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January 28, 2019 - www.cbw.ge



Problems in the City Restrictions regarding those living unaccepted residential buildings will damage the business of development



What Happened at World Economic Forum in Davos?

Bekauri should Quit if Tariffs Rise in Communications Sector!



The main challenge is vigilance in keeping up with technology every day

Baku-Tbilisi-Kars Commerce or Politics

2 January 28, 2019 #268

Net Profits of Commercial Banks Totaled 119.1 million GEL in December

Black Sea Arena to Host Mariah Carey

Net profits of the Georgian banking sector made up 119.1 million GEL in December 2018, down 22% compared to December 2017.

This year, presumably, Mariah Carey’d concert will be held at BLACK SEA ARENA.

Bakuriani Hosted Second Phase of Georgian Cup in Skiing Hotel Price Index Increased by 11.9% in Tbilisi According to PMC Research Center, December 2018, compared to November 2018, in Tbilisi, the hotel price index increased by 11.9%. The growth rate of guesthouse prices (21%) significantly exceeded the growth rate of 3*, 4* and 5* hotel prices (9.3%).

This year the World Snow Day is marked on January 20 at almost all ski resorts. For the 8th time, the Georgian Ski Federation joins this initiative of the International Ski Federation and holds events dedicated to Snow Day at all ski resorts of Georgia.

Minister of Education: Active Teacher’s Salary will Start from 1500 GEL

Schuchmann Wines Georgia Plans to Develop Medical Tourism The company Schuchmann Wines Georgia plans to develop medical tourism, for which the rehabilitation-recreational complex will be built.

Nobel Prize-winning Author Mario Vargas LIosa to Visit Georgia Mario Vargas Llosa, an internationally recognized Peruvian author, journalist and professor and the winner of the 2010 Nobel Prize in Literature, will travel to Georgia later this year to learn about the local culture and arts.

City Hall and Investor Came to Agreement – Hotel will not Be built in Vake Park Hotel Budapest will not constructed in Vake Park, Tbilisi Mayor Kakha Kaladze noted at today’s briefing. We met with the investor on January 24 and the parties achieved an agreement, he added.

Minister of Education of Georgia Mikheil Batiashvili made an announcement about the increase in salaries of teachers.

Airbnb to Remove Listings from Abkhazia and South Ossetia Global hospitality platform Airbnb will remove all listings from occupied territories including Abkhazia and South Ossetia. Airbnb has released a statement noting that their activities in occupied regions could increase the tensions.

Cardano Blockchain Tbilisi to Take Place at Techno Park On January 26th, Georgia’s inaugural Cardano Meetup will take place at the Tbilisi Techno Park, in beautiful Tbilisi. This event is organized and sponsored by the Ministry of Economy and Sustainable Development of Georgia and Georgia’s Innovation and Technology Agency.

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

3 January 28, 2019 #268

HUAWEI Presents HUAWEI P Smart 2019, Sporting the Latest Technologies & Design The screen size and improved shooting function have been increased again in the latest budgetclass smartphone from HUAWEI with the HUAWEI P Smart 2019. Its main cameras boast Artificial Intelligence support and it comes equipped with the latest 8-kit chipset Kirin 710 (also possessing AI), which allows the smartphone to identify more than 500 scenes and objects. Through the latest HUAWEI P Smart 2019, HUAWEI is offering a more sophisticated and more capable smartphone, using both technology and design that differ from its predecessors and guaranteed to satisfy the dynamic needs of today's users. So, what does the display look like? Comparing the HUAWEI P smart 2019 with its predecessors, consumers will immediately recognize the more expansive viewing area made possible by the 6.21-inch 19.5:9 HUAWEI Dewdrop Display.Furthermore, the 415ppi high pixel density of the panel affords a higher FHD+ (2340x1080) resolution, which combined with the support for 85 percent of the NTSC color gamut, makes for a truly compelling viewing experience. Given how consumers are spending more and more time with their smartphones, HUAWEI P smart 2019 includes a new TĂœV

Rheinland-certified Eye Comfort Mode, which effectively filters high-energy blue lights to alleviate user eye fatigue during extended session. A new smartphone with new AI and AR capabilities Alongside a premium quality screen, the HUAWEI P Smart 2019 is equipped with improved front and rear cameras. It is distinguished by a wide-range 16MP frontfacing camera that has new AI and AR capabilities and useful features such as gesture control function and improved quality of photos taken in portrait mode, which will please selfie lovers. The HUAWEI P Smart 2019's front camera can also see and optimize eight categories of Selfie backgrounds, so users can freely snap high-quality and distinguished selfies for their social networks. The HUAWEI P Smart 2019 is designed to provide more comfort for consumers, in any situation and without hassle. The new budget smartphone's internal 64 GB memory can be increased up to 512 GB. The 3400mAh battery provides all-day battery life for everyday users of the HUAWEI P Smart 2019 is designed for everyday smartphone users. According to the company's internal testing results. The battery

supports up to 10 hours of Internet browsing on 4G networks, up to 18 hours of continuous video playback, and up to a groundbreaking 96 hours of continuous music playback. HUAWEI products and services are available in more than 170 countries and are used by a third of the world's population. There are 16 research and development centers operating worldwide in the USA, Germany, Sweden, Russia, India and China. HUAWEI Consumer BG is one of HUAWEI's three business units, mainly focusing on smartphones, personal computers, tablets and cloud services. HUAWEI Global Network is based on 20 years’ experience in the telecommunications business and serves to provide innovative technologies to customers around the world.

