Page 8 - GEORptNov19

further foster our bilateral cooperation, which has its roots running deep in history and which has been brought to a particularly high level by the UK-Georgia Wardrop Strategic Dialogue. Partnership between two countries is based upon shared values and common interests, including in promoting rules-based international order, security and stability,” Foreign Minister of Georgia David Zalkaliani said.
2.3​ ​Georgia’s government officially allows Anaklia consortium more time to find investors
Georgia’s government “gave a last chance” to Anaklia Development Consortium (ADC) to find financial and strategic investors and keep its Black Sea deep sea port project running, but at the same time an influential politician of the Georgian Dream party, Tbilisi mayor Kakha Kaladze, used the opportunity to question ADC’s capacity to carry out a project of such major importance to Georgia’s economy.
“I very much doubt that Mamuka Khazaradze [the leader of ADC, TBC bank co-founder and more recently a political rival of Georgian Dream] will be able to carry out this project. He has neither the financial resources nor the mental capacity to do so, ”Kaladze said in scathing remarks.
The Ministry of Regional Development and Infrastructure of Georgia officially announced that it is giving the consortium developing the Anaklia port under a public private partnership the opportunity to fully utilise the resources at its disposal to raise its own capital and reach an agreement with international banks in writing, with the deadline set as the end of 2019. ADC was supposed, under existing agreements, to meet the financing conditions by October 15.
According to the statement of the ministry, "although the Consortium has partly failed to fulfil its obligation regarding the capital filling, while the obligation related to the agreement with banks has not been fulfilled at all, which gives the Georgian Government the right to terminate the agreement immediately, the Georgian Government considers the importance of the Anaklia Port Construction Project and declines to exercise its right to terminate the contract”.
Director-general of ADC Levan Akhvlediani has invited the government to further talks on the project. He mentioned "specific obstacles" that require "joint effort". According to past information, the only request not addressed by the government was a guarantee sought by the port investors as regards the minimum utilisation of the port. Instead of providing such a guarantee, the government has encouraged projects that, although of a much smaller size and not fully backed by financial commitments by investors, might compete with the proposed Anaklia port. One of those is south of Anaklia, in Poti.
“Of course, the decision not to cancel the contract is welcome. We believe that there are specific obstacles in the process of the project, which should be overcome through joint efforts. However, it is now necessary for both parties, including the government