman or degrading treat- are also planned this year, including NATO-Georgian exercises, Eastern Partnership summit in Riga on May 21-22. ment) taken in conjunction with Article 14 (prohibition of discrimi- which are planned for this summer and which will feature troops In a joint letter to the EU on May 5, Georgian President Giorgi Margvelashvili, PM Irakli Garibashvili and Parliament Chairman Davit nation) of the European Convention on Human Rights. from Georgia and several NATO [member states].” The court ruled that Georgia has to pay to nine out of 13 Usupashvili have called on the EU to make an “unambiguous en- “We do not plan to go into war with anyone; we prepare for individual applicants EUR 2,000 each; EUR 3,000 to two appli- dorsement of visa-free regime” with Georgia at the Riga Summit, peace and that’s precisely why we need strong army,” the Geor- cants each and EUR 4,000 each to remaining two applicants. saying that “for Georgians, visa liberalisation will provide a long- gian Defense Minister added. Identoba was awarded with EUR 1,500 in respect of non-pecu- awaited tangible reward for reforms and encourage renewed U.S. Deputy Assistant Secretary of Defense for Russia, niary damage. efforts.” Ukraine and Eurasia Evelyn Farkas, who visited Tbilisi late last “Although given notice [by organizers] nine days prior to the The European Commission said that it will report on Georgia’s month, described the Noble Partner drills as “the most robust” that further progress on implementation of the visa liberalisation ac- march, the authorities had not used that period for careful prepa- the U.S. has conducted with Georgia to date. ration. Given the attitudes in parts of Georgian society towards tion plan by the end of 2015. “It is a critical part of our [Georgia and the United States’] It, however, also said that “in view of the significant progress sexual minorities, the authorities knew or should have known of contributions to the NATO Response Force,” she said on April 24 Georgia has made in the past few months, the Commission is the risk of tensions associated with the march,” the Strasbourg- in Tbilisi. ready to bring forward the timing of the next report provided that based court said. “Instead of focusing on restraining the most Civil.ge aggressive counter-demonstrators with the aim of allowing the the rapid progress… continues.” peaceful procession to proceed, the belated police intervention The report assesses how Georgia is meeting benchmarks shifted onto the arrest and evacuation of some of the applicants, set under the VLAP in four blocks, involving document security, the very victims whom they had been called to protect.“ CHINA’S AGRICULTURE MINIS- border and migration management, public order, and external re- “The Court considered that the authorities had failed to en- lations and fundamental rights. It assesses those benchmarks as sure that the march to mark the International Day against Ho- TER HOLDS TALKS IN TBILISI either “achieved”, “almost achieved” or “partially achieved”. mophobia could be held peacefully by sufficiently containing ho- The report deemed benchmarks related to document secu- mophobic and violent counter-demonstrators,” it said. Agriculture Minister of China, Han Changfu, met his Georgian rity; integrated border management; fighting organized crime; pro- tection of personal data; freedom of movement; issuance of travel ECHR also said that the authorities had failed to investigate counterpart Otar Danelia and PM Irakli Garibashvili in Tbilisi on and identity documents, and international legal cooperation in the incident thoroughly and no significant progress had been May 11. criminal matters as “achieved”. made for over two years. “Importance of promoting export of Georgian agriculture prod- Benchmarks in migration management; money laundering; “The only tangible result was the administrative sanctioning ucts was emphasized during the meeting,” the Georgian PM’s cooperation between various law enforcement agencies, and of two other counter-demonstrators who had been given a fine. office said. “Deepening of trade and economic relations with China is of special importance for the Georgian authorities. Re- citizens’ rights including protection of minorities have been deemed However, in view of the level of unwarranted violence and ag- by the report as “almost achieved”. gression against the applicants, the Court did not consider that cent significant increase in dynamic bilateral partnership has also been noted.” Benchmarks in asylum; human trafficking; anti-corruption and sanction sufficient,” the ECHR said. drugs are deemed as “partially achieved.” In 2013 group of LGBT rights activists faced violence of much Georgia’s deputy PM and Economy Minister , who visited China in March, was also present at the meeting. On anti-corruption, the report calls on Georgia, among other larger scale, when thousands of anti-gay demonstrators, led by issues, to pursue the reform of the civil service with the adoption Orthodox clerics, attacked small group of activists who wanted The ministers of agriculture of the two countries signed a joint action plan for cooperation in the agrarian sector. of a civil service law in line with international practice setting the to mark May 17 in an area adjacent to Freedom Square in center scope and standards of a professional and de-politicized civil The Georgian side thanked China for its aid involving granting of Tbilisi; at least 28 people were injured in the violence. service, and to further strengthen the practical protection of last year of 30 units of equipment for irrigation systems, and USD Fearing homophobic violence, LGBT rights groups have since whistleblowers. then opted against public events to mark the International Day 10.7 million worth equipment for agricultural melioration. On drugs, the report says that although Georgia made a sub- against homophobia on May 17. On the first day of his visit on May 10, the Chinese Agriculture stantial progress in implementing national anti-drug strategy, the In an obvious attempt to counter the International Day Against Minister visited some of the Georgian wineries in eastern region drug policy “remains based more on retribution than restorative Homophobia, the Georgian Orthodox Church introduced, what it of Kakheti. action.” calls, “Family Day” on May 17. Last year the day was marked China is fifth largest export market for Georgian wine. Civil.ge PUBLICITY Monday, May 18, 2015 www.geotimes.ge 10 PUBLICITY Monday, May 18, 2015 www.geotimes.ge 11

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