Issue #1254

Issue no: 1254

• JULY 10 - 16, 2020 • PUBLISHED WEEKLY

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In this week’s issue...

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Enterprise Georgia Shortlisted for World Trade Promotion Organization Awards 2020 NEWS PAGE 2

Contemporary Int’l Relations & Georgia’s Possible Response: Challenges, Risks, Answers. Part II POLITICS PAGE 6

Tbilisi Hills Golf & Residences: Meticulously Designed to Serve Every Imaginable Need

FOCUS ON TURKEY

In an exclusive interview, the Turkish Ambassador talks about neighborly support, post-COVID

PAGE 4

Georgia Opens Borders Unconditionally to 5 Countries

T

he Georgian government's administration released a statement made by the Prime Minister's Adviser Irakli Chikovani regarding the decision to open borders to 5 EU coun-

tries.

The statement reads: "The European Union, on June 30, included Georgia on the list of safe countries and issued a recommendation on the possible reopening of borders to these countries.

Based on said recommendation, the Government is holding bilateral negotiations on opening borders with relevant EU member states.

Notably, based on the epidemiological situation in the world and Europe, some EU member states have, at this point, opted against opening borders to foreign citizens, including from the EU. And a 14-day quarantine at one's own expense is still mandatory upon arrival in a number of countries.

Georgia is also monitoring the global picture and takes cautious steps to protect the health of its citizens.

As of today, of the countries who have opened their borders to Georgia without reservation, Georgia, on the decision of the Interagency Coordination Council, will unconditionally open

Image source: cnn.com

BUSINESS PAGE 9

Beeline’s New SMS Portal Enables Companies to Manage & Plan Mass SMS Campaigns BUSINESS PAGE 9

Mortgage Subsidy: Encouraging Borrowing in the Midst of a Crisis ISET PAGE 10

Tourism Sector Challenges Worldwide & Opportunities to Overcome Crisis Caused

by Global Pandemic SOCIETY PAGE 11

The Hidden Shame of Gori, And No, It’s Not Stalin SOCIETY PAGE 12

Natela Iankoshvili – An Artist’s Life between Coercion & Freedom CULTURE PAGE 15 its borders to the following 5 countries: 1) Germany 2) France 3) Latvia 4) Lithuania 5) Estonia

As for other countries, in making this decision, the Council considered the fact that several countries have opened their borders, among others, to states not listed by the EU as safe countries.

Continued on page 2

Georgian Basketball Team Captain Shengelia to Play for CSKA Moscow SPORTS PAGE 15

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NEWS

Open-air Cultural Events to be Allowed from July 13

GEORGIA TODAY

JULY 10 - 16, 2020

Hungarian FM Praises Georgia's Success as EaP Leader, Distinguished NATO Ally

BY ANA DUMBADZE

BY ANA DUMBADZE

O

pen-air cultural events will be allowed in Georgia from July 13, Prime Minister GiorgiGakhariaannounced at a government meeting

today.

He added that the above will apply to any type of event, including open air exhibitions.

“The ban on open-air cultural events will be lifted from July 13. I think, especially now, in the summer, when domestic tourism is becoming more and more relevant, it is very important. All events that are held outdoors will be allowed,” PM Gakharia said.

Georgia resumed domestic tourism on June 15.

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s part of his official visit to Georgia, Hungarian Foreign Minister Péter Szijjártó met with Georgian Prime Minister Giorgi Gakharia.

Both sides noted that the first highlevel visit to Georgia since the start of the pandemic is an important signal of how close the partnership between the countries is.

During the meeting, the Prime Minister of Georgia and the Minister of Foreign Affairs and Trade of Hungary discussed issues of bilateral cooperation and future prospects. The focus was on the country's European and Euro-Atlantic integration agenda.

Péter Szijjártó praised the successful reforms implemented by the Georgian government and noted that the country is a leader in terms of both the Eastern Partnership and NATO relations. In his words, Georgia is a clear example of what kind of alliance NATO can have with non-member states.

During the meeting, the talks focused

on the success of the countries in the fight against COVID-19. The Hungarian minister noted that Georgia has very important positive results in this direction and the decisions of the country's government and the efforts of the citizens are noteworthy.

The Hungarian Foreign Minister focused on the favorable business environment in the country and the desire of Hungarian companies to operate in Georgia. The successful operation of the Hungarian company Wizz Air in the

country was also stressed.

The talks touched upon the possibility of intensifying tourism between the countries as soon as possible. The sides noted that the restrictions on international travel will be eased gradually, consistently and carefully so as not to endanger the lives and health of citizens.

Péter Szijjártó reaffirmed Hungary's unwavering support for Georgia's sovereignty and territorial integrity.

David Zalkaliani, Minister of Foreign Affairs, Natia Mezvrishvili, Head of the

Government Administration, and Irakli Chikovani, Advisor to the Prime Minister on International Relations, attended the meeting held at the Government Administration.

Earlier today, the Hungarian FM met with his Georgian counterpart David Zalkaliani.

The topics discussed at the meeting included the opening of borders.

“There are many Hungarian citizens who want to come to Georgia. In order to give them this opportunity, we agreed to set up a working group to exchange information. Our friendship has deepened during the pandemic. A large number of medicines are imported to Georgia from Hungary. We want Georgia's integration into Europe to be fast. We know that Georgia is a country of very deep civilization and culture. At the same time, the Bank of Hungary has created a fund of 155 million euros, which can be spent on the territory of Georgia today," said Péter Szijjártó.

He explained that the line of credit will be used by Hungarian businessmen aiming to invest in Georgia and expressed hope that the line of credit will be fully utilized.

Georgia Opens Borders Unconditionally to 5 Countries Continued from page 1 The citizens/residents of the 5 countries above can only use direct flights to Georgia for any type of visit.

Before crossing Georgia's border, they must fill in a special e-form and list their travel history in the course of the previous 14 days, as well as the location of their stay in Georgia, contact information, etc.

With their consent, or in case thermal screening at the border reveals a temperature higher than 37.0, a PCR test will be performed at the airport.

Testing and quarantine will be mandatory for those with a history of traveling to high-risk non-EU member states in the course of the previous 14 days.

All persons arriving in Georgia will, throughout their stay, maintain proactive communication with and receive care from a special call center group.

As for other EU member states who have not opened borders to Georgia, the

status quo will be maintained by Georgia as well. Besides the 5 countries above, in the case of countries listing Georgia as a safe country or imposing various types of restrictions, their citizens will be able to enter Georgia as long as they complete a 14-day quarantine period at their own expense.

Besides the 5 countries above, work on relevant procedures continues with the countries that have unconditionally opened their borders to Georgia.

At this point, the following countries have not opened their borders to Georgia: Austria, Belgium, Bulgaria, Denmark, Norway, Malta, Finland, Switzerland, Czechia, Slovakia, and Hungary. Notably, a joint commission with Hungary has been established to work on the issue of movement reopening.

Some countries (Italy, Cyprus, Iceland, and Slovenia) are ready to open their borders with certain restrictions, including a mandatory 14-day quarantine period for arrivals.

The recommendations and the list of safe countries published by the EU will be reviewed every other week.

Importantly, to encourage economic activities in Georgia, business trips from all countries will be allowed without reservation, based on a completed special form and coordination with relevant sectoral agencies. Business visitors to Georgia are obligated to carry out a PCR test for COVID-19 at their own expense every 72 hours, or complete a mandatory 14-day quarantine, also at their own expense. Of course, that does not apply to the citizens/residents of the 5 countries enjoying unconditional border reopening with Georgia.

Relevant e-forms mandatory for the citizens of the EU member states listed above, as well as for business visitors from any country, will be available on the Georgian Government's special website www.StopCoV.ge.

Georgian citizens, upon their return from any type of visit to EU member states, will

be obligated to complete a mandatory 14-day quarantine period. Importantly, our citizens must also consider the approaches to reopening borders taken by the EU member states listed above.

Negotiations are underway with international airlines to resume air travel and regular flights with the 5 EU member states who have unconditionally reopened their borders to Georgia. In particular, an agreement has been reached with Lufthansa to carry out two flights a week to Munich starting in August. We are also negotiating with Air Baltic and Air France.

To ensure the orderly repatriation of Georgian citizens abroad, Wizz Air and MyWay Airlines will carry out flights from the following destinations in July: Warsaw on July 13 Barcelona on July 15 Rome on July 17 Paris on July 22 Athens on July 28.

The flights above will not cost Geor-

gian citizens more than 200 Euro.

Georgian Airways, formerly Airzena, is carrying out commercial charter flights to the following capitals: Vienna, Amsterdam, and Tel Aviv, while Qatar Airways will, in the next few days, carry out a one-off commercial charter flight from the capital city of Doha, to repatriate 105 Georgian citizens.

The presently applicable regulations will remain enforced on Georgia's land borders.

The Government of Georgia continues active cooperation with partner EU member states. Based on the relevant recommendation, the rules for entering Georgia and for Georgian citizens entering various EU states will be reviewed jointly once every other week.

The health and safety of citizens is our top priority, and each decision is made with this priority in mind. We will do everything to ensure the maximal protection of the health of our citizens and the country's guests in Georgia."

Enterprise Georgia Shortlisted for World Trade Promotion Organization Awards 2020

BY ANA DUMBADZE

T

he International Trade Center (ITC) has selected 18 national trade promotion organizations for the 2020 World Trade Promotion Organization (WTPO) Awards, including Enterprise Georgia.

The shortlisted organizations are competing in three categories: Best use of a partnership - Colombia, Egypt, Sweden, the United Republic of Tanzania, the Netherlands, Viet Nam, Zimbabwe; Best use of information technology Brazil, China, Georgia, Malaysia, Portugal, United Arab Emirates; Best initiative for inclusive and sustainable trade - Austria, Costa Rica, Lithuania, Saint Lucia, Spain.

The winners will be announced at the 13th WTPO Conference in Accra, Ghana, on 14 October.

The WTPO Awards 2020 received 60

applications, the highest number since the awards were created in 2004. A jury of peers selected the shortlist. The jury is comprised of the 2018 award winners and is chaired by ITC Executive Director a.i. Dorothy Tembo.

The competition, open to all national trade promotion organizations, recognizes excellence in trade support services. They celebrate organizations that excel in innovative, effective export development initiatives. The organizations must show that they help micro, small and medium-sized enterprises (MSMEs) to become competitive in international markets.

Entrants were asked to demonstrate innovation and boldness for each of the three categories. The first category demonstrates strong service delivery through key partnerships; the second focuses on efficiency through new technologies; and the third showcases solutions that contribute to the 2030 Agenda for Sustainable Development.

Commenting on this year's shortlist, Ms. Tembo said: "National trade promo-

tion organizations play a crucial role in supporting business innovation, tradeled growth and the internationalization of MSMEs. To be able to deliver services at a time of multiple external shocks these organizations must be proactive, and forge their place at the front line".

"The entries demonstrate how these organizations are responding, while also shaping their initiatives to contribute to inclusive and sustainable economic growth," she added. 'Today's nominees showed vision and commitment to excellence in service delivery.'

The TPO Network World Conference is a biennial event, first held in 1996 in Cartagena, Colombia. The 13th conference, themed 'Bold solutions for resilience and recovery' will bring together more than 200 TPO representatives, policymakers and business leaders from over 70 economies.

ABOUT ENTERPRISE GEORGIA In June 2014 the Ministry of Economy and Sustainable Development of Georgia, together with the Ministry of Agri-

Source: intracen.org

culture, launched a new government program 'Produce in Georgia.'

The program’s objective is to promote an entrepreneurial culture throughout the country by stimulating the establishment new enterprise and supporting the expansion of existing operations.

Enterprise Georgia is the key implementing partner of 'Produce in Georgia' and is responsible for business support, export promotion and investment in Georgia sectors.

The Business Division of the agency promotes entrepreneurial activity in Georgia by supporting entrepreneurs assisting with the creation of new enterprises as well as the expansion and

refurbishment of existing enterprises.

The Export Division promotes the export potential of the country by increasing the competitiveness of local products and the overall volume of goods directed towards international markets.

The Invest Division’s primary role is to attract, promote and develop direct foreign investment in Georgia.

As the moderator between foreign investors and the Government of Georgia, the Invest Division ensures access to updated information, provides an efficient means of communication with government bodies, and serves as a “onestop-shop,” supporting investors throughout the investment process.

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POLITICS

GEORGIA TODAY

JULY 10 - 16, 2020

Turkish Ambassador: We Need Connectivity to Get Re-Established general supply and demand contraction globally will have an impact on all of us.

