Caucasian Business Week #45

Page 1

DISTRIBUTED FREE OF CHARGE

BUSINESS WEEK caucasian business week www.facebook.com/CBW.ge Partner News Agency

March 10, 2014 #45

March 10, 2014, Issue 45

Be informed, do business

georgia Parliament Adopts Resolution on Ukraine, Fails to Show Unanimity

P

arliament adopted on March 6 GD-proposed resolution on Ukraine calling on the west to take “political, economic and diplomatic measures” to help Ukraine amid Russian “aggression”. Pg. 2

Petrocas Energy Group: Agreement with Rosneft means transportation of the oil products to Armenia through Georgia

P

etrocas Energy Group states that Rosneft is their commercial partner and cooperates only for freight shipments. The company released the statement on Thursday. Pg. 5

Turkish Airlines Remains Air Market Leader in January

I

n January 2014 passenger flow on flights has increased by 28% in comparison with the same period last year. Pg. 5

FT - Growth helps narrow gender gap in fast-growing economies

W

omen cheered, some men booed, but everyone took notice when Christine Lagardequipped in 2010 that had Lehman Brothers been Lehman Sisters, the global financial crisis might have looked different. Pg. 7

Georgian Macroeconomic Review

G

eorgian GDP growth rebounded sharply in December, bringing the 4Q13 growth to a healthy 6.9% yoy and full 2013 growth to 3.2% yoy.

Pg. 9

Khudoni HPP - the First Serious Challenge for the New Government

E

nergy independence acquires even higher importance in the light of the Ukrainian events. Russia already made a decision to raise gas price for the country. Pg. 10

Azerbaijan Azerbaijan to ‘effectively regulate’ monetary policy in 2014

A

zerbaijan will effectively regulate its midterm monetary policy in 2014, head of the Central Bank of Azerbaijan (CBA) said on March 4. Pg. 11

cis Who will threatened sanctions hit most? US-EURussia trade in numbers

U

S lawmakers are already threatening Russia with economic sanctions over the crisis in Ukraine. Pg. 12

WORLD NEWS The cost of living around the world

S

caucasian1

AYONARA, Tokyo. Singapore is now the world’s most expensive city, according to the bi-annual cost of living index from the Economist Intelligence Unit, our corporate sibling. Pg. 13

Bidzina Ivanishvili Loses 100 mln USD and 41st Position in the Forbes Rating

115 Persons Poisoned by Gas Odorant

Azerbaijan’s First Lady named most influential woman of 2014

SOCAR to Explore Reasons

L

ast night a total of 115 persons were poisoned by natural gas odorant in one of the districts of Baku, Azerbaijan. Excessive dose of odorant in natural gas has poisoned the people. The substance is usually used to detect gas leakage. According to the Trend news agency, Some 70 people were provided with medical assistance. Some 45 people were taken to the Poison Centre of the Ministry of Health, 43 of them were hospi-

Pg. 6

talized but later they were sent home. The assumption that one of the Lokbatan residents (Natalia Mammadova) died as a result of this incident has not been confirmed, the spokesman for the Ministry of Health Anar Gadirli said. Azerigaz supplies natural gas to Baku and Georgia. At this stage, SOCAR is examining reasons for the accident. At the same time, criminal case has been instituted at the Baku City prosecutor’s office. Natural gas supply has been temporarily ceased to local residents.

Gas Filling Stations to Jointly Act against SOCAR

Pg. 6

Crimean Unrest Devaluates VTB Bank Shares

Fitch Lowers VTB Bank’s Rating

T

he price of Russian VTB Bank shares started falling as a result of political unrest in Crimea, Ukraine. At the same time, Fitch has lowered a rating to the company. The Rus-

sian policy against Ukraine has already damaged the Russian economy. Besides the devaluation of the Ruble, shares of Russian companies have gone also down and Russian businessmen’s losses have recorded millions of USD. VTB, Lukoil, Rosneft are among the companies that are bearing losses because of Putin’s policy. The Russian companies have lost confidence of investors. The price of a VTB Bank shares made up 0.042 Rubles at the February 28 Moscow exchange session, while on March 3 the price fell by nearly 12% to 0.034 Rubles. Pg. 6

Vimpelcom Loses 2.66 billion USD in Ukraine

L

osses of Vimpelcom telecommunications holding made up 2.66 billion USD in the 4th quarter of 2013, the report of International Financial Reporting Standards (IFRC) reads. The 2013 total losses marked 1.4 billion USD. Reuter’s analysts expected Vimpelcom profits would be 437 billion USD in the fourth quarter of 2013, as the company earned 195 million USD in

Pg. 5

the 4th quarter of 2012. Losses arose after writing off assets of 2.9 billion USD in Ukraine and Canada. Devaluation came from economic downturn. The company’s earnings in Ukraine dropped by 9% in the fourth quarter of 2013 to 331 million USD. Therefore, the EBITDA fell by 18% to 1.5 billion Hryvnia. In Ukraine Vimpelcom operates as the brand of KyivStar. The political unrest deteriorated economic situation in Ukraine for several months. Ukraine’s GDP fell for the first time after 2008, gold reserves recorded the lowest indicator since 2006 and the national currency considerably went down in value.

Pg. 11

George Kadagidze: 5% economic growth is realistic Pg. 5

Finance Ministry: In total 188.8 Million GEL were Mobilized into the Budget during Two Months ofPg.2014 6 Georgian Co-Investment Fund CEO Talks about investing in Georgia Pg. 4

Business Association: There is a Political Will to Free Business from Restrictions Pg. 4

Earnings Derived from Export of Wine Exceed the Previous Year’s Results by 68 Million USD

Pg. 6


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.