4 January 28, 2019 #268

Bekauri should Quit if Tariffs Rise in Communications Sector! New Cartel Collusion between Magti and Silknet The Oligopoly in the communications sector has demonstrated its negative effects again - last week, two major players released statement on raising tariffs. Surprisingly, both companies raised tariffs simultaneously for the same services. In economics, this move is called cartel collusion, and in all normal countries similar manipulations are severely punished. According to Silknet, which bought Geocell in 2018, the new tariff will come into effect on March 1. “Starting March 1, the company will enforce revised tariffs. As a result of the new price policy, subscribers to both landline and cellular services will receive improved packages, and more internet data”, the Silknet statement reads. Namely, starting on March 1st, the new package for Meti S will cost 7 GEL instead of 5 GEL. The new package for METI M will cost 15 GEL instead of 10 GEL, and the new package for Meti Unlimited will cost 30 GEL instead of 25 GEL. Magti also plans to introduce revised tariffs. Namely, starting February 18, the Martivi 25 package will be replaced by a new Martivi Martivi, and it will cost 30 GEL instead of 25 GEL. The new package will also include more data, 1500Mb instead of the current 1000 MB. At the same time, the companies will introduce a mobile number service fee: Geocell at 20 Tetri a month, and Magti at 1 GEL in every

180 days. The number service fee enables them to keep the number active on a permanent basis. A mobile number will not be cancelled, and the number owner will receive cellular services without limits. It should be noted that, amid declining communication tariffs worldwide, in Georgia, on the contrary, communications tariffs grow year on year. And the communications commission makes no move against this practice, and sometimes it even supports the companies’ increasing tariffs and working against the interest of their subscribers. It is also unacceptable to increase tariffs on wholesale internet and IP television, because, starting in 2018 Caucasus Online halved the tariffs of wholesale internet for Magticom, while Silknet sells wholesale internet itself. Consequently, expenditures on this front have also essentially decreased. Similar arbitrary decisions are preconditioned by the reality of oligopoly on the telecommunications market, as Magticom and Silknet control about 75% of the entire market, including 75% of the market in mobile services, 78% of the internet market, and 83% of the market in IP television. The oligopoly in the telecommunications market poses serious threats to subscribers. Without efficient operation of the regulatory commission, subscribers remain absolutely unprotected at the hand of companies”, representatives of Association of Young Financiers and Businessmen (AYFB) noted.

The communications commission will not let Magti and Silknet raise tariffs. The commission will not let major companies use their power and advantages on the market to the detriment of subscribers. The commission plans to inspect the landline services market to regulate the retail market and set marginal tariffs for the companies, which raise prices without substantiation, the commission chairman Kakha Bekauri said. “We will examine the landline and mobile service market in the retail segment, with the aim of regulating the market, and introduce top marginal tariffs. I have already passed due instructions. As to the question of whether companies may raise tariffs in advance, I assure you that we will make them and make them return to their old position. I hold the leverage and legal rights to regulate retail tariffs. Therefore, if they do not take into account our recommendations, we will definitely enter the retail market and regulate it. “There are risks that influential operators may misuse this power against their retail subscribers. Therefore, the regulator should take the corresponding decision. The commission holds all the leverage to correctly manage this sector, and I assure you that we will definitely do this”, the commission chairman noted. And what statements does the commission make today? We have an absolutely different reality

today. For example, 3 years ago, Bekauri promised that landline internet tariffs were inadequately high, and he would by necessity lower them, but in reality internet tariffs rose. Moreover, in September 2018, the regulatory commission intervened, as mobile calls and internet tariffs rose in price. The changes effected all corporate clients. The commission has had a direct impact on tariff growth. Seemingly, after the inspection, the commission discovered that Geocell, Magti and Beeline were subsidized when offering various tariffs to subscribers. The commission banned the companies from subsidizing corporate clients. As a result, tariffs doubled. If the telecommunications companies do not pay the cost for the aforementioned tariff growth and the commission, as usual, turns out to be impotent, Kakha Bekauri, head of the Georgian National Communication Regulatory Commission (GNERC) should resign. We have evident signs of cartel collusion, a misuse of power obtained as a result of oligopoly, and if the commission cannot regulate this situation, the regulatory commission should bear the responsibility. By Merab Janiashvili

Davos 5 January 28, 2019 #268

Citi Group: Georgia is an Exciting and Reliable Partner

Mamuka Bakhtadze meets Jim Carr, Minister of International Trade Diversification of Canada in Davos

Mamuka Bakhtadze and COSCO Shipping Chairman Discuss Potential Investment Projects