This year, we intend to work on the domestic tourism sector; and I hope that this crisis will not be instrumentalized as a global economic financial tool of foreign policy, because we’re all in the same boat. We’ve lived through many crises and we’ve made it, so I’m sure the Turkish tourism sector and the economy in 2021 will not be far away from any other robust economy.

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CAN YOU TELL US ABOUT TURKEY’S DEVELOPMENT OF A VACCINE? The Turkish healthcare sector is involved in the global endeavor. There are many professional and experienced doctors in Turkey, and they do believe in the benefit of this vaccine. And once it is established to be healthy and safe, we’ll be introducing it to our public. It’s an ongoing business, Turkey can’t be separated from the WHO or other partners. It’s team work.

MANY PUBLICATIONS, BOTH IN THE US AND EUROPE, HAVE PRAISED GEORGIA’S HANDLING OF THE PANDEMIC. WHAT’S YOUR TAKE ON THAT? The Government of Georgia did a very good job in controlling the pandemic.

INTERVIEW BY KATIE RUTH DAVIES

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spartofGEORGIATODAY’s ongoing ‘Ambassadors Go Live’ series, we spoke to the Turkish Ambassador to Georgia, Fatma Jeren Yazgan, about COVID-19 past and present, and took a look ahead to world recovery.

First, the latest COVID-19 statistics from Turkey, which is 783,562 km² and has a population of 82 million.

Turkey appears 15th on the Worldometer coronavirus list. There are 16,145 active cases, of which 1,172 are critical.

5,282 Turkish citizens have died and total cases currently stand at 208,938.

HOW HAVE YOU AND YOUR EMBASSY COPED AND ADJUSTED AND HELPED TURKISH CITIZENS LIVING IN GEORGIA, DURING THE PANDEMIC? In the first months we were basically trying to keep safe, follow government guidelines, and to inform and advise our citizens on the pandemic as it progressed in both countries. Our foremost concerns were public health and accessibility to information, because people were worried whether they would have access to essential aid.

We tried not only to inform but to ensure that our citizens were provided with due assistance. Georgia being our land neighbor made it easier to coordinate the transportation of our citizens, which was one of the core issues that we had to keep up with. I’m thankful for the cooperation, assistance and understanding on the part of the Georgian authorities.

Another thing we had to do was to inform our citizens of the measures introduced by the Georgian government and the rules they had to follow. So this was

a time for us when we, as a team, had to concentrate and think of the best ways to deal with the pandemic. We had an interesting time understanding our roles, functions and capabilities.

WHAT STEPS HAVE TURKEY’S GOVERNMENT AND HEALTHCARE SYSTEM TAKEN TO FIGHT COVID-19, AND HOW EFFECTIVE DO YOU THINK THAT FIGHT HAS BEEN? There are a couple of aspects concerning the fight against COVID-19. First, it was vital to investigate the virus itself: we had seen that some European countries went through a difficult process of dealing with the pandemic and sometimes failed to address the problems, so like everybody else, we checked our potential, and it turned out that our healthcare system was strong enough to deal with the illness. Another challenge was to fully inform our citizens so that they could take full responsibility for their actions.

We had certain issues when, for instance, people did not understand why it was so important to avoid public gatherings; that certain traditions and the life as we knew it before the virus had to change. The measures that the government took to address such issues were all controversial and sensitive for the public, but in most cases they were effective. I think the biggest success for the Turkish government in the fight against the virus was coordinating the medical response, following up the latest information on the formulas for treatment, and ensuring the capacity building for the intensive care units. I’m very proud to see that the Turkish private sector, together with the small technology startups which started some years ago, were able to invent, build and start serial production of ventilators in a very short time, which also helped instill hope in the public.

Another huge step that the Turkish government took was to increase COVID-19 testing, with over 50,000 tests conducted in a single day. The needs of the frontline healthcare workers became another priority, as they sacrificed so much in this crisis.

The same was the case for Georgia. All these issues are not over yet; we’re just now managing them better. But we still need to be alert. The governments are now responsible for managing this balance between freedom and the economy, and we as people have a responsibility to obey the fundamentals in this fight.

HOW DID TURKEY SUPPORT ITS CITIZENS, ESPECIALLY THOSE WHO LOST THEIR JOBS DUE TO THE CRISIS? There were a couple of financial packages introduced to support workers and businesses, particularly small and medium enterprises. With the introduction of these measures, keeping employees was made easier, credit lines became more affordable, and there were some incentives on the subsidies for certain sectors, like the construction sector. Most of the measures were targeted not towards immediate financial aid, even though there was some, but to inventing measures that would ensure the overall sustainability of the economy.

HOW DO YOU SEE TURKEY IN SIX MONTHS OR ONE YEAR’S TIME IN TERMS OF ECONOMIC RECOVERY? We’re now seeing that in the last couple of months, our exports and imports have increased, our trade is continuing, which is a very good sign for any economy. This

There are also things that it could be criticized for, like any other government, but this is a case of “lessons learned”.

And I think they did the best any government could do here. But it’s not over yet. Issues to consider are, for instance, how to open the economy when you have been controlling the pandemic at such a successful level, regarding the number of patients and capacity of the Georgian health system? And allowing for business trips without 14 days’ quarantine. We need connectivity to get reestablished. Turkish Airlines is ready and they are waiting for the Georgian government’s decision. I think that we need to see how we can help the Georgian government to make that safe transition. It is the same issue internationally.

It is also a public demand. We have seen Georgian people coming home to Georgia, one or two, not many, infected with the virus, and they were very successfully detected, quarantined and healed.

Georgia is capable of handling the virus now, but if the numbers go beyond, what happens then is the question.

In the first months of this COVID-19 crisis, 25,000 trucks crossed the Sarpi border, which means 25,000 drivers: some Turkish citizens, some Georgian. They were quarantined safely. But what happens when it’s tourists, not truck drivers?

It’s all under discussion, but we all know we have to open up the economy, because there is no alternative for sustainable recovery.

WHERE DO YOU SEE GEORGIA IN SIX MONTHS OR ONE YEAR IN TERMS OF ECONOMIC RECOVERY? I can’t predict, to be frank. Because it will be speculation. Georgia has elections coming up in October, which is an important event on the agenda. As I see, economic recovery is not only a COVID-19 issue, it is also a political one. I’ve heard complaints from entrepreneurs, but I’m sure the government is trying to take steps to make people happy, and they will try to address the issues raised. It is rational political behavior. When the tourism sector, the services sector, come back, and start generating income, there will be a very good program in terms of inviting investors. The government started the program ‘Enterprise Georgia’ together with the Ministry of Economy, and they are revising what can be done to further attract FDI. These upcoming two years are a great time for construction, because the markets globally will be coming back with higher prices. The Turkish business sector is interested, looking favorably at the sectors to work with their Georgian partners. We don’t know when the postCOVID period will come, but let me say two things about Turks and Georgians: first, we lived through the difficult 90s, when the money inflation in Turkey was 120%. And here, too. Second, we’ve both lived through the comfort zone following the 90s, when we were able to consume more, to have holidays abroad. Now it is time to re-discover our neighbors, for people to learn how to produce more, and maybe spend less, or consume more smartly. And I think both Turks and Georgians are resilient enough to make it through.

WHAT HAS YOUR BIGGEST TAKE-AWAY BEEN FROM THIS WHOLE PANDEMIC EXPERIENCE? My biggest take-away is that we shouldn’t take anything in our lives for granted.

The freedom to go to restaurants and have a cup of coffee was taken from us by an invisible enemy: COVID-19. We should pass this awareness on to our young generations, teach them not to take things for granted. We have to be more flexible and adaptable. And realize how important it is to have solidarity. Communities should come together. Seeing nurses and doctors putting their lives at risk in the hospitals, seeing their noses bleeding from wearing face masks while people complained of boredom while having to self-isolate at home…it made me realize we need to be more resilient and more understanding and to be more responsible. COVID-19 is not over yet, but I do believe it’s a journey that will change our lives.

Interview transcribed by Ana Dumbadze and Elene Dzebishashvili

POLITICS

GEORGIA TODAY JULY 10 - 16, 2020

5

Author Oscar Jonsson on the Russian Understanding of War INTERVIEW BY VAZHA TAVBERIDZE

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ith President Putin successfully paving his way towards the “Tsar for Life” trophy, and the West once again pondering the conceivable ways of dealing, or rather, deterring Russia, the importance of awareness of the Kremlin’s nefarious tactics becomes as important as ever. To that end, the Georgian Institute of Security Policy spoke to Oscar Jonsson, author of highlyacclaimed ‘Russian Understanding of War’ for its new episode of ‘Insights on Putin’s Russia’ series.

“To understand the purpose behind Russia’s edging more towards non-military means of warfare, it needs a close look at modern Russian history,” Jonsson tells us. “After the [Russo-]Georgian War, the strategists in the Kremlin sat down and thought, hey, why did we lose the global information battle? And part of the answer they found was because of the structure of global international media. They realized they needed to increase their efforts in the global information environment: RT’s funding was expanded and channels were added in Arabic, French, and Spanish, RT UK came out, and RT US. After the Arab Spring, they saw how power was formed in social media and thought about how to best operate in this sphere. This resulted in ‘the troll farm’.

“I would argue that a lot of instances where Russia has been effective have come from a threat perception of losing in that field and building their offensive there. For instance, former Soviet Union countries have been very attracted by liberal democracy and rule of law, to the point where citizens revolted against rulers and replaced them with proEuropeans. This was met with a political offensive and support for actors undermining Western and transatlantic unity.

“I think if you look at what Russia says, one of the things they insist on is a kind of renegotiating of a new settlement on international order and international security, which they feel does not cur-

rently favor Russia. It’s a very extensive goal, not likely to happen very soon: basically, an order which recognizes the spheres of influence and non-recognition of the sovereignty of its neighbors. I certainly don’t see peace as a mid-term prospect.”

it’s not something you can blame on someone else or pretend does not exist.

As such, we need to keep in mind that although it looks worse than ever, Putin has remained in power to a large degree because of his genuine popularity in Russia.

WOULD IT MEAN MAKING THE WEST ACCEPT THE RUSSIAN PERSPECTIVE OF THINGS?

EACH TIME PUTIN'S POPULARITY DROPPED DRAMATICALLY, HE PULLED OUT A CARD AND CLIMBED BACK UP, EITHER VIA A SMALL VICTORIOUS WAR OR A PIECE OF CAKE FROM UKRAINE. ANY IDEA WHAT TO EXPECT NEXT?

That’s the strategic goal that Russia has in all its diplomatic negotiations, in all interactions with the West: that’s a key goal in Russian foreign policy. They do not want a unipolar world and want to undermine the idea that human rights are universal, and propose that democracy can be different depending on where you are.

Putin came to the presidency as Mr Nobody, yet managed to win the elections within a couple of months. In his career, there’s a strong correlation between public approval and military actions.

What could be next on the cards? The annexation of Belarus? I don’t think so: I hardly see it being popular. What we need to understand about Ukraine is that the circumstances were quite unique, with no central government; with an area that was previously part of Russia.

I would be cautious to predict too much, but I don’t want to exclude that much either.

DESPITE STRONGLY ADHERING TO THE “POWER IS MIGHT” PRINCIPLE, RUSSIA ALWAYS CLAIMS TO BE ON THE DEFENSIVE, ACTING FROM THE POSITION OF A BESIEGED POWER. WHAT PROMPTS THAT CONSTANT DEFENSIVENESS? It’s simple: it works. A lot of people buy into the narrative that Russia is a defensive power that was encroached on by the West. If we judge them upon the core principles by which international order stands, then they’re most often wrong, but it is an effective way of framing Russian actions.

HOW SUCCESSFUL CAN THE WESTERN ATTEMPTS TO AVOID CONFRONTATION WITH THE KREMLIN BE? CAN THIS BE SEEN AS A SIGN OF WEAKNESS BY RUSSIA? Russian aggression is premised on the notion that the West tends to be very predictable, that the West will always negotiate for a solution. It gives Russia a strategic utility, and escalation control, whereby they can always try to isolate themselves, because they know the point where they will be able to back down and negotiate a solution. After the invasion of Ukraine, Lavrov allegedly said, “you are very angry right now, but you will forget about this in six months.” Actually, he would have been right if not for the

accidental downing of the MH17; it was only after that we saw any substantial sanctions placed on Russia. Less than a year ago, the French President came out and said “we need to improve relations with Russia again.” This suggests that nothing substantial happened in Ukraine, that you have a significant large scale attack on the US presidential elections, use of chemical weapons on NATO territory, yet relations can be repaired. So, I would ultimately agree with the notion that the West is predictable.

