The EU is the world’s largest market and a Deep and Comprehensive Free Trade Agreement with Georgia, the Republic of Moldova and Ukraine offers new opportunities for companies in these countries. Fashion house ‘Materia’, based in Tbilisi, is one of them, says an article published by the European Bank for Reconstruction and Development (EBRD).
Offering its customers a premium clothing line and more affordable products, the fashion house also sells its clothing to various public institutions in Georgia including the army, police, post office staff and many more.
It works closely with the Georgian Rugby Federation to produce uniforms for the national team’s junior players and a wide range of rugby clubs, including Goris Jiki, which won this year’s domestic club championship.
The business has secured financing to modernise its equipment and introduce the best workplace health and safety practices for a new clothing factory, in line with EU standards. This will help the fashion house to take full advantage of export opportunities. The firm was one of the first to benefit from the EU4Business-EBRD Credit Line.
The EU4Business-EBRD Credit Line – a joint initiative between the EBRD and the European Union – targets small and medium-sized enterprises in Georgia, the Republic of Moldova and Ukraine. All three countries are signatories to an Association Agreement and benefit from signing up to the Deep and Comprehensive Free Trade Area with the EU.
The Credit Line helps interested businesses to make the most of open access to the EU, the world’s largest trading block, by modernising their production and services in line with EU standards.
At today's Government meeting, the Prime Minister assessed his working visits to Spain and Davos.
Giorgi Kvirikashvili commended the unveiling of a commemorative plate honoring Georgia at the World Tourism Organization Headquarters in Madrid.
According to the Prime Minister, it is a great honor and recognition of the country's significant achievements and the Government's efforts in this direction.
"Quite interesting were our meetings with Spain's Prime Minister and Monarch, the sovereign head of state. We discussed numerous exciting directions in the relations between the two countries. We have nominated to the Office WTO Secretary General Zurab Pololikashvili, our Ambassador to Spain and Representative at the World Tourism Organization, who needs support, so we held a number of meetings to this end," Giorgi Kvirikashvili stated.
The visit to Davos was assessed by the Prime Minister as very interesting. According to him, Georgia is keeping its finger on the pulse of global events, maintaining contact with its friends and partners.
"We held several meetings with heads of states, including an interesting discussion with EBRD President Suma Chakrabarti. Importantly, 2016 was a record-breaking years in terms of EBRD investments in Georgia-the largest amount of investments was made in Georgia, and plans for 2017 are even greater, heralding yet another record-breaking year. Their expectations are very positive," the Prime Minister said.
According to Giorgi Kvirikashvili, very positive expectations were expressed by IMF Managing Director Christine Lagarde in relation to global economic growth.
"We had very important meetings with representatives of the public sector and investors. Georgia is in the spotlight, being as one of the Eastern European countries considered by companies planning to expand in Europe, and we had a number of meetings in this direction as well. In this regard, especially important are Japanese companies taking interest in Georgia, which is commendable," the Prime Minister stated.
According to Giorgi Kvirikashvili, meetings were also held with companies specializing in tourism, hospitality, and aviation and interested in the Georgian market.
"It has been a very important visit, and I am believe its multidimensional results will become tangible soon," the Prime Minister said.
The European Bank for Reconstruction and Development (EBRD) with EU funding under the EU4Business Initiative is organising an international conference of consulting professionals in the Georgian capital Tbilisi on 3-4 November 2016. ‘Competitive Consulting 2016’ will bring together consultants from a wide range of markets, as well as a number of international consulting firms interested in engaging with local partners.
This event will help consultants to build their competences, exposure and network so that they can provide high quality services to small and medium-sized enterprises (SME).
The conference will feature plenary sessions from leaders in the consulting industry and the business world. They will explore global trends in the sector and the new challenges in the industry and the region. The event will include detailed breakout sessions examining new techniques, models and approaches for agile consulting, combining experience with innovation. (EU Neighbours East Info).
Presentation of MAN’s new blue buses was hold in Rose Square in Tbilisi. The buses will run on #61 line in the nearest future. According to the Tbilisi City Mayor Davit Narmania, new buses are consistent with European standards, are ecologically clean and working on CNG fuel.