Acciona Expresses Interest in Developing Wind and Solar Eenergy in Georgia Government-led Initiatives and Growing Relations of Georgia and China Discussed in Davos

Leading Chinese Carmaker Guangzhou Automobile Group to Open Office in Georgia

Stena Rederi: Georgia has Great Potential of Marine Transportation and a Very Suitable Geographic Position

Mamuka Bakhtadze Meets Polish Counterpart in Davos

Prime Minister of Georgia and PWC Executive Director Discuss AI Development Prospects in Georgia

Prime Minister and IFAD President Discuss Agricultural Development as Georgia’s Priority

Agility Group Considering Cooperation with Georgia

“Our Historic Roots and Future are European” States Prime Minister of Georgia

Prime Minister and Koç Holding CEO Discuss Potential Investment Projects Swiss Chocolatier Camille Bloch SA Gets Exposed to Georgia

Netherlands PM Praises Measures of Georgia Towards Democratic Transformation And Economic Advancement

Signify/Philips to Support Georgia in Implementing Energy Efficiency Strategy

6 January 28, 2019 #268

Baku–Tbilisi–Kars Commerce or Politics In October 2017, the BakuTbilisi-Kars railroad was officially inaugurated. The project’s authors asserted that this section would work as the shortest route from China to Eastern Europe, and serve both cargo and passenger trains. What do we have in reality? What type and what volume of cargo has been transported through this year? Neither the government nor the railroad have publicized any information about this issue. According to the Turkish government, in the first year, a total of 116 trains transported 110,000 tons of cargo. According to specialists, this is a very small volume for the project, which financed only the Georgian section 775 million USD. The countries involved in the project have not introduced a joint tariff policy, and trains run at very low speed. These factors are considered to be key defects for the route. According to analysts, the Trans-Asia corridor, which crosses Kazakhstan, Russia and Ukraine, is the main competitor for the BakuTbilisi-Kars section. A high-speed Trans-Asia

route is more profitable, and will be even more so in the near future, as the speed will go up to 200km/hour, and its competitive capacity will increase. It should be noted that 120km/h is the highest speed for the Baku-TbilisiKars railroad. However, there is one factor that leads analysts to presume that the current situation may change. The issue is of course the Russia-Ukraine conflict. According to specialists, if the current situation remains unchanged ,or it worsens in the near future, part of the Trans-Asia cargo may be redirected to the South Caucasus. At this stage, Baku-TbilisiKars railroad transports two sorts of cargo to the west: cargo for Turkey and cargo for Europe. Since cargo transport will be limited through the Marmarai Tunnel (the tunnel will serve only for cargo transport for 6 hours, when the Istanbul subway line is closed), and this cargo will be directed to Europe through the seaports of Turkey. Consequently, cargo flow to Europe will miss Georgian Seaports. According to specialists,

for several years Georgia should not expect to receive considerable revenues from cargo transit. The situation may change if cargo transit volume grows. Initially, the annual cargo turnover will be 6.5 million tons, while in the long-time the figure may rise to 17 million tons. Railroad specialist David Gochava noted that the BakuTbilisi-Kars railway corridor will bring benefits to Georgia only in one case: if Georgian Railway carries out transit from Akhalkalaki to Turkish railways. However, Gochava says that it is questionable whether the current management of Georgian Railway is able to carry out this project. The total length of the BakuTbilisi-Kars railway is 826 kilometers, including a 503 km section in Azerbaijan, a 255 km section in Georgia and 68 kilometers in Turkey. Initially, this route is expected to transport 1 million passengers. According to design calculations, this figure will rise to 3 million passengers by 2030. By Zurab Khachapuridze

Problems in the City 7 January 28, 2019 #268

Restrictions regarding those living unaccepted residential buildings will damage the business of development The tragedy that took place on Avtandili Street visualized the problems with unaccepted buildings. A certain part of our society drew links between the exploitation of the issue of acceptance and corruption schemes. Tbilisi City Hall released a statement in response. Under the current legislation, gas network safety issues have no connection with the regulation of of buildings in exploitation, Tbilisi Mayor Kakha Kaladze said. In 2006, the law on state supervision was composed found in Article 5, regulating architectural-construction activities, under which it was forbidden to enter and live in those buildings which had not been deemed acceptable for service. But this article was annulled in 2009. As a result, today, people can enter and start living in those buildings which are not put into exploitation. The mayor of Tbilisi also talked about changes that were implemented in 2018. “The fine for the illegal revision of suspended construction projects increased 10 times, up to 50,000 GEL. The fine for unlicensed construction projects rose 2.5 times to 25,000 GEL. The fine for carrying out construction works by violating of project parameters rose to 15,000 GEL. As for the fine for the violation of safety norms on a construction site, it increased 10 times to 30,000 GEL. The municipal inspection office was formed on the grounds of the supervision of services. Its resources doubled, and today 300 people work for it to react to violations of construction standards. Regulations against noise were also added. As a result of these amendments that were implemented in 2018, fines exceeded 10 million GEL”, Kakha Kaladze noted. In response to the question of why the Georgian Dream authorities have not corrected the mistakes made by the previous regime 6 years ago, Tbilisi Vice Mayor Irakli Khmaladze noted: “The legislation was amended in 2009, and this segment was deregulated. After this, we got a situation where several tens of thousands of families live in unapproved buildings. Today, the revision of this system will collide the interests of these families. Deregulations brought negative results, and