WHAT DOES IT SAY ABOUT THE WEST THAT IT TOOK THE DOWNING OF THE AIRCRAFT TO ACTUALLY FORCE THEIR HAND TO RESORT TO SANCTIONS, AND THAT WHAT HAPPENED IN GEORGIA AND UKRAINE WAS NOT ENOUGH? It shows first of all how far the security policy has slipped out of the minds of

the European governments since the notion of eternal peace took hold after the end of the Cold War. It’s a very typical trend in most western countries that questions of security have been demoted to the point they are not top in the minds of politicians. Our first line of defense is the notion that international law applies, but, sadly, I think the security and defense questions have been left behind: we don’t want to accept economic pain for geopolitical gain.

WHAT SHOULD WE EXPECT FROM THE OBVIOUS OUTCOME OF THE RUSSIAN REFERENDUM?

IS WHAT RUSSIA IS NOW DOWN TO WHAT PUTIN IS AND HAS DONE FOR THE COUNTRY? WILL THERE COME A TIME WHEN PUTIN WON'T BE THERE EITHER PHYSICALLY OR POLITICALLY THAT MIGHT GIVE THE WEST ANOTHER CHANCE? Short of a change in the system governing Russia, the person that comes after is likely to act similarly, in part because the choices are shaped both by the interest of the elites and from popular support. I have a hard time seeing a genuine reconciliation, short of a change in the international system.

What’s interesting now is the popularity figures, but coupled with the things Putin has promised, in bringing stability, economic growth, or at least national pride to the global stage, a lot of this is undermined, and we are seeing a notable drop in the handling of the coronavirus. The virus is a concrete physical phenomenon;

Elections – Fine, but How about Territorial Integrity?

OP-ED BY NUGZAR B. RUHADZE

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f our country’s territorial integrity is still an issue, elevated into the rank of a national idea, then why are we talking about elections more than about territorial integrity? Maybe because the elections have now become a national idea and territorial integrity has been moved to the back bench! I don’t know of any politician who would like this question asked point blank, but I am still asking it. There is another way though to handle the issue: forget about the forfeited lands, take good care of what is left, and look into the future like nothing has happened.

Easy, isn’t it?

I’ve got the third version of resolution: putting the following question on the ballot of a hypothetical nationwide referendum: ‘Would you say Yes or No to the revival of the Soviet Union if Georgia’s territorial integrity was immediately restored?’ I wonder to the extent of a splitting headache how the Yay and Nay responses might proportionate if the referendum actually took place. Please don’t expect me to make a forecast! I’m

an experienced and careful journalist who has never taken sides or persisted in prognostic efforts. I will not even say that the idea sounds somewhat attractive because I am not prepared to get caught in the middle of a squabble between Russophobes and Russophiles.

You know, we usually associate the former USSR with today’s Russia, and this is fair enough because, after all, it is Russia that has assumed the role of the Soviet Union’s official legal successor. Whatever we say or presume on a local patriotic level, we will never be able to eschew the cruel man-supposes-god-disposes paradigm. Meanwhile, we are faced with music of the following tones: the occupied territories continue to be just as occupied as they were three decades ago, and even wider; the Russia-Georgian borders are being tailored like they are perennially movable frontiers; the confused unsuspecting border violators still get arrested and fined. Surprisingly, the trade between the two feuding countries remains better than averagely functional; plenty of Georgian enterprises operate under Russian ownership and management; the western alliances and individual well-wishers carry on behaving even more cautiously as facilitators to unraveling the Russian-

Georgian political tangle of 30 years; the soft-power bickering between the two political cultures has never mitigated; the frozen conflicts on de-jure Georgian territories are covered with an even thicker layer of ice; the diplomatic language and political correctness have become much subtler and less useful; the Russian tourists in Georgia feel cozily ensconced in Abraham’s Bosom, enjoying the beauty of our nature and sipping the delicious Georgian wine like in good old times of peace and cooperation, as if nothing much has changed.

The Georgian-Abkhaz divorce has instigated the Armenian-Abkhaz marriage; the Georgian properties are still waiting for their legitimate owners; the two runaway territories continue thinking of themselves as independent nations in a procrastinated expectation of international recognition; generations have grown who are not even familiar with prewar maps, and couldn’t care less whether Georgia’s territory is complete or tattered; the rhetoric – ‘You can’t take back peacefully what you have lost by war’ has taken firm hold in the minds of frustrated patriots who probably know that belligerency is not the best way for Georgia to achieve any goal; the separa-

Image source: emerging-europe.com

tist governmental staffers have been sprawling on the Russian payroll, basking in the imaginative glory of freedom and independence, when in reality they are so broke that their monthly paychecks are persistently getting thinner.

I am dying to know if the rebels love the Russian and Armenian presence in their everyday routine more than the habitual Georgian shoulder to rely on.

The time between now and the Election Day is getting shorter, and the process in between is becoming overwhelming: politically, emotionally, and physically.

No matter how fascinating the electoral outcome is, if the potential of reinstating Georgia’s territorial integrity doesn’t grow as a consequence, then even the most successful end of the day will see a fly in the ointment.

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POLITICS

GEORGIA TODAY

JULY 10 - 16, 2020

Contemporary Int’l Relations & Georgia’s Possible Response: Challenges, Risks, Answers. Part II OP-ED BY VICTOR KIPIANI, GEOCASE CHAIR

E

very coin has two sides, and what we are dealing with here does too. It is one thing to understand the dissatisfaction of US leaders with the current situation and their desire to change things, but it is another to soberly assess how such a revision could either strengthen global order and security or instead make things worse. This is especially thought-provoking for us, since it is quite possible that a change in global relations could create even more mind-twisters for us, and that our theories would hardly be compatible with reality.

That said, I personally believe in the realistic, rational, technocratic approach.

Realism implies uncompromised thinking and an assessment of issues which rejects groundless hopes and illusory ideals. But here, too, we must remember that realism maintains that power remains central to political life and that the main concern of states is their own security, and that they must first of all rely upon their own resources instead of international norms and mechanisms.

Alongside its sober rationality and pragmatism, this form of realism does of course have its own side-effects, e.g. the dangerous rise of nationalism in international relations; using international judicial norms and orders to further an unhealthy state ego; and (unintentional?) pessimism when it comes to multilateral efforts to make the world a better, fairer and safer place. We will add here as well that, in terms of materialization, too, a new course towards an ‘offshore balance’ has quite a few faults and weaknesses which challenge its effective implementation both for the United States as well as for her regional partners.

Studying and analyzing these faults in detail would be important from our point of view, but we must unfortunately limit ourselves to a more general description and instead discuss this issue in detail some place else. At this stage, in any case, it is very difficult to predict whether the world will follow the path of cardinal rearrangements, whether traditional forms of inter-state relations will be maintained, or whether the post-pandemic world will offer us something new.

Be that as it may, at this stage Georgia should begin to analyse and model dif-

ferent scenarios and develop a response to every possible one. Precise prognosis is difficult, but the margin of error of these studies must be reduced to a minimum. It is equally important that the responses not be mere reactions but proactive, responsible and balanced, especially with regard to regional arrangements. Georgia must not only ‘fit’ into the post-pandemic world order, but wherever feasible also mold the order around us by participating in the process of defining its contours.

A MORE GENERAL DISCUSSION OF THE GEORGIAN CASE Any discussion of Georgia in this context must be neither too general nor too detailed, and I shall try to find a sensible medium between these two undesirable extremes. According to modern Western teaching of foreign policy, the US are the largest single contributor, and this indeed seems perfectly right and logical, but any world map of geopolitical actors identifies not one but several centers of power and gravity.

These are Europe, China and the region which we refer to as the Near East, whereas Western political vocabulary refers to it as the Middle East. Despite the usual geographical clichés and stereotypes, I obviously think that all three are important and relevant for Georgia, since what goes on in Europe, China or the Middle East affects our country’s domestic and foreign policy. Some might think that this assumption is somewhat exaggerated, but I believe that it is absolutely accurate. At this stage, we should of course not try to find explanations for our ‘uniqueness’ or ‘historic mission’, as any such attempts are hardly serious and make us lose the valuable grip of Realpolitik. We should instead search for the real explanation in the specifics of the region in which Georgia is located, but once again I cannot describe different theories and geo-strategic teachings at length in this format.

I have discussed these issues earlier, but I feel I should repeat and underline one of them again, the most important one for us: establishing the global actors of Eurasia as leading forces and the global results linked to this process. I will also add that the micro-region of the Black and Caspian seas is one of the knots of the Eurasian strategic space; more precisely, the area of which Georgia is one of the centers—with access to the sea, and neighboring with Russia, Europe and NATO’s eastern flank as well as with the Middle East. Georgia’s geographic

and geo-political location is a destiny that can be a blessing when used properly and a curse due to the constant threats. Our principal foreign policy course adds itself to that, and as a result the entire palette of the ‘Georgian case’ is presented.

We already know that Georgia’s National Security Council announced that it was to begin work on a conceptual paper. I expect that working on this paper and discussing it will be an inclusive process, giving us the possibility to assess all the risks properly and to recommend ways of neutralizing or minimizing them. I would also like to share my opinions on a couple of circumstances and factors which I believe are important.

One of these is the possibility of establishing Georgia as a keystone state in the region, but I have recently spoken of this matter quite widely and will therefore only touch upon a few of its nodal components.

First of all, it should be mentioned that this status is not linked to any formal recognition. In reality, this role indicates the country’s functional usefulness for its allies and partners as well as its contribution to regional security and stability. However, before we consider the question of regional contribution, we should not forget that Georgia herself needs support for her national security and stable development. Some practical mechanisms for this do exist, and here of course the ultimate one would be Georgian membership of NATO’S collective security system, but the problem is the absence of clarity from NATO regarding the question of further expansion.

It is true that in recent years several important steps have been taken in the rapprochement between NATO and Georgia, especially in the Black Sea, but a feeling of dissatisfaction remains and against the background of fast-changing events is linked to the absence of commensurately fast ideas and decisions.

On the other hand, the Black and Caspian Sea micro-region, as one of the knots of Eurasia, deserves much more attention and resources. On the path towards better security, another mechanism is Georgia’s bilateral defense pact with the US, particularly since it could coincide with the above-mentioned doctrines of realism and ‘offshore balance’. Equally acceptable and more tactical in nature would be so-called intermediate scenarios such as agreements providing for the visits of allied armed forces. Analogues of this specific step can be found in practice,

Image source: emerging-europe.com

and their mission is mainly linked to joint intensive training. In short, there are ways, but all this requires more thought and most importantly action in order to remain a step forward of current events. In this regard I am still left with a feeling of disappointment.

I would also mention Georgia’s regional diplomacy, including second-level diplomacy, its establishment as a hub, as well as the country becoming one of the main contributors to knowledge and information databases in the region. Both these circumstances could also be seen as contributing to the development of Georgian ‘soft power’.

I would also emphasize Georgia’s potential place in the rearranged global chain of supply and demand, which we see as a precondition for rethinking the country’s economic sovereignty and long-term development. I already have already discussed this question in the past.

GEORGIAN-AMERICAN RELATIONS: A SOLID PRECONDITION FOR DEVELOPMENT There is a general consensus that Georgian-US relations are developing dynamically and in practically every sphere.

That said, I would still focus upon the military aspect and security issues in general, of which the American approach to Georgia (as a country not part of NATO) can serve as a good illustration.

On the July 6, 2016, for example, Georgia and the United States signed a memorandum of understanding on deepening their partnership in defense and security spheres, which later became a framework agreement for cooperation in 2016-19 and was renewed on November 21, 2019.

This agreement defines the two countries’ strategic partnership and defines priorities for mutual cooperation with the aim of improving defense readiness

and levels of compatibility. Logically speaking, neither political nor economic ties fall behind the increasing dynamics of security which was specially underlined in the assessments dedicated to the 10th anniversary of the strategic partnership. This process of productive cooperation gives rise to the hope of even more interesting perspectives, especially in our unpredictable modern world and region. The wish to develop multilateral links through somewhat non-standardized and sometimes brandnew decisions and approaches is also linked to this hope. This is why the recent assessments published by a party group of the US congress caused such surprise, not only because they were far removed from reality but also because they cast a shadow over the two countries’ main achievement. To quote the US ambassador in Tbilisi, ‘[our] strategic partnership with Georgia has never been as strong as it is today’.

Large-scale change is never a simple process; this is something that we all understand, and we should be just as understanding whenever assessments of change differ. But we must always remember that, in our assessments, it is very important that we never unintentionally damage our high-level relations with well-wishing partners. Achieving this level of relations has required enormous efforts over several generations, and maintaining them will require many more. In this regard, we must always remain objective when evaluating external events and actors and be twice as critical and demanding towards ourselves.