“The new buses are safe for the environment and this is too important. They work on natural oil and they are the most high-class civic buses,”-Davit Narmania said.
According to Mayor, buses are provided by heat and conditioner systems. 27 ml euro was allocated by EBRD and 7 ml euro by – E5P Fund.
The European Bank for Reconstruction and Development (EBRD) will allocate financial aid in an amount of 155 million USD to "Rustavi Azot" - this is one of the largest transactions in the private sector that envisages large-scale gas monetization project.
The ceremony of signing respective agreement was attended by the Prime Minister of Georgia Giorgi Kvirikashvili and the members of the Cabinet.
Unprecedentedly large project funded by the IFI in collaboration with the private sector will contribute to the improvement of trade balance, the creation of new jobs - Prime Minister assessed the contract signed by EBRD Regional Director for Caucasus, Moldova and Belarus Bruno Balvanera and the businessman founder of Loyal capital Group SA and owner of "Rustavi Azot" owner Roman Pipia.
According to Giorgi Kvirikashvili, this is an export-oriented project that is very important for a strong national currency.
"This project enjoys Government's full support and this is due to many factors. The "Partnership Fund" is involved in the process and I think it will not be the only project that we will finance in collaboration with the EBRD. European Bank for Reconstruction and Development is the biggest creditor of the capital and the international financial institutions in Georgia," - Prime Minister of Georgia stated and thanked EBRD Regional Director for Caucasus, Moldova and Belarus Bruno Balvanera for his active work in the area of attracting additional financial resources to the real sector and the financial institutions of Georgia.
According of the head of Government, it is a welcoming fact that "Georgian bank" also partakes in the investment of 155 million USD - it will be one of the largest creditors of the project.
Giorgi Kvirikashvili believes that this is a new, positive step forward to the real sector of Georgian economy.
In his speech, Prime Minister recalled a story from his work experience at the financial sector.
"To demonstrate support to Georgia during the August war of 2008, in the midst of an ongoing armed conflict, European Bank replenished partnership account for the project at one of the banks that worked for at that time. This was a clear indication of the EBRD's support to Georgian banking sector and Georgia, this was a clear belief that Georgia irreversibly embarked on the right vector. Once again, congratulations on this really great success and I am sure it will be one of the most successful projects of the real sector and the EBRD ", - Prime Minister said.
Funding will be used for rehabilitation and modernization of the line of the production of ammonia, this will be implemented through adopting energy efficiency measures. As a result, energy consumption will be reduced by 30%. The new, energy-efficient ammonia line, will conform to the highest environmental standards, which will increase its competitiveness.
According to the EBRD Regional Director for Caucasus, Moldova and Belarus Bruno Balvanera, the EBRD has established a record by signing respective agreement this year. Namely, in July, the overall amount of investments undertaken in Georgia was 325 million USD - that is three times the volume of the investments in 2015.
"By signing this agreement, we confirm that we believe in the bright future, legislative system and entrepreneurial environment of Georgia," - Bruno Balvanera stated and thanked the Government of Georgia for support.
Prime Minister's Press Office
First Vice Prime Minister, Minister of Economy and Sustainable Development of Georgia Dimitri Kumsishvili with the representatives of Georgian Government attended the agreement signing ceremony between Rustavi Nitrogen and EBRD. The ceremony was held in Tbilisi Marriott. The agreement provides funding 155 000000 US dollars to Rustavi Nitrogen which will be used for rehabilitation and modernization of ammonia production line.
The company named Rustavi Nitrogen is one of the biggest employers in Georgia.
New blue buses will operate in Tbilisi from September, 2016. The agreement was signed between the Man Truck and Bus AG Company and Georgian side. German company has been selected as a tender winner company. The tender is carried by European Bank for Reconstruction and Development.
European Bank has allocated a loan of 27 million EUR to Tbilisi Municipality for acquisition of buses, while the additional grant of 7 million has been allocated by fund E5P, under the management of EBRD.