tens of thousands of citizens live in building which have not been accepted as exploitable. Imagine what will happen if we revise the existing legislation,” Khmaladze said. The Caucasus Business Week (CBW) has made inquiries regarding the position of development companies, too. Namely, why the aforementioned buildings are not approved as exploitable, and whether this issue should be resolved or not. “There is no ready recipe for resolving the problem with informal buildings being brought into service and people living in them”, Tornike Abuladze, Executive Director of the ARCI Development Company noted. The problems result from unprofessional staff and a large legacy in the sector. This sector must be regulated. People without money and capital must not be allowed to begin construction works. The City Hall must have guarantees that, prior to issuing licenses, the new projects will be finished definitely, he added. “Let’s imagine that 100 residents have bought apartments. And the developer managed to finish the project 5-8 years later. The building was found with certain defects at the moment of inspection, and the developer was unable to correct the mistake, and city hall could not take responsibility and, consequently, city hall did not accept the building as serviceable When the client receives their apartment 5 years later, the developers do not dare tell the client to enter the apartment after it’s being used, otherwise the developer should have an alternative. That’s why, in our country, a lot of projects remain in the air, and this signifies these projects cannot satisfy legislation requirements. However, this does not imply that the building is not structurally stable. In 90% of these cases, the projects cannot satisfy the visual appearance requirements, and misses the initial design requirements. For example, initially, the developer planned to coat the building with wooden materials, but the expense of the materials increased costs, and the developer could not cover all costs. Therefore, the developer decided to only plaster the walls. As a result, the building was ejected from the project, and the building was not accepted into service”, Tornike Abuladze said. Bezhan Tsakadze, the founder of G7G Plus Development Company, explains that

apartments are sold in the construction process, and this practice is not banned by legislation. Therefore, similar apartments are owned by physical or legal bodies. They are authorized to repair their apartments and live there. “This issue was made apparent after the recent tragedy that took place in Didi Dighomi. This component does not refer to the developer. We hire contract companies for gas and electricity network improvements, and they do this work in the building, and they write a conclusion. Therefore, there is no problem with the acceptability or unacceptability of putting buildings into service. Without proper residential conditions, nobody will come live there. I mean water, gas, electricity, elevator and so on. If the developers do not let the clients enter the apartments and live there, the development sector will bear the losses”, Tsakadze noted. As it is commonly known, physical and legal bodies submit applications to Tbilisi City Hall to bring buildings into service. As a result, the supervision service discusses these applications, and takes building into service. According to indicators from Tbilisi City Hall, in 2016 a total of 159 buildings were not taken into exploitation because of various reasons. Buildings and construction works are divided into classes based on risk factors for the purpose of issuing construction licenses and accepting them into service. A total of 62 unaccepted buildings belong to categories III and IV, which include parameters such as multifunctional buildings and multistoried residential. The aforementioned buildings belong to the category of medium and high risk factors. Their acceptance into service confirms that their quality satisfies these requirements, such as structural steadiness norms and other factors. Therefore, there are risks that buildings that are accepted into service may have various technical defects as well, and this may pose a threat to their residents.

8 January 28, 2019 #268

Khvicha Jgutashvili- "The main Challenge is Vigilance in Keeping up with Technology Every Day’’ Interview with the Founder of "Tasma" and "Liderfood", Marketing Specialist Khvicha Jgutashvili Tell us about how you got into the field of marketing, and what factors played an important role in choosing this profession? The main factor was the desire to do my own business, while the story of how I got into marketing begins in a strange way. About 10 years ago, my friend and I decided to create a musical social network. Back then there was a website called Lockers, that would pay you for watching an advertisement, and we had profiles on Hi5 and were learning about Facebook as a new tool. In short, we created a website, musicmasters.ge, inspired by the aforementioned sites. We started registering musicians, them like large labels, although we got stuck, as none of us had enough knowledge of web development, or running business. We could not develop a project, and we realized there was something we need to learn about. At the same time, I saw an advertisement of GAU Tbilisi PR School’s course. After passing the course, I learned which field uses social media most actively, and what goals are achieved through that, so I transitioned into marketing. In regards to technological changes, what challenges are you facing as a marketer? The main challenge in my mind is vigilance to catch up technologies daily. You should at least update yourself how others use modern tools and implement it in the future. What has changed in the last 5 years in the field, and what changes are expected now? Today, almost all marketers knew the forecast of the previous 5 years, while we have no idea what is yet to come. The main change is, I think, that customers and companies turn to immediate relations, forget about set up good content, and raise more emotional marketing. The equality of companies in digital opportunities is visible, so communication tools are available to everyone so that clever companies have no other way other than to play with the rules. What important features should a marketing manager hold focus on, and what are their roles in organization? I think a marketing manager should be consistently oriented towards learning about background from those of any age

or experience, and getting the news. Marketing is a field where learning the theory once cannot be enough, you are constantly in search of ways to develop yourself, and finding new solutions, regardless of your experience. There’s not a single day to relax. The role of learning would be like a brain and the heart of the company if we compared it to a human’s body.

ings- these are aspects that get boring for people to focus on. To achieve this goal, our activities were quite limited, but I think that there is still a lot to work on, which keeps our marketing team active.