Our country’s ‘grand strategy’ should also provide a concrete guide to Georgian ‘realism’ and provide guiding principles which could ensure that the ‘strategy’ is in constant development and capable of responding to specific moments in history and concrete national interests.

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safety in all rooms • Autonomous supply of water (tank) and electricity (generator) The building is fully functional for a boutique hotel; however, it can be easily transformed into: - A representative office - A representative office plus hotel rooms (for short term consultants) - Any other use (such as a co-living and co-working space for expats) Total area: 1500 m2 Suggested rent: 9000 USD (excl VAT) - Substantially lower than market price Suggested sales price: USD 2.5 million (plus VAT), including all equipment and furniture Please contact: E-mail: info@georgiatodaygroup.ge

BUSINESS

GEORGIA TODAY JULY 10 - 16, 2020

7

History of Georgia’s Economy. Part II

BY APOLON TABUASHVILI, EMIL AVDALIANI

A

s shown in the first part of this series, agriculture played a leading role in the economies of countries in the Middle Ages. Nevertheless, the share of cities was relatively small, and overcoming feudal backwardness eventually depended on the development of cities and urban life. Therefore, even in the medieval era, the level of urban life is considered to be an indicator of the development and decline of a country.

The history of the development and decline of medieval Georgian cities is divided into several stages. In pre-feudal and developed feudal epochs, urban life in Georgia, despite some obstacles, was generally marked by a steady growth.

The establishment of feudal relations in Georgia did not lead to the decline of the cities of the ancient era. The old cities – Mtskheta, Urbnisi, Ruisi, Kutaisi, Tsikhe-Goji and others, still remained as trade and workshop centers. However, the share of agriculture in the economies of cities grew further because of the predominance of feudalism.

Urban life in Georgia developed especially in the 9th-10th centuries when Akhalkalaki, Akhaltsikhe, Tmogvi, Oltsi, Telavi and other cities were formed. In the same era, the city of Artanuji, founded during the Vakhtang Gorgasali (5th c.) period, attained its prominence through its location on an important trade route.

Tbilisi was especially advanced from the 5th century, and was steadily developing until the middle of the 13th century.

Along with the growth and development of Tbilisi, the rise of other cities in Georgia was observed in the 11th-13th centuries. As a result, the share of urban residents in the country's population

A Medieval town. Source: fee.org

increased. During the united Georgian monarchy, the following Georgian cities existed: Tbilisi, Rustavi, Gori, Ateni, Uplistsikhe, Zhinvani, Surami, Ali, Zovreti, Dmanisi, Artanuji, Akhalkalaki, Akhaltsikhe, Baraleti, Tmogvi, Oltisi, Samshvilde, Khunani, Khornabuji, Telavi, Kutaisi, Vardtsikhe, Shorapani, Petra, Batumi, Poti, Tskhumi, Bichvinta, and Nicopsis. In the 12th and early the 13th centuries, as a result of the country's political strength, the cities of Armenia, Rani, and Shirvan, including Ani, Dvin, and Kari (Kars), Shamkori, and Kabala, became part of the Georgian kingdom.

Thus, urban life in feudal Georgia reached its peak in the 12th and early 13th centuries. As a result, craftsmanship and trade developed. Many fields of craftsmanship were developed in the Georgian cities of the mentioned epoch. The cities were involved not only in domestic trade but were also connected through caravan routes to Byzantium, Iran, Russia, and other nearby or distant lands.

In the 12th and the early 13th centuries,

some cities of great economic significance were incorporated into the Georgian Kingdom, and some of them were indirectly controlled by Georgian kings, including Barda-Dvin-Ani-Kars and the other caravan roads of regional importance.

As a result of economic development in the 12th and early 13th centuries, the revenues of the Georgian state increased significantly. The total revenues of the Georgian monarchy, including the tribute paid by the vassal states, did not fall far short of the revenues of the world's leading countries of the era, including Byzantium, England, and France.

Jalal al-Din's 1225 invasion, then the Mongols' domination over Georgia, caused a decline in the number of Georgian cities, and the economy in general.

Georgia's economy fell into an even more difficult position during the invasions of Timur-Lang at the turn of the 14th-15th centuries. Despite these disruptive factors, with some cities being completely destroyed and others degraded, most

continued to function during this period.

In the14th-15th centuries, Georgian cities Tskhumi, Poti and Batumi developed to some extent as a result of maritime trade with Genoa. Against the background of the deteriorating economic situation, the eastern part of the country remained somewhat stable. As a result, in the late 15th century, Gremi, Zagemi and Karaghaji emerged in Kakheti. Like Kakheti, the economic situation in SamtskheJavakheti was somewhat normal. It is true that during the 13th-15th centuries the cities of south-western Georgia were also affected, but Akhaltsikhe, Akhalkalaki, Artanuji, Tmogvi and other cities continued to exist.

In the 15th century, the following cities functioned in Georgia: Tbilisi, Gori, Ateni, Ali, Mdzovreti, Zhinvani, Gremi, Zagemi, Karaghaji, Telavi, Akhaltsikhe, Akhalkalaki, Artanuji, Artaani, Tmogvi, Kutaisi, Batumi, Poti, and Sokhumi.

Although the population in Georgian cities had declined by the 15th century, their role in economic activity was still significant.

An even more difficult situation came to be at the end of the 15th century and in the 16th-17th centuries related to the disintegration of the united Georgian state into kingdoms and the ongoing geopolitical changes near the country's borders.

Once the Ottoman Empire dominated the Black Sea, Georgia, as a link between Europe and Asia, lost its strategic importance. From the 16th century, the division of Georgia by Iranians and the Ottomans into eastern and western parts not only hampered foreign trade, but also disrupted the domestic market. Two parts of the country, eastern and western Georgia, were torn apart. As a result, urban life in western Georgia declined sharply in the 17th-18th centuries. Under the conditions of Ottoman economic isolation, the slave trade in western Georgia reached an alarming level, caused

by economic problems.

The situation worsened in SamtskheJavakheti, which was occupied by the Ottoman Empire. Although economic ties between above mentioned regions and Kartli were not completely severed, the Ottoman customs system hampered this relationship. Over time, the deteriorating economic situation in the Akhaltsikhe vilayet became quite noticeable.

As the same time, the kingdoms of Kartli and Kakheti became economically dependent on Iran, as a result of which trade and other relations were mainly with the cities of Iran. In the 17th century and early 18th century, there were four main cities in Kartli: Tbilisi, Gori, Surami and Ali. The cities of Kakheti, which had advanced from the 15th century, were destroyed by the invasions of Shah Abbas I. In the 17th and early 18th centuries, only Telavi was considered a small town in Kakheti.

In eastern Georgia of the discussed era, thanks to the rich traditions, only agriculture was sustainable, and some progress was made in this area. However, in the wake of foreign and domestic disturbances, as well as the increasing number of invasions by Dagestani mountaineers, agriculture was also severely damaged, and the decline of urban life made the overall picture even worse.

The population was declining. The economic situation created as a result of the compromise agreement with Iran in the 1730s may have allowed for the physical existence of the people of Kartli and Kakheti, but the country, which was almost completely cut off from European technological development, could not progress. As a result, the economic and social situation in eastern Georgia lagged far behind what it was in European countries. Against the background of the difficult economic situation, the state revenues of the Georgian kingdoms also decreased significantly.

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BUSINESS

GEORGIA TODAY

JULY 10 - 16, 2020

Premiere Belgian Beers in Georgia

ADVERTORIAL

P

remiere Belgian Beers is the official representative of Belgian Beers in Georgia. The company unites well-known brands like Chimay, Rochefort, Westmalle, Delirium, and Lindemans. Although the company is new on the market, it is already popular among the Georgian beer-lovers as it has established itself as the supplier of the highest-quality beer in the country. The history of the drink, the refined tech-

niques of beer making, topped by the various unique aromas of the beer selection, make Premiere Belgian Beers your best company, especially now, during the hot summer evenings.

Tinatin Didava spoke to GEORGIA TODAY about the outstanding taste of the different brands of Premiere Belgian Beers.

“The company offers three Trappist beers: Chimay, Rochefort, and Westmalle. The Trappist beers are brewed

by Trappist monks (a Catholic religious order of cloistered monastics that branched off from the Cistercians).

There are four different colored labels

of Chimay beer: red, with a sweet, fruity aroma; white, Chimay Triple, a lightorange dry, hop beer; blue, dark and strong with the aromas of spices, chocolate and caramel; and gold, the monks’ favorite, similar to the taste of the red, but less strong and paler.

Rochefort offers three varieties: Rochefort 6 – the lightest of the three types this is the oldest Rocherfort beer and has a reddish color. It is slightly flavored with fruit; Rochefort 8 carries a yellowish-brown colour, with more fruits and a touch of Demi-sec; Rochefort 10 – considered by some one of the great beers of the world, has a reddish-brown color and is a barley wine with a rich taste, flavored sweetly.

“We have two Westmalle beers: Westmalle Dubbel – a reddish-brown color with aromas of banana, chocolate and herbs, hints of aloe and dark fruits, leaving a dry and long aftertaste; and Westmalle Tripple – golden-yellow color with flavors of ripe banana, hop flowers, light fruits and some spice.

“We offer three Delirium beers: Delirium Tremens – gold-colored, the taste of which is characterized by its roundness, spicy aroma and its leaving a strong, long-lasting and dry bitter aftertaste; Delirium Red – with its deep red color, the perfect balance between sweet and sour, often taken as a dessert beer; Delirium Nocturnum – dark brown-red, this beer gives one sensation at the time, bitterness, sourness, and sweetness thanks to the hops, and the roasted and chocolate malts.

“Our selection has three Lindemans beers: Lindemans Kriek – a slightly cloudy red beer with the taste of fresh cherries, pairing very well with bread and cheese; Lindemans Gueuze – a lightcolored beer that travels between the

sour, spicy and sweet tastes, usually paired with fish and poultry; Lindemans Peche – a fresh fruit beer, golden in color, enriched with peach juice, and going well with salads, desserts, and cheese.”

Premiere Belgium Beer also sells French champagne ‘Armand de Brignac’ and Australian wine ‘Yellow Tale.’ Georgia has not been overly spoiled with a large selection of French champagne,

Australian wine and Belgian beers and it’s good to see the market becoming ever-more international and the quality of the production only getting higher.

It’s also assuring that companies like Premier Belgian Beers are starting up and developing due to the high demand: PBB’s production is available in Agrohub and Gastronome in Tbilisi and now they are opening their own shop in Bagebi, ay 7 Tskneti Highway.

Engineer Dashti Shukri, Executive Manager for Rekan Group Georgia LTD ADVERTORIAL

I

n 2015, Rekan Group for Investment and Development (an Iraqi nationality company from Kurdistan), started its first overseas project in Batumi city. The Group create a new company in Georgia under the name of Rekan Group-Georgia LTD in 2014, after which it began studying Georgian investment laws and checking the investment environment with plans to start investing in Georgia. The result led the company to choose Batumi city for its first project. In December 2014, the company signed an investment agreement with the Ministry of Economy in Adjara to invest $50 million in a multicomplex project in Batumi city named Batumi View. The project will include four buildings with a hotel, 60 commercial shops and more than 870 residential apartments.

In 2015, Mr. Shukri moved from Iraq to Georgia and was designated the Executive Manager for Rekan Group. He got his resident permit and began communicating with official government bodies to present the project design and get approval and a license. Building a good relationship with the government was one of his major responsibilities, ensuring the company and Batumi View work within Georgian regulations.

In 2020, during the COVID-19 crisis, with air borders closed, Mr Shukri successfully represented his company to, with the support of Adjara government,

the Georgian Embassy in Amman, and the Kurdistan government, open Iraqi airspace to help Georgian citizens stranded in Kurdistan to return home.

Mr Shukri built his experiences after graduating from a civil engineering college in Baghdad, Iraq. Until 2003, he worked in many fields, as a supervising engineer, IT specialist, admiration and trading. After 2003, he started to work with the Coalition Provisional Authority (CPA) as Project Manager and Advisor to the Ministry of Labor and Social Affair in Iraq. He was responsible for facilities analysis, developing tenders, drafting agreements, and rehabilitation of more than 50 vocational training centers for the Ministry. He managed teams of Iraqi engineers tasked with the rehabilitation of facilities and also participated in procurement committees with other technical staff to implement transparent and accountable procurement procedures and to develop a significant Information Technology program with IOM supervision. Toward the end of his tenure, he worked as technical advisor to the Minister for all technical and some administrative work.