What is your organization's business model in marketing direction, and how focused is it on the customer?

The most useful advice you've ever received in life?

As for Liderfood, we did a total rebranding two years ago. During this process, we fundamentally changed fundamentally the language of communication in the company, in order to establish an emotional connection with the customer. There used to be a only one position for a meat product company, and to prove you that you’re right, and that your products are healthy and unharmful. According to the new strategy, we are saying that the products of a modern company should be healthy, and it is an axiom that we do not need to prove anymore, and there are a lot of happy moments to pay attention to. 700 years of quality, glossy installations, cleanliness and white coat-

One word that describes your work. Communication.

I can’t tell whether it was the most useful or not, but I still remember the phrase: Do not worry about what has not happened yet, and the that which already has happened, because being nervous can change neither of them. Think of the person who inspires you professionally. The American automobile designer, racer and entrepreneur, Carroll Shelby.

9 January 28, 2019 #268

Business News Meli Baghdavadze Slected as Jury Member of the New York Advertising Festival

A group of Georgian interior designers and furniture producers are visiting the German city of Cologne this week to showcase their products at the design fair taking place during Passagen Interior Design Week, Germany’s largest annual design event.

Producer Meli Baghdavadze was invited to join the New York Advertising Festival (NYF Advertising Awards) as a jury member. Meli will evaluate works in FILM CRAFT category.

A Modern-standard High-technology Dried Fruit Plant will be Constructed Sagarejo A modern-standard high-technology dried fruits plant will be constructed in the city of Sagarejo, Kakheti Region as part of Enterprise Georgia state program. Total investment value of the project exceeds 1 million USD.

Luggage Storage Tbilisi to Introduce New Service for Tourists

First Phase of Technology University Construction Works to End in August 2020

New interesting products will be available for Tbilisi visitors starting spring 2019. Namely, Luggage Storage Tbilisi will introduce an automatic service in the capital city.

The first phase of construction of Technology University will be finished in August 2020, while starting September the University will receive first students, Cartu Fund projects director Vakhtang Tsagareli told BM.Ge.

First Batch of Georgian Honey Goes to Europe Two Georgian honey producers are presenting their products at the International Green Week, a one-of-a-kind annual international exhibition of the food, agriculture and gardening industries, in Berlin on 18-27 January. The event brings together over 1,700 exhibitors with over 100,000 products from all over the world. Tariffs and Subscription Fees – Changes for Silknet and Magti Subscribers

Wissol Violates Loan Schedule with OPIC- Company did not Pay 1.5 million USD Wissol company has violated the loan payment schedule with OPIC. D&B Georgia, a 100% stake owner of the company, had to pay the principal sum of the 1.5 million USD loan taken for Dunkin network development in February 2018. Ross Willson: USA Closely Follows TBC Bank’s Case and its Implications on Anaklia Port We are following these developments with attention because of its potential implications for Anaklia and also because the bank enjoys American ownership, Ross Wilson, chargé d’affaires at the US Embassy to Georgia, said when commenting on the developments relating to TBC Bank founder Mamuka Khazaradze.

Silknet and Magti companies plan to increase service tariffs for their subscribers. Magti’s revised tariffs will be effective on February 18, while Silknet will launch new tariffs on March 1, 2019.s Geocell clients will have to pay monthly fee for a mobile number service. The 20-Tetri fee will be deducted on the first day of each month. As to Magti, the company will charge 1 GEL in every 180 days. Georgian Designers and Furniture Producers Strengthen International Ties

Government to Spend 199 million GEL in Tourism Industry Development In various regions of Georgia, the Government will spend 199 million GEL in tourism industry development. A total of 75 entrepreneurs have been selected as part of Enterprise Georgia program.

World News 10 January 28, 2019 #268

Concept of Introducing Smart City Technologies in Uzbekistan Submitted The Government of Uzbekistan approved a concept of introducing “Smart City” technologies in the country.

Shaping the Future of Democracy in Armenia

Microsoft's Bing Search Engine Restored in China

The changes that took place in Armenia last year are indeed historic in nature and magnitude. The Velvet Revolution led to the triumph of democracy in our country. The popular movement was based on a wide consensus embraced not only by all layers of our society but also by the six-millionstrong Armenian Diaspora. It was an absolutely non-violent transformation without a single victim. Love, fraternity, and tolerance were the slogans of the Armenian popular movement.

Microsoft has confirmed that access to its Bing search engine in China has been restored after an outage.

CEO Confidence in Growth Dips Dramatically What a difference a year makes. Nearly 30% of business leaders believe that global economic growth will decline in the next 12 months, approximately six times the level of 5% last year – a record jump in pessimism. This is one of the key findings of PwC’s 22nd annual survey of 1,300 plus CEOs around the world, launched today at the World Economic Forum Annual Meeting in Davos. This is in vivid contrast to last year’s record jump, 29% to 57%, in optimism about global economic growth prospects. Last stage of Southern Gas Corridor, a Major EU Energy Project, to be Completed by 2020 A package of €3.9 billion has been secured for the completion of the final segment of the Southern Gas Corridor, the Trans Adriatic Pipeline (TAP). The 878-kilometre pipeline starts at the Greek-Turkish border, crosses Albania and, after passing under the Adriatic Sea, terminates in southern Italy. It constitutes the final segment of the Southern Gas Corridor, a supply route to transport gas from the Caspian Sea to Europe.

Asics to Turn Used Clothing into Japan's Olympic Uniforms Sportswear brand Asics will recycle used clothing to make the official uniforms for Japan's Olympic and Paralympic teams.

Azerbaijan to Send Export Mission to Poland soon The introduction of local products of Azerbaijan to international markets is boosting the non-oil sector of the economy and strengthens business ties with foreign countries. Therefore, Azerbaijan is organizing a number of export missions to promote national products under the Made in Azerbaijan brand.

Coca-Cola, Pepsi Tout Plastic Recycling in Rare Joint Appearance Global Shipping Rates Slump in Latest Sign of Economic Slowdown The Baltic Dry Index, measure of ship transport costs for materials like iron ore and coal, has fallen by 47 percent since mid-2018, when a trade dispute between the United States and China resulted in the world's two biggest economies slapping import tariffs on each other's goods.

The bosses of Coca-Cola and Pepsi promised Thursday that "huge progress" would be made by 2030 to reduce plastic waste, which contaminates humans, wildlife, and oceans.

11 January 28, 2019 #268 Embassy United States of America Embassy 11 Balanchivadze St., Dighomi Dstr., Tbilisi Tel: 27-70-00, 53-23-34 E-mail: tbilisivisa@state.gov; askconsultbilisi@state.gov United Kingdom of Great Britain and Northern Ireland Embassy 51 Krtsanisi Str., Tbilisi, Tel: 227-47-47 E-mail: british.embassy.tbilisi@fco.gov.uk Republic of France Embassy 49, Krtsanisi Str. Tbilisi, Tel: 272 14 90 E-mail: ambafrance@access.sanet.ge Web-site: www.ambafrance-ge.org Federal Republic of Germany Embassy 20 Telavi St. Tbilisi Tel: 44 73 00, Fax: 44 73 64 Italian RepublicEmbassy 3a Chitadze St, Tbilisi, Tel: 299-64-18, 292-14-62, 292-18-54 E-mail: embassy.tbilisi@esteri.it Republic of Estonia Embassy 4 Likhauri St., Tbilisi, Tel: 236-51-40 E-mail: tbilisisaatkond@mfa.ee Republic of Lithuania Embassy 25 Tengiz Abuladze St, Tbilisi Tel: 291-29-33 E-mail: amb.ge@urm.lt Republic of Latvia Embassy 16 Akhmeta Str., Avlabari, 0144 Tbilisi. E-mail: embassy.georgia@mfa.gov.lv Greece Republic Embassy 37. Tabidze St. Tbilisi Tel: 91 49 70, 91 49 71, 91 49 72 Czech RepublicEmbassy 37 Chavchavadze St. Tbilisi ;Tel: 29167-40/41/42 E-mail: czechembassy@gol.ge Web-sait: www.mzv.cz Japan Embassy 7 Krtsanisi St. Tbilisi Tel: +995 32 2 75 21 11, Fax: +995 32 2 75 21 20 Kingdom of Sweden Embassy 15 Kipshidze St. Tbilisi Tel: +995 32 2 55 03 20 , Fax: +995 32 2 22 48 90 Kingdom of the Netherlands Embassy Pixel Center, 34, Ilia Chavchavadze Ave. 3rd floor Tel: +995 32 227 62 00 People’s Republic of China Embassy 52 Barnov St. Tbilisi Tel: 225-22-86, 225-21-75, 225-26-70 E-mail: zhangling@access.sanet.ge Republic of Bulgaria Embassy 15 Gorgasali Exit, 0105 Tbilisi, Georgia Tel: +995 32 291 01 94; +995 32 291 01 95 Fax: +99 532 291 02 70 Republic of Hungary Embassy 83 Lvovi Street, Tbilisi Tel: 39 90 08; E-mail: hunembtbs@gmail.com State of Israel Embassy 61 Agmashenebeli Ave. Tbilisi Tel: 95 17 09, 94 27 05 Embassy of Swiss Confederation’s Russian Federation Interests Section Embassy 51 Chavchavadze Av., Tbilisi Tel: 291-26-45, 291-24-06, 225-28-03 E-mail: RussianEmbassy@Caucasus.net Ukraine Embassy 76-g Chavchavadze Ave., Tbilisi Tel: 231-11-61, 231-14-54 E-mail: emb_ge@mfa.gov.ua Consular Agency: 71, Melikishvili St., Batumi Tel: (8-88-222) 3-16-00/ 3-14-78 Republic of Turkey Embassy 35 Chavchavadze Ave., Tbilisi Tel: 225-20-72/73/74/76