After that, he moved to work with a USAID-funded project program as the National Anti-Corruption Program Coordinator in Iraq for ICSP, designed to strengthen the capacity and effectiveness of Iraqi civil society organizations (CSOs).

His responsibilities included coordinating the work of about 25 local staff in four regional offices. He managed, trained, and provided technical assistance and programmatic guidance to these staff.

In 2004, he became the Transparency International (TI) liaison in Iraq, where he was responsible for sending several Civil Society Organizations (CSOs) to participate in international activities and to support Iraqi CSOs to build a good relationship with TI and to get training from them. He joined many TI workshops in Kuwait, Amman, Lebanon and Berlin. He represented ICSP and CSOs in a TI Conference about Corruption in Economic Perspective. In November 2005, he represented Iraq alongside 90 countries at the Transparency International Annual Membership Meeting in Berlin (for TI Annual meeting for TI-

Chapters and contacts). Moreover, in 2005 he participated in writing the draft Platform for Action that was submitted in the Forum of Future for G8-BMENA Civil Society Dialogue, which was held in Bahrain for G8-BMENA. After 2006, Mr Shukri started working with Rekan Group for Investment and Development. Rekan Group is a group of companies based in Kurdistan, specialized in investing in many fields of projects, among them real-state, housing, commercial centers (malls), and many others.

The capital of these projects reached $400 Million. He started as general manager and business developing manager

for group projects inside and outside Iraq.

He was responsible for building and creating all needed documents, like feasibility studies, designing projects documents with expert engineers to get investment licenses. He was responsible for controlling the goods and negotiations with local and international suppliers to ensure good results. 200 local employees and 20 specialist foreigner employees from four different countries were managed by him.

In 2015, he began his new position in Rekan Group Georgia as Executive Manager and quickly realized that Georgia is one of the best countries a person can invest in.

BUSINESS

GEORGIA TODAY JULY 10 - 16, 2020

9

Tbilisi Hills Golf & Residences: Meticulously Designed to Serve Every Imaginable Need

W

here and how we live impacts all other functions of daily life. Tbilisi Hills Golf & Residences has been designed not only to provide highquality accommodation, but also to create a shared living space where the meticulously designed atmosphere is there to serve every imaginable need.

From the day of its opening, Tbilisi Hills has been setting the bar very high with its prestigious project, on that is unmatched in the residential real estate market in Georgia.

To learn more about this standout project, GEORGIA TODAY spoke with Anastasia Udalova, CEO of Tbilisi Hills.

WHERE DID THE IDEA TO CREATE TBILISI HILLS COME FROM? Our shareholder Oleg Ossinovski has been investing in Georgia for more than ten years now. He adores the country.

For the last six years, he has been the largest investor from Europe to Georgia.

When he came to Tbilisi and saw the Shavnabada Monastery, he instantly fell in love with the view of the city from the hill. As part of his numerous contributions to Georgia, he decided to build this beautiful project here.

TBILISI HILLS IS A VERITABLE HAVEN FOR GOLF-LOVERS. TELL US MORE ABOUT IT. Tbilisi Hills is the first golf residential area in Georgia. It offers a world class 18-hole golf course, and is the first professional golf course in the country, developed by renowned Tilander Golf Design (Finland) and stretching over 110 hectares. All golfers know that every field is unique, and Tbilisi Hills offers mesmerizing landscapes, well-suited for the professional game.

COMPARED TO SIMILAR PROJECTS, WHAT SPECIAL CONVENIENCES DOES TBILISI HILLS OFFER? We offer our clients an opportunity to become members of a new, secured community. We have the set of recommendations for the buildings, as we are try-

Beeline’s New SMS Portal Enables Companies to Manage & Plan Mass SMS Campaigns

B

eeline, a member of the international group Veon, is offering a brand new, unique opportunity to companies: a newly created SMS portal which processes Big Data, enabling users to identify their focus group and send SMS with relevant information. The portal was created by the Beeline team to first process the information, and then to use it to reach campaign goals.

The newly-created portal allows a company to send out group text messages under the brand name of its choice to the number of consumers and locations of its choice; check the status of the sent SMS, plan campaigns, and view the results of campaigns that have already run. While planning a campaign, a company has the option to use several filters at once: company’s customer base, any region of Geor-

gia (they might also choose several regions simultaneously) any neighborhood of Tbilisi (they can also go for several neighborhoods at the same time); filtering based on the type of smartphone across the Beeline base; and the number of texts to send out. For privacy protection purposes, a company cannot identify the users, and the processed Big Data is completely depersonalized.

The portal also gives companies the option to pause their ongoing campaign, and, if necessary, to make changes before continuing with the campaign. The portal generates an invoice according to the filtration and the quantity of SMS’. Several employees of a company can use the system at the same time, and can even send out the campaign texts under the names of different brands simultaneously.

ing to implement European quality and vision when it comes to the way of life.

The residential area is located only 15 minutes from the city center but is nevertheless very tranquil and eco-friendly, offering a new way of life for Georgians.

ARE THERE ANY OTHER UNIQUE FEATURES OR VALUES THAT DISTINGUISH TBILISI HILLS FROM SIMILAR RESIDENCES? We’re building a small town near Tbilisi. The complex is spread across 331 hectares and boasts not merely a residential area but other vital spaces, among them a five-star hotel, a spa, lounges, restaurants, club house, school, kindergarten, Infinity swimming pool (the first in Georgia), a bakery, supermarket, football field, tennis court and running tracks. All infrastructure is adapted for the safety of children. From an architectural point of view, we have certain references that each of our clients need to follow: we intend to have a common architectural style to all our buildings, so that we don’t have problems with the visual part of our project. We still allow our clients to build their dream house, albeit with certain restrictions that aim to safeguard the integrity of the overall architectural design.

THE CONCEPT BEHIND TBILISI HILLS IS LARGELY BASED ON ECO-FRIENDLINESS. TELL US MORE ABOUT IT. With rising environmental issues, a green environment and fresh air is becoming everyone’s priority. This is something Tbilisi Hills can guarantee.

Infrastructural buildings take up only 40% of the territories of the complex.

The remaining 60% is a natural, green space. In the process of construction, we’re using eco-friendly materials only, most from Europe. We always uphold the highest European standards and quality control. We intend to use energysaving materials like solar panels, different kinds of water heating systems which will take heating from the land so that we’ll be able to use less electricity. Tbilisi Hills also is an eco-sustainable architectural project.

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BUSINESS

GEORGIA TODAY

JULY 10 - 16, 2020

THE ISET ECONOMIST A BLOG ABOUT ECONOMICS AND THE SOUTH CAUCAUS

www.iset-pi.ge/blog

The ISET Policy Institute (ISET-PI, www.iset-pi.ge) is an independent think-tank associated with the International School of Economics at TSU (ISET). Our blog carries economic analysis of current events and policies in Georgia and the South Caucasus region ranging from agriculture, to economic growth, energy, labor markets and the nexus of economics, culture and religion. Thought-provoking and fun to read, our blog posts are written by international faculty teaching at ISET and recent graduates representing the new generation of Georgian, Azerbaijani and Armenian economists.

Mortgage Subsidy: Encouraging Borrowing in the Midst of a Crisis

BY TAMTA MARIDASHVILI OF ISET-PI

O

n 2 8 M ay, G e o rg i a announced its fourth anticrisis plan, in which the government will subsidize 4% of the interest rate of mortgage loans for five years. The subsidy will be issued for loans not exceeding 200,000 GEL and will only apply to those taking mortgages for the purchase of residential apartments that are newly built or under construction, from 1 June 2020 to 1 January 2021. The state will also ensure the completion of ongoing construction.

Moreover, the state will issue loan guarantees on mortgages to the amount of 20 per cent of their total. The guarantee will last for five years, starting from date of issuance, and will apply to loans where the participation is at least 10 per cent. The state will also buy three times more apartments than originally planned for IDP families.

Within the plan, the government aims to encourage demand and, consequently, support the construction and development sector. However, the first component of this plan, the mortgage interest rate subsidy, has turned out to be a controversial matter, fueling debates among experts. This article aims to further discuss aspects of this controversy.

Firstly, we can question whether the subsidy will have any effect on demand.

In normal times, it would, but during the COVID-19 pandemic it is doubtful, because it has triggered a massive spike in uncertainty.1 ISET conducts a Consumer Confidence2 survey every month,3 with one question asking: “is now the right time for people to make major purchases in Georgia?” In May, only 0.8% of respondents thought it the right time to do so, while in January and February it amounted to over 10%. Moreover, such uncertainty is likely even higher for apartments under construction, as people recall negative past experiences of extremely prolonged residential construction projects, as well as pyramid schemes.

Thus, price elasticity of demand, i.e. a measure of the responsiveness of consumers to a change in a major purchase cost (in this case, interest costs), might be far lower amid the COVID-19 pandemic than ordinarily and this brings into question the effectiveness of the subsidy program. Research shows that during recessions consumers tend to hold off major purchases, and this is particularly notable in the housing market.4 Now, let us assume that Georgian people are not so risk-averse. Then this program will have a positive impact on demand via two channels: firstly, lower costs will encourage purchasing; secondly, the program might twist homebuyers’ expectations. If previously homebuyers would have been put off from buying, supposing that prices would continue to fall, they might now start to reconsider, encouraging them to buy today. As a result, demand will increase,

and therefore, prices will be sustained or even decrease to a lesser extent.

WINNERS AND LOSERS While it is clear that this new initiative, funded by taxpayers, benefits construction companies, it is yet to be seen how it will affect future homebuyers. And, if the later lose out, its effects might remain invisible, even to them, to homebuyers.

Milton Friedman in one of his most famous interviews said: “… there are two sets of effects of actions, the immediately visible effects and widespread invisible effects. Let me give you a very simple example: we have a quota on the amount of sugar than can be imported from various countries. The visible effect of that is that there are beet sugar growers who benefit greatly from it. The invisible effect is that every consumer in the United States pays twice as much as a world price for the sugar. Now you are a consumer. How much attention do you pay to the fact that you pay twice as much for sugar as you ought to? Is the fact that you pay twice as much for sugar as you ought to, going to lead you to go down to Washington to testify against the sugar quota? But are the beet sugar farmers going to go down to Washington to testify in favor of the sugar quota?”

Considering whether dispersed economic agents – future homebuyers – would benefit if the government does not intervene, all depends on the extent

supply shrinks amid decreasing prices, which in turn is related to the size of the housing bubble in Tbilisi.

The housing bubble is a situation in which excessive expectation of future price leads to ever-increasing demand5 in the face of limited supply as the latter takes a relatively extended period to replenish and increase.6 Prices rise, expectations are reinforced and a vicious circle is established until some kind of shock occurs. As the cost of construction does not increase as much, profits widen for the construction companies.

If there is a bubble in the Georgian housing market,7 where the profit margins are high, there is room for prices to decline, while most construction companies (those who are cost-efficient and effective) remain on the market. The assumption here is that when prices go down, demand increases. However, if the pandemic, ensued uncertainty, and economic hardships persist, this assumption might not hold, and enduring pessimistic expectations might place downward pressure on prices: the more buying power homebuyers think they will gain by waiting for apartments to get cheaper, the more they put off buying. Ever-decreasing prices, in turn, might lead to more and more construction companies defaulting and leaving the market, causing a considerable supply shrink. Hence, the low prices people were counting on may simply vanish.

While those with existing mortgages

may also go underwater, potentially resulting in defaults and foreclosures.

Although this scenario appears less likely, if there are signs of its occurrence, it could be sensible to enact the subsidy program only at that stage.

In conclusion, it is dubious, in the first place, whether the subsidy program will encourage demand due to the high levels of uncertainty surrounding the pandemic. But if it works, without a proper cost-benefit analysis, it is hard to assess whether future homebuyers will be dis-

advantaged by this intervention. We must therefore hope that before designing this program, such an analysis was carried out. It is also questionable whether encouraging people to take the risk of a major purchase during the crisis complies with the responsible crediting principle, which has been embraced by the National Bank of Georgia in recent years. What happens if the crisis is further exacerbated, will not the homebuyers have to bear the risk and burdens of repayment?

The world uncertainty index reached its historical maximum since 1970.

Consumer confidence is the degree of optimism that consumers feel about the overall state of the economy and their financial situation. How confident people feel about the stability of their incomes determines their spending.

3 We randomly sample 300-350 individuals every month and question them about the past, current and future financial situation of their families and the country as a whole.