embassy.tbilisi@mfa.gov.tr Consulate General in Batumi 9 Ninoshvili Street, Batumi Tel: 422 25 58 00 consulate.batumi@mfa.gov.tr Republic of Azerbaijan Embassy Kipshidze II-bl . N1., Tbilisi Tel: 225-26-39, 225-35-26/27/28 E-mail: tbilisi@mission.mfa.gov.az Address: Dumbadze str. 14, Batumi Tel: 222-7-67-00; Fax: 222-7-34-43 Republic of Armenia Embassy 4 Tetelashvili St. Tbilisi Tel: 95-94-43, 95-17-23, 95-44-08 Kingdom of Spain Embassy Rustaveli Ave. 24, I floor, Tbilisi Tel: 230-54-64 E-mail: emb.tiflis@maec.esRomania Embassy 7 Kushitashvili St., Tbilisi Tel: 38-53-10; 25-00-98/97 E-mail: ambasada@caucasus.net Republic of Poland Embassy Oniashvili str. 24, Tbilisi Tel.: +995322 920398; Fax: +995322 920397 Email:tbilisi.amb.sekretariat@msz.gov.pl Web-site: www.tbilisi.polemb.net Republic of Iraq Embassy Kobuleti str. 16, Tbilisi Tel: 291 35 96; 229 07 93 E-mail: iraqiageoemb@yahoo.com Federative Republic of Brazil Embassy Chanturia street 6/2, Tbilisi Tel.: +995-32-293-2419 Fax.: +995-32-293-2416 Islamic Republic of Iran Embassy 80, I.Chavchavadze St. Tbilisi, Tel: 291-36-56, 291-36-58, 291-36-59, 291-36-60; Fax: 291-36-28 E-mail: iranemb@geo.net.ge United Nations Office Address: 9 Eristavi St. Tbilisi Tel: 225-11-26/28, 225-11-29/31 Fax: 225-02-71/72 E-mail: registry.geo@undp.org Web-site: www.undp.org International Monetary Fund Office Address : 4 Freedom Sq., GMT Plaza, Tbilisi Tel: 292-04-32/33/34 E-mail: kdanelia@imf.org Web-site: www.imf.ge Asian Development Bank Georgian Resident Mission Address: 1, G. Tabidze Street Freedom Square 0114 Tbilisi, Georgia Tel: +995 32 225 06 19 E-mail: adbgrm@adb.org; Web-site: www.adb.org World Bank Office Address : 5a Chavchavadze Av., lane-I, Tbilisi, Georgia ; Tel: 291-30-96, 291-2689/59 Web-site: www.worldbank.org.ge Regional Office of European Bank for Reconstruction and Development Address: 6 Marjanishvili St. Tbilisi Tel: 244 74 00, 292 05 13, 292 05 14 Web-site: www.ebrd.com Representation of the Council of Europe in Georgia Address : 26 Br. Kakabadze, Tbilisi Tel: 995 32 291 38 70/71/72/73 Fax: 995 32 291 38 74 Web-site: www.coe.ge Embassy of the Slovak Republic Address: Chancery: 85 Irakli Abashidze St. Tbilisi, 0162 Georgia Consular Office: 38 Nino Chkheidze St. Tbilisi, 0102 Georgia Phone: 2 222 4437, 2 296 1913 e-mail: emb.tbilisi@mzv.sk European Investment Bank Regional Representation for the South Caucasus Address: 1,G.Tabidze Street, Freedom Square