4 Reed, S. and Crawford, M. (2014). How does consumer spending change during boom, recession, and recovery?

5 When there is a housing bubble, homebuyers think that a home that they would normally consider too expensive for them is now an acceptable purchase because they will be compensated by significant further price increases. Moreover, buying a home seems to be a good investment opportunity associated with low risks. First-time homebuyers may also worry during a housing bubble that if they do not buy now, they will not be able to afford a home later.

6 Case, K.E. and Shiller, R.J., 2003. Is there a bubble in the housing market?. Brookings papers on economic activity, 2003(2), pp.299-362.

7 One of the indicators for a housing bubble is the affordability index. In 2016, the Tbilisi index accounted for 39.5, which indicates that the average Georgian household income from employment is only 39.5 per cent of what a household needs to receive to take out a mortgage on a typical Tbilisi apartment (see this ISET blog). Other methods to determine whether a housing bubble exists include comparing the price of a house to its construction cost, comparing house prices to rents, examining the relationship between house prices and economic fundamentals, such as income, population, and employment (see this paper).

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SOCIETY

GEORGIA TODAY JULY 10 - 16, 2020

11

Tourism Sector Challenges Worldwide & Opportunities to Overcome Crisis Caused by Global Pandemic

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usiness and Technology University and Hospitality Management Institute, with the support of the United Nations World Tourism Organization and the National Tourism Administration, publishes a large-scale research and recommendations with the involvement of local and international experts.

The study discusses the challenges of the tourism sector worldwide and the possibilities of overcoming the crisis caused by the COVID-19 pandemic, and provides relevant recommendations based on the analysis of the member states of the UN World Tourism Organization.

The steps to be taken to rehabilitate the global tourism industry in the postpandemic period, in a roundtable format, with the participation of international organizations, the National Tourism Agency and experts were discussed on July 9.

THE WORLD ECONOMIC FORUM REPORT REVIEW Presented by the World Economic Forum on March 17, 2020, the report reflects the challenges in the tourism sector caused

by COVID19 pandemic.

Based on the World Travel and Tourism Council, the COVID-19 is putting up to 50 million jobs worldwide in the global travel and tourism industry at risk.

Asian countries are expected to be the worst affected.

Once the epidemic outbreak is over, the industry will need up to 10 months to recover.

The tourism industry currently accounts for 10% of global GDP In cooperation with Thomson Router, the World Economic Forum offers the following solutions to respond to the challenge.

The impact of the pandemic on the tourism sector depends on its duration, and since it is expected to exacerbate in the future, the recent restrictive measures taken by, for instance, the US administration regarding travel to Europe seem to be too generic and less sensible.

‘Certain measures are not helping and they can prompt the economic impact to be way more significant,’ (Thomson Reuters) It is argued that implementing such generic policy, the effectiveness of which is yet to be proven in containing the virus, cannot be justified. Imposition of such restrictions could only complicate the matters for medical experts travel and medical supplies delivery.

Around 850, 000 people travel each year to the United States from Europe, which amounts to a $3.4 billion contribution to the US economy (Thompson Reuters).

The estimated 50 million jobs are expected to be lost in the following countries: Asia – 30 million Europe _ 7 million The USA - 5 million Other continents – 8 million Based on the WTTC, a three-month loss of global travel in 2020 corresponds to a 12-14% reduction in jobs. The World Travel and Tourism Council is also calling on authorities to either abolish or simplify visa regulations wherever possible, to lower travel taxes and introduce different incentives once the epidemic is brought under control.

The WTCC also calls on flexibility in the tourism sector that will allow travelers to postpone their planned visits rather than to cancel them.

By sector, airlines and cruise chips have a greater impact on the industry than hotels; hence, they need more immediate support.

Meanwhile, the official WTTC advocates confining certain cities to contain the outbreak– as it is happening in Italy and Spain – should health officials recommend to do so, but only in specifically targeted areas or for certain age groups.

The research reviews different countries’ anti-Crises plans based on their

specific characteristics, including the most heavily affected countries, such as Brazil, China, the US, France, Italy, the UK, etc. and offers relevant recommendations for effective recovery in the post-COVID period.

The research also includes In-depth interviews with experts regarding the current main challenges in economies and businesses worldwide and relevant solutions.

It is noteworthy that a part of interviewed experts stressed Georgia’s success in the fight against the Coronavirus.

“The unpredicted nature of the outbreak shakes hospitality sector, turning the hotel management into a challenge.

Avery day is a new battle, but the tourism industry has to remain active. Each tourist or visitor’s trust to the country should be restored; due to the fact that total of new cases of COVID 19 and fatalities remain flat and because of the effective implementation of healthcare measures by the government, Georgia has achieved its leading position in its fight against the pandemic,” said Elene Sharikadze, the General Manager of Hotel Radius and the Director of Operations at Hotels MC Ltd, with more than 20 years of work experience in hotel sector.

Alvaro Hidalgo, a member of the advisory board of HITEC Europe for HFTP, the largest US association of Hospitality IT & Finance professionals, also congratulated Georgia on its successful efforts and becoming a safe destination.

“I would like to congratulate Georgia.

You have become a safe destination; it is not easy to achieve. The main task now is to resume operations and maintain security. In my view, a strong training system should be established and travel service companies, bars, hotels and restaurants need to be certified that they provide COVID-free environment.

“As for domestic tourism, citizens will be able to travel and spend money if the safe environment is provided. And once the safe environment is created, international tourism will also revive. The COVID-19 has triggered an economic crisis making tourist services more expensive.

“Once the economic crisis defuses, a large flow of tourists will start travelling and the industry has to be ready for this.

Interesting research will be possible during this process; however, this might take a long time as we cannot foresee the crisis end period.

“As it seems, people have started planning their travel, which is very important and pleasant, but whether they will be able to implement their plans is yet unknown,” he said.

At the same time, the expert Fernando Cortinas, a Global Executive with more than 25 years’ experience in top companies and an Associate Professor at EI Business School, noted that small countries, like Georgia, will not be able to recover the country’s economy with domestic tourism alone.

“The most important is opening borders to allow people to travel. I suggest introducing quick immune sustainability tests the results of which will be reflected in the travelers’ passports. Consequently, we will have 5-6 hour delay precedents, which is much better than 15 day long quarantine. This will be beneficial both for international business and travelers.

“Airlines should be granted the possibility to check passengers’ health condition before permitting them to fly.

Implementation of quick tests is especially beneficial for the countries with busy tourist traffic. Unfortunately, airline companies can measure passengers’ temperature, but they cannot identify the asymptomatic viral infection. We have many examples of people who endured COVID 19 without a rise in temperature. It is in the interest of host countries to compile testing protocol that will include the data on temperature and infection tests. This should not impose any burden on countries or airline companies as most travelers will be

willing to cover the costs themselves.

“Regarding domestic tourism, I feel skeptical about it as I believe it will not boost economy. In other words, this will lead to much greater evil than COVID19 in terms of economic collapse; and small countries, like Georgia, will not be able to recover the country’s economy with domestic tourism alone,” he noted.

CONCLUSION AND RECOMMENDATIONS “As a result of the reviewed materials and the conducted interviews, we can pinpoint several central issues that need to be addressed in order to stimulate the battered tourism industry revival during the economic fallout from COVID-19 pandemic,” the authors of the research conclude.

The main issues to be addressed and experts’ recommendations are as follows: 1. On the report of consolidated anticrises action plans and surveys carried out worldwide, and based on the respondent experts' claims, the most sensitive link the recovery of which heavily contributes to the tourism sector is air transport, namely airlines, airports, air-cash registers and other minor segments that have got severely affected. Virtually, every country, that has already rolled out anti-crises relief measures, has set aside considerable financial resources to provide subsidies to air traffic restoration, which, on its part, stimulates speedy recovery of other sectors, such as international business, medical tourism, and education. Due to the global

significance of this issue, all countries, without any exception, should make their share of contribution to its solution. Tax regulations should be adopted and imposed so that the industry can get fuel or parking benefits and be exempted from standard taxes and income tax amid the pandemic.

Strict regulations should be introduced regarding the transportation of passengers by airlines and the passenger seating rules - accurately defined for every flight, Aircraft cleaning standards need to be regulated to ensure the level of cleanliness on-board. Airlines need to serve hygiene kits (including masks, disinfectants, antiseptic tissues, etc.) during the flights.

Airlines should expect the demand decline resulting in reduced passenger number on every flight and try to maintain pre-pandemic ticket prices to make it more affordable for tourists to purchase plane tickets to their destinations. Airports need to adopt new security routine, such as measuring the temperature of passengers and giving viral antibody tests based on which a COVID-19-free health certificate can be issued. The latter will allow foreign travelers bypass the 15-day quarantine; however, the cost of the pre-travel test needs to be covered by commuters themselves. In the matter of cargo aircrafts, new regulatory measures and standards should be introduced, including cleaning and disinfection procedures using chemical disinfectants.

The Sanitation Services should monitor the process.

2. Health safety regulations need to be

implemented for the airport personnel in compliance with the existing international standards.

3. Host countries need to prepare their tourist zones, establish common regulations and provide strict certification in accordance with the international standards. Certification costs should be covered by the state to prevent affected tourism sector representatives incur additional costs.

4. Small and medium-sized companies and self-employed individuals should be entitled to special tax benefits from the tourism industry during the pandemic. Moreover, funds need to be subsidized to ready companies to comply with international standards so that they can survive.

5. Technological platforms need to be developed to provide easy access to remote services for tourists (booking, commuting, meals, etc.)

6. Strict regulatory measures should be established for small and large hotels in relation to the number of guests received, sanitary norms and personnel health safety.

7. The provided list will allow countries to overcome the 'trust' and 'communication' issues, which, currently, represent the major challenge for the tourism industry.

8. With regard to the domestic tourism, experts unambiguously agree that it is not justified for states to allocate funds for its promotion. Amid the economic turmoil, domestic tourism does not represent a priority with respect to sustainability and growth potential.

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SOCIETY

GEORGIA TODAY

JULY 10 - 16, 2020

The Hidden Shame of Gori, And No, It’s Not Stalin OP-ED BY KATIE RUTH DAVIES, WITH ANA DUMBADZE

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ast weekend, I took time to explore Gori. Just an hour by shared taxi outside Tbilisi, this ancient city is close enough to home that I’ve been putting it off for years, passing through on the way to the west and each time thinking, “Oh, I must go and see what’s there.” No more! Donning a face-mask and braving the heat, I set out from my comfortable guest house near the Akhalibagi garden to explore, apparently the only tourist on the streets that day.

The first stop: of course, the renowned Stalin Museum. I taught the late Nika Rurua, Minister of Culture under exPresident Misha Saakashvili. I remember in one of our classes we were talking about the latest law banning the display of fascist symbols and the iconizing of people such as Stalin. It led to a lot of Stalin statues being removed. But not in Gori, it seems, as I saw two standing in public spaces while there. Another thing we talked about in that class was the planned upgrade to the museum named after the 20th century dictator, with the aims of turning it from a hero-worshipping look at how he came to power, to a balanced view that shines light on the atrocities he committed. It seems the locals were against it, as what I saw showed only his life: from school and tutorship under Lenin, to his rise to fame, fortune and devastating power. Stalin’s death mask, on a plinth surrounded by red carpet and pompous white marble columns, was the eeriest exhibit there, as was a white dove embroidered in Italy as a gift for the dictator, claiming him a “Champion of Peace”. An enlightening glimpse into a different world, with no mention of the purgings and genocides.

Indeed, most older locals will wax lyrical about Stalin and his times. For a look at the darker side of Soviet rule, head to the Soviet Occupation Museum on Rustaveli Avenue in Tbilisi.

The next stage of my walk took me up to Gori Fortress, dated to the 13th century and offering a great 360-degree view and huge potential but, like most of Gori, with half-finished construction and no historical signs to describe the significance of the place (it survived a 9-month siege in the 16th century!). On the way, I’d also passed a few buildings still scarred by bullet holes from the renowned 2008 Russo-Georgian war. Again, no detailed

signs to add meaning to the poignant sight. The Museum of War and the Entho Museum had also been closed for renovation prior to the borders reopening to foreign tourists. The nicest part of my walk was the renovated ‘Old Gori’, with its buildings of red-brick and carved wooden balconies, reminiscent of the works done to restore Old Tbilisi, Sighnaghi and Mestia, housing souvenir shops, salons and sporting goods stores.

Then my feet closed the circle on my day of exploring by taking me to one of Gori’s two parks, Akhalibagi (New Garden). Roses, trees and a fountain were a welcome sight after the hot concrete of the city streets, though another Stalin statue, nestled in a copse of bushes there, was a surprise. On warm summer evenings, this and the fortress are THE place to be with friends and family. So what I saw next was a huge disappointment to my otherwise “it’s got brilliant potential and makes a nice day-trip” opinion of the city until that point. Because the shame of Gori referred to in the above headline is its “zoo”.

A semi-circle of barred low concrete buildings, open and free to access, greets visitors. The largest inhabitant of this depressing space is a native brown bear.

Indeed, that’s all we know about him or her- as the sign shows just the words ‘Brown Bear,’ in Georgian and English, no further description. What I can easily see, though, is the poor bear’s distress as it paces in tight circles around its 8 sq m cage, sliding on the smelly wet cement that makes its home. Every time it gets to the narrow end of its cage, where a shallow, dirty pool of water sits, it shakes its head, then begins to circle again, pausing only once to look at me with doleful eyes. The next two cages are empty; the one after is unfurnished save for a tree branch leading from the concrete floor to an upper platform.

Hunched in the corner near my feet is a big bundle of feathers: a vulture, I ascertain from the printed sign, though it is the tiredest looking bird-of-prey I’ve ever seen. I wonder if it ever tries to stretch its wings.

A noise distracts me from the sad sight: a family of six African goats trots out of their room into a fenced area of maybe 10-15 sq m, to munch on the hay scattered around their enclosure. They seem the happiest of the animals I’ve seen so far, though they too are naturally deserving of much more space to thrive in; trees and rocks to play among and rest in the shade of.

Next is a 4 sq m cage whose sign reads

“Fox”, though he must be hiding in the dark and dismal concrete house in the back corner, as there’s no sign of him. His neighbor, in a cage the same size, is a jackel, who, like the bear, is also circling his cage, despairing of an escape. There is nowhere for him to climb or hide except his triangular concrete shelter in the corner. Beside him is a slightly larger, but equally sparse cage, labelled “Pigeons.”

This one made me think ironically of humanity: inside were two pigeons, there by choice though there was an opening to allow them to come and go into the city. The birds next door were not free to come and go: a Japanese chicken, rooster, and a beautifully colored pheasant strutting their stuff around a closed cage equal in size to that of the pigeons.

What I saw in Gori struck me as a disgraceful and totally pointless example of cruelty to animals. It cannot be claimed they are there for educational purposes: I already mentioned the lack of informative signs, and no personnel were present to talk to. Nor can it be claimed they are there for entertainment: what fun can a person get from watching animals pace in circles in a habitat so different in size and character from what they should have been living in?

Investigation on my return to Tbilisi revealed that the Georgian animal rights supporters, among them the Georgian Society for the Protection and Safety of Animals (GSPSA), have been fighting for better conditions for these animals, ideally the closure of the Gori Mini-Zoo, since 2012, when journalist Shalva Ramishvili reported that the head of Gori City Hall and the director of the zoo had allegedly, two years’ prior, killed and eaten one of the three bears captive there.

I spoke to Temur Lachkepiani of the Georgian Federation for the Protection of Animals (GFPA) who was amongst those, including Teimuraz Tsikoridze, Chairman of the GSPSA, to petition the Gori authorities and Ministry of Environment to shut the mini-zoo down back in 2016. GSPSA representatives went to Gori Mini-Zoo in 2016 following a notification from the PETA (People for the Ethical Treatment of Animals) Investigation Division asking them to look into the situation, provide information, and appropriately respond in case of a violation of animal care rules. This the GSPSA representatives did, interviewing the zoo director and staff. It was found that Gori zoo management was “doing its best to facilitate normal conditions for animals” and all animals were found to be “in good health, while hygienic standards were being followed”.

After many letters sent back and forth, Gori City Hall opened a tender to increase the size of the cages. Clearly, nothing came of it.

“The problem in Georgia is the lack of a Law on Animal Rights,” Temur told me. “But in this case, we can try taking Gori to court for violation of the law referring to the illegality of removing

animals from the wild and holding them in captivity. Specifically, Article 85, Paragraphs 3 and 4.” [The bear I saw there was brought in from the Georgian mountains after a feast was allegedly made of his predecessor].

If the Gori Mini-Zoo were to close, the bear would likely go to the Bear Shelter, and the other animals to Tbilisi Zoo. With that in mind, we contacted Zurab Gurielidze, the Director of Tbilisi Zoo, who says he is aware of the small enclosures the animals are kept in in Gori.

“As I saw during my visit 3-4 years ago, the main problem was the size of the cages, especially that of the bear, though the living conditions of the animals in terms of food and sanitary norms weren’t bad. At the time, the administration was planning to build larger cages for the zoo residents,” he told GEORGIA TODAY. When informed that this had not been done, he insisted the responsibility was on Gori to maintain its zoo, but that the animals “should certainly be provided with better living conditions.”

“Tbilisi Zoo is ready to provide Gori with all the necessary consultations and to share experience in this process. Closure of the Gori zoo and transfer of the animals to other places is no solution,” Gurielidze claimed. “It would be difficult for the animals to adapt to new conditions and ‘socialize’ with the old residents of Tbilisi Zoo. Provision of an appropriate environment for animals in zoos is not only a local but a global problem.

However, improvement of their living conditions is possible, and it can be achieved through the relevant efforts. In Gori’s case, larger cages should be set up for animals on the spot.”

We then reached out to Gori City Hall for a comment, and received this from Bachana Gvianishvili, the Director of Public Amenities in Gori municipality: “We do not accept the opinion that the residents of the Gori Mini-Zoo are kept in inappropriate conditions and in small enclosures, except the bear. The cages are cleaned daily and we believe that the situation is satisfactory in this regard.

The only recommendation we received from Tbilisi Zoo Director Zurab Gurielidze was to transfer the bear to a new, larger cage, at which point a project was launched to build a new enclosure, and a tender was announced. The construction of the new cage has already been

completed.

“An irrigation system is being arranged in the recreational park and once finished, the territory in front of the new cage will have a trail around it, after which, with the help of specialists, we will move the bear to the new enclosure.

“We believe that the existence of the Mini-Zoo in Gori is important not only for the local population, but also for the citizens of nearby municipalities- Kareli, Kaspi, Khashuri. This is confirmed by the large number of visitors who come to the Mini-Zoo every day.”

My visceral reaction to the Gori animals’ plight led me to post photos and videos on facebook. It soon caught the attention of international animal rights supporters, among them Laura Marie Vølpert Momme of DIGU, a Danish animal welfare organization, who shared the post, noting: “It is a tragic and deeply disturbing sight that after years of struggle, [Gori Zoo] has still not been closed!

DIGU has contacted various organizations around Europe hoping for assistance. Let's get these animals out and put pressure on [the authorities] by spreading the word!”

Indeed, that is my hope. That by once again shining a spotlight on this zoo, a shameful corner of an otherwise historical and important city, it will spur the authorities to act in the animals’ favor, because, if anything, this coronavirus period has taught me, and many of us, an even greater respect for nature and a better understanding of our place in the great scheme of things. It has also enforced my personal belief that we, the people of the 21st century, have no need or right to use animals for food, clothing, entertainment or other purposes.

Let us protect wildlife by letting it thrive where it belongs: in the wild, with us visiting it in mobile cages of our own if we must. Our children can be taught to admire and respect animal kind from a distance. Seeing a bear pace a small, dirty cage can teach them nothing of the nature of our fellow earthlings, though it certainly highlights the darker side of some humans.

To donate to the GSPCA and help in their fight for Animal Rights in Georgia, click on this link: http://gspsa.org.ge/en/donate/ ?fbclid=IwAR2L3TtzSTvqxF5y2ksA_EzO4xkKKSA4EVqDK3XBJqwkXwcu9OlOGchN3wo

SOCIETY

GEORGIA TODAY JULY 10 - 16, 2020

13

The European School - Road to Excellence ADVERTORIAL

E

xcellence is an art won by training and habituation. We do not act rightly because we have virtue or excellence, but rather we have them because we have acted rightly. We are what we repeatedly do. Excellence, then, is not an act, but a habit. (Aristotle) The European School is a school with long traditions and a reputation second to none for academic excellence. Everyone has a talent. Whatever creative or academic outlet makes a child tick, the European School finds and nurtures it.

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cation in the context of a fast-moving world. Curriculum innovation, applying new content and using new methods and new resources is their normal routine.

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Walking in Circles: Days 1-2

BLOG BY TONY HANMER

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he time had come to begin our 400 km, 3-week walking and camping tour of Svaneti. My young friend Joshua Pearce has been a visitor to the region 4 or 5 times over the past several years, and is also an Eagle Scout in the USA, the highest qualification of scouting. Lots of outdoor knowledge and experience to join to my own.

Backpacks loaded, we set off from my Etseri house, saying goodbye to my wife, and began walking up the road towards

Lake Meziri, our first stop for the night.

Taking our time as we adjusted to the weight on our backs, a new thing for me as until now I have only had a small day pack with me. Plenty of pauses for a moment to catch my breath. I had done plenty of extra walking in the weeks leading up to departure, but none with this extra 15 kg added on!

It was taking a while to adjust straps so that most of the weight would be on my hips, not shoulders, as is best with backpacking. This would actually come to plague me in the next few days.

After a few hours we trudged up to the day’s pass, and there was Mt. Ushba, dominating the landscape with its magnificent profile as it does from much of

Svaneti. A good point to stop for photos with the late spring wildflowers, of which there are so many varieties, colors across the spectrum. Then mostly down from there to the little lake, which provides wonderful reflections of Ushba as a bonus.

Set up camp: 2-person tent for me, covered hammock Josh’s preference. Lots of evergreen firewood, along with resin-rich pinecones and needles, already fallen on the ground and waiting to be used. A cup of coffee and some mushroom noodles with peanuts later, all was well with the world as we experienced it.

Next morning was also clear, the lake mirror-still. A man who had spent the night in a nearby hut gave us best directions down to Mazeri, top hamlet of Becho village, our next destination, and we were off. His huge but totally benign Caucasus Shepherd dog joined us all the way down, which was fine too.

But either the directions were false, or we simply got it wrong. We ended up in a steeply downhill pathless forest, knowing that Mazeri was below and hardly missable, but really struggling from the angle. Huge trees lay all around, felled by deep snows of previous years and now in various stages of decay. Josh’s phone was guiding us towards… a road halfway down? We crashed through, the backpacks doubling the difficulty of movement: no way of reversing our way to go anywhere uphill: we just had to press on.

Finally, the actual road appeared, but just a path, and we were out of that nightmare. At one moment Just had crossed a long fallen trunk about 10 feet above a dip, as had the dog. But when I tried it,

the backpack just gave me too much wobble to feel anything like secure, unafraid though I am of heights. I’d had to turn back and force another way through the undergrowth. Glad that was all over, NEVER again, I told myself!

Lunch at a friend’s guest house in Mazeri, and we packed up enough leftovers for the next two meals, also leaving a bag of less necessary things with him to collect later, lightening our loads a bit. Then we would begin the next challenge, the start of the Guli Pass route towards Mestia, reaching 2000 m that day before stopping for the night next to a tiny church in a ruined, abandoned part of Becho. There was running spring water, a covered and benched eating

area, even dishes and dish soap! Light rain that night could not spoil our euphoria. A new, ¾ view of Ushba loomed over us, and we slept another peaceful night.

The next day would test us considerably further with its huge ascent and then descent, but that was still to come.

Tony Hanmer has lived in Georgia since 1999, in Svaneti since 2007, and been a weekly writer and photographer for GT since early 2011. He runs the “Svaneti Renaissance” Facebook group, now with nearly 2000 members, at www.facebook.com/ groups/SvanetiRenaissance/ He and his wife also run their own guest house in Etseri: www.facebook.com/hanmer.house.svaneti

14

CULTURE

GEORGIA TODAY

JULY 10 - 16, 2020

Artistic Couples: Keti Dzidziguri INTERVIEW BY NINI DAKHUNDARIDZE

A

s part of our ongoing project with BI Auction to introduce Georgia’s artists, and before we introduce you to this week’s creative talent, we spoke to Bengü Akçardak Küçük, the Founder Partner of BI Auction.

“We are extremely excited to be back with the restart of the ‘Artistic Couples’ project - collaborating with our favorite media outlet, GEORGIA TODAY,” she said. “We started in February with Mamuka & Lia with great enthusiasm but could not go further with the project due to the pandemic. Then we “healed” with the ‘Artworks @ Corona Days’ project, lasting 10 weeks and introducing 12 young artists. Now it is time to ‘NORMALIZE by ART’ restarting our interviewing of ‘Artistic Couples’ of Georgia.