Phone: +995 322 006284 Embassy of The Republic of Korea 12, Titsian Tabidze Str. Tbilisi 0179, Geogia Tel: (995 32) 297 03 18; 297 03 20; Fax: (995 32) 242 74 40; Email: georgia@mofa.go.kr Hotels in Georgia TBILISI MARRIOTT Tbilisi , 13 Rustaveli Ave. Tel: 77 92 00, www.marriott.com COURTYARD MARRIOTT Tbilisi , 4 Freedom Sq. Tel: 77 91 00 www.marriott.com RADISSON BLU HOTEL, TBILISI Rose Revolution Square 1 0108, Tbilisi Tel: +995 32 402200 radissonblu.com/hotel-tbilisi RADISSON BLU HOTEL, BATUMI Ninoshvili Str. 1, 6000 Bat’umi, Georgia Tel: 8 422255555 http://radissonblu.com/hotel-batumi SHERATON METECHI PALACE Tbilisi , 20 Telavi St. Tel: 77 20 20, www.starwoodhotels.com HOLIDAY INN TBILISI Business hotel Addr: 1, 26 May Square Tel: +995 32 230 00 99 E-mail: info@hi-tbilisi.com Website: http://www.hi-tbilisi.com RIVER SIDE HOTEL With incredible service and views Addr: Mari Brosse street turn, Old Tbilisi. Tel: +995 32 2242244; +995 32 2242288 Fax: +995 32 2 242277 Email: info@riverside.ge Website: www.riverside.ge Restaurants CORNER HOUSE Tbilisi, I. Chavchavadze ave. 10, Tel: 0322 47 00 49; Email: contact@cornerhouse.ge RESTAURANT BARAKONI Restaurant with healthy food. Georgian-European Cuisine Agmashenebeli Alley 13th Phone: 555 77 33 77 www.barakoni.com CHARDIN 12 Tbilisi , 12 Chardin St. , Tel: 92 32 38 CAFE 78 Best of the East and the West Lado Asatiani 33, SOLOLAKI 032 2305785; 574736290 BREAD HOUSE Tbilisi , 7 Gorgasali St. , Tel: 30 30 30 BUFETTI - ITALIAN RESTAURANT Tbilisi , 31 I. Abashidze St. , Tel: 22 49 61 DZVELI SAKHLI Tbilisi , 3 Right embankment , Tel: 92 34 97, 36 53 65, Fax: 98 27 81 IN THE SHADOW OF METEKHI Tbilisi , 29a Tsamebuli Ave. , Tel: 77 93 83, Fax: 77 93 83 SAKURA - JAPANESE RESTAURANT Tbilisi , 29 I. Abashidze St. , Tel: 29 31 08, Fax: 29 31 08 SIANGAN - CHINESE RESTAURANT Tbilisi , 41 Peking St , Tel: 37 96 88 VERA STEAK HOUSE Tbilisi , 37a Kostava St , Tel: 98 37 67 BELLE DE JOUR 29 I. Abashidze str, Tbilisi; Tel: (+995 32) 230 30 30 VONG 31 I. Abashidze str, Tbilisi

Tel: (+995 32) 230 30 30 BRASSERIE L’EXPRESS 14 Chardin str, Tbilisi Tel: (+995 32) 230 30 30 TWO SIDE PARTY CLUB 7 Bambis Rigi, Tbilisi Tel: (+995 32) 230 30 30 Cinemas AKHMETELI Tbilisi. “Akhmeteli” Subway Station Tel: 58 66 69 AMIRANI Tbilisi. 36 Kostava St. Tel: 99 99 55, RUSTAVELI Tbilisi. 5 Rustaveli Ave. Tel: 92 03 57, 92 02 85, SAKARTVELO Tbilisi. 2/9 Guramishvili Ave. Tel: 8 322308080, Theatres A. GRIBOEDOV RUSSIAN STATE DRAMA THEATRE Tbilisi. 2 Rustaveli Ave. Tel: 93 58 11, Fax: 93 31 15 INDEPENDENT THEATRE Tbilisi. 2 Rustaveli Ave. Tel: 98 58 21, Fax: 93 31 15 K. MARJANISHVILI STATE ACADEMIC THEATRE Tbilisi. 8 Marjanishvili St. Tel: 95 35 82, Fax: 95 40 01 M. TUMANISHVILI CINEMA ACTORS THEATRE Tbilisi. 164 Agmashenebeli Ave. Tel: 35 31 52, 34 28 99, Fax: 35 01 94 METEKHI – THEATRE OF GEORGIAN NATIONAL BALLET Tbilisi. 69 Balanchivadze St. Tel: (99) 20 22 10 MUSIC AND DRAMATIC STATE THEATRE Tbilisi. 182 Agmashenebeli Ave. Tel: 34 80 90, Fax: 34 80 90 NABADI - GEORGIAN FOLKLORE THEATRE Tbilisi. 19 Rustaveli Ave. Tel: 98 99 91 S. AKHMETELI STATE DRAMATIC THEATRE Tbilisi. 8 I. Vekua St. Tel: 62 59 73 SH. RUSTAVELI STATE THEATRE Tbilisi. 17 Rustaveli Ave. Tel: 93 65 83, Fax: 99 63 73 TBILISI STATE MARIONETTE THEATRE Tbilisi. 26 Shavteli St. Tel: 98 65 89, Fax: 98 65 89 Z. PALIASHVILI TBILISI STATE THEATRE OF OPERA AND BALLET Tbilisi. 25 Rustaveli Ave. Tel: 98 32 49, Fax: 98 32 50 Galleries ART GALLERY LINE Tbilisi. 44 Leselidze St. BAIA GALLERY Tbilisi. 10 Chardin St. Tel: 75 45 10 GALLERY Tbilisi. 12 Erekle II St. Tel: 93 12 89

12 January 28, 2019 #268

Profile for Caucasian Business Week

Caucasus Business Week #268  

1. Net Profits of #Commercial #Banks Totaled 119.1 million GEL in #December 2. #CityHall and #Investor Came to Agreement – Hotel will not Be...

Caucasus Business Week #268  

1. Net Profits of #Commercial #Banks Totaled 119.1 million GEL in #December 2. #CityHall and #Investor Came to Agreement – Hotel will not Be...