I hope your readers will enjoy discovering them,” Bengü said, going on to explain her interest in the project.

“For me, this project is more than just introducing artists: it is also an attempt to think more about how it is to live with a spouse of the same profession. I always feel (not only feel but also have experience of it) that when you live with a spouse that shares the same education and/or profession, it can get quite difficult, because you can hear the worst criticisms from them and you always feel that tension. At the same time, I strongly believe that without tension, you cannot progress, so it can also work out very productively,” Bengü says.

Last week, we presented Polikarpe Klibadze. This week, we give you his spouse, Keti Dzidziguri. Through her answers, you will find that living with a fellow artist, one can also find a harmony

paintings and the feelings they sparked in me vividly even to this very day.

I think it would be objective to say that each era has its own genius, and I couldn’t possibly name one.

FUTURE PLANS?

HOW IMPORTANT DO YOU DEEM PROFESSIONAL EDUCATION IN SHAPING AN ARTIST?

I would tell them to work as much as they can, to travel, visit museums and to search for themselves in order to be interesting. Every talented person has the ability to find themselves in this incredible gift that we call painting.

I just see myself working and re-working on new and old material.

DO YOU HAVE ANY ADVICE FOR ARTISTS JUST STARTING UP?

I think it’s very important; something crucial; something like a foundation for a young aspiring painter. It is professional education that gives us an opportunity to develop and find ourselves.

WHAT DO YOU THINK ART AUCTIONS IN GENERAL, AND BI AUCTION IN PARTICULAR, PLAY IN PROMOTING ART?

HAVE YOU HAD TO OVERCOME ANY CHALLENGES IN YOUR PURSUIT OF ART? The pursuit of art is very difficult, because it is a process that never ends. I think I still have a long way to go to be able to call myself an artist.

that pushes you to be your productive best self.

WHO FIRST INTRODUCED YOU TO ART? HOW AND WHEN DID YOU START PAINTING? Just like any other kid, I started painting early, when I was five. The first person who introduced me to it, and encouraged me to do it, was my grandma. She and I used to make Christmas ornaments together, and that for me was the greatest source of happiness.

WHO HAD THE BIGGEST IMPACT ON YOUR WORK EARLY ON IN YOUR CAREER? DO YOU HAVE A FAVORITE ARTIST/MOVEMENT? The first real impression art made on me goes back to when I was six: it was the works of Petre Otskheli that I saw in his sister’s house. I remember the

COULD YOU TELL US OF THE ADVANTAGES AND DISADVANTAGES OF LIVING WITH A FELLOW ARTIST? In my case, it’s a totally positive interaction. Our approaches to painting are in harmony and do not dispute each other.

I guess that would not be the case for all artists living together, but for me, personally, there is no negative side to our professional relationship.

WHAT WOULD YOU SAY ABOUT THE CONTEMPORARY GEORGIAN ART SCENE? I believe there are very high-class works made in Georgian fine arts and fresco scenes. At the same time, in my opinion, the road that Georgian art has to travel to establish itself firmly on global terms is still quite long.

WHAT IS YOUR BIGGEST INSPIRATION TODAY?

The state of working. Constant dynamic and movement, like life itself.

WHAT DO YOU THINK ART’S MAIN MISSION IS? I think art is designed to explain something very inexplicable, and that is what we, in reality, call life.

Art auctions, as a source of artwork realization, have only recently established themselves on the Georgian market. I think this type of selling is a great opportunity for an artist to present themselves to society and popularize their artistic approach. It is also important that this process positively impacts the artist’s self-esteem and confidence.

WHAT DO YOU WANT TO TELL PEOPLE THROUGH YOUR ART? I want to show people my unconditional love and respect for painting, through my artworks.

THE MODERN ART SCENE IS EVER-CHANGING. WHAT IS THE FUTURE OF PAINTING IN THIS REALITY? I’m a believer that everything new is well-forgotten old. Painting sustains itself. The differences between the movements and art directions will probably become more evident. The ways will be split and everything will reveal itself as it is.

WHAT ARE YOUR

About BI Auction ‘for ART’: BI Auction is the first Art Auction Company of Georgia, established in 2016. The company’s aim is to promote Georgian art and artists and enlarge the market. In four years, BI Auction ‘for ART’ has organized eight auctions and presented more than 450 paintings from 125 Georgian painters. In every auction, the collection is selected from among a thousand paintings from the well-known legendary artists of Georgia and also from promising young artists.

For more information, please contact biauction1@gmail.com

Address: N42 I. Abashidze T:595 50 39 30 facebook.com/thaiboxtbilisi

THE NEW CRAFT OF TASTE

CULTURE

GEORGIA TODAY JULY 10 - 16, 2020

15

Natela Iankoshvili – An Artist’s Life between Coercion & Freedom REVIEW BY GEORGE LALIASHVILI, ART-CRITIC

A

new book dedicated to the Georgian painter Natela Iankoshvili has come to the attention of the quarterly supplement of the German newspaper Frankfurter Allgemeine Zeitung, “Fresko” (N1, 2020) and so I will begin with this joyous event.

As Fresko’s resident critic Thomas Zuhr writes: “In many cultures around the world, the color black is often associated with sorrow, suffering and death.

At the same time, however, it also has associations with intellectualism, refinement and religious devotion. Two masters of the color black, Kazimir Malevich and Pierre Soulages, say that black is actually the most dynamic color and as such their works take inspiration primarily from this shade. The legacy and works of the Georgian painter Natela Iankoshvili (1918-2007) shows us that black can have a ‘lightness’ to it, making it as diverse as any other color. As such, she exclusively uses a black background for her canvases. In Georgia, this painter has long been considered a national treasure, but it’s only in the last few years that she has gained international recognition, in the same way as that handful of other painters who continued to carve their own artistic path and express their own beliefs during the artistic dictatorship of the Soviet period. Here, we should also mention that Iankoshvili is a great master of the use of black. She created more than 2000 canvases, and her particular strength is in depicting landscapes.

Her brushstrokes are incredibly expressive and she manages to lend an inextinguishable energy to the color black.”

Natela Iankoshvili – An Artist’s Life between Coercion and Freedom is the name of a book recently printed by the well-known German publisher Hirmer in separate German and English versions.

This book introduces an artist with a unique biography to a global audience; an artist who rightly deserves to be known well beyond the borders of Georgia and who belongs to that rare breed

of painters whose artistic life can truly be called ‘heroic’.

The author is the Artistic Director of the Galerie Kornfeld, Mamuka Bliadze, who dedicated two years to studying the life and times of Natela Iankoshvili, and the difficult period and conditions in which this great artist was forced to live and work. In the first instance, we must point out the book’s brilliantly-chosen title, which immediately arouses in the reader an intense interest in getting to know a previously unknown artist, one who had to battle tirelessly for the right to self-expression.

In his book, the author makes use of the professional opinions of German, English, Italian, American, Russian and Georgian art critics (Marleen Stoessel, Lisa Zeitz, Dennis Goldberg, Gaia Simionati, Alina Cohen, Katharina Rudolph, Savva Dangulov, Olga Velikanova, Gaston Bouatchidze, Eter Shavgulidze), who believe Iankoshvili to be an artist of great breadth and of indefatigable spirit; someone who is able to inspire and delight viewers already well-versed in fine arts.

Also included in the book are the recollections of those who knew Iankoshvili personally (Baia Dvalishvili, Soso Chumburidze, Rismag Gordeziani, Vaja Dzigua, Neli Gurgenidze). After reading them, one is absolutely convinced of the artist’s principled and unbending nature, something Iankoshvili had to acquire in order never to bow down before (or be broken by) an implacable Soviet regime.

The book quite clearly illustrates Iankoshvili’s unshakable belief that the human soul is born for freedom and that no earthly chains or fetters can choke it. It was precisely with such faithfulness and unwavering determination that she established her name as an artist that never benefitted from official favor. In her boldness and fearlessness, Iankoshvili’s work places Georgia even more firmly on the world map of painting. If ten-orso years ago the artist’s name was known only in her homeland, last year Iankoshvili’s works were exhibited next to those of the world-famous artist Meret Oppenheim at the Istanbul Biennial.

Before that, she received recognition at high-profile art forums in Berlin, Cologne, Brussels and New York.

As a Georgian, it brings me great pleasure to see Natela Iankoshvili’s star rising, and to see her work gain a new lease of life in the 21st century. At the same time, it’s painful to acknowledge that all of this is happening without the involvement and impetus of Georgia. Instead, it’s Germany that has taken on the task of introducing this foreign artist to new audiences and popularizing her works.

This is, it seems, Georgia’s perennial problem; that unless foreigners remind us of how rich a heritage we possess, we are unable to see it ourselves! This has been the case with Pirosmani, Georgian polyphonic music, choreography, cinematography, Robert Sturua and Giya Kancheli.

From the book, it’s very clear that Natela Iankoshvili never bowed down before “the powers of this world”. Her directness and stubborn character only led to an increase in the number of her official enemies during her lifetime. It’s incredible, that already 12 years after her passing, she has not been fully recognized, celebrated and respected in a way fitting for a great artist. It’s unfortunate that during the last 30 years, independent Georgia has been unable to fully reevaluate the importance of art created during the Soviet period. More unfortunately, it seems that the injustice of the Soviet period is still an integral part of the Georgian mentality.

This is a wholly inadmissible situation, and one which makes it clear that Georgia’s current culture policy is anachronistic. After so long as an independent country with open borders, is it only now becoming clear to us what is of value in our culture and what has been forced upon us? This, too, is the hidden face of corruption and nepotism; we still haven’t started the entirely healthy process of re-evaluating our artistic heritage.

For precisely this reason, Natela Iankoshvili remains a marginal artist in her own homeland, whereas in reality she is one of those few Georgian artists that absolutely can’t be discounted and one who fully deserves greater recognition.

It’s evident from Mamuka Bliadze’s book how much of a role Iankoshvili played in developing Georgia’s national culture. She created the largest collec-

tion of canvases of any 20th century Georgian artist. For future generations of Georgians, she produced depictions of more than a hundred church buildings, and this at a time when religion was considered a dirty word. Her most valuable contribution, however, is the fact that Iankoshvili changed the face of landscape painting - not just in Georgia, but globally. How can this innovation not be of interest to a new generation of Georgian art critics? I’m fully convinced that they will soon turn to Iankoshvili, study her work assiduously and eventually grant her the place that she deserves in Georgian cultural history.

For the publication of such a highquality printed text that is also richly illustrated (the books 160 include 66 images), we owe special thanks to the German friends of Georgia - the owners of the famous Galerie Kornfeld in Berlin, Alfred Kornfeld and Anne Langmann, who first visited Georgia fifteen years

ago and encountered Georgian painters there. After Pirosmani, it was Iankoshvili’s painting that left the greatest impression on them. In 2012 they held a personal exhibition for Iankoshvili in their own gallery, while the publisher Kehrer published an extensive catalog of Iankoshvili’s works in both English and German.

It doubtless that, just as Michael leDantu and the Zdanevich Brothers introduced the world to Pirosmani, Alfred Kornfeld and Anne Langmann performed a similar feat a century later - this time introducing a wholly different wonder in the form of Iankoshvili. The contribution of these two Germans, genuinely in love with Georgia and Georgian art, is truly worthy of note and recognition within Georgia itself.

Mamuka Bliadze’s book, Natela Iankoshvili – An Artist’s Life between Coercion and Freedom, is now available for purchase on Amazon and in Waterstones bookshops.

sia, wherever I am. With this decision, my attitude towards my people, my homeland has not changed for a second, and I

hope that the attitude of the people towards me will not change either," he said.

PBC CSKA Moscow is a Russian pro-

fessional basketball team based in Moscow, Russia. The club is a member of the VTB United League and the EuroLeague.

SPORTS

Georgian Basketball Team Captain Shengelia to Play for CSKA Moscow

BY ANA DUMBADZE

T

he captain of the Georgian basketball team, Tornike Shengelia, has decided to continue his career at CSKA Moscow, having signed a 3-year contract with the Russian club.

CSKA published his first comment after the transfer: "I'm happy to become a member of the current EuroLeague champion, and I'm looking forward to

when I will be able to play alongside the best players, under the guidance of the best coaches."

His decision has irritated a large part of Georgian society. Citizens claim that "This is not a patriotic move."

In response to these opinions, the Georgian sportsman claimed that he doesn't have to justify himself, as he did nothing wrong.

"I go there to play basketball. My circumstances do not determine who I am.

I am Tornike Shengelia, the bearer of the soul of Georgia in Spain, America or Rus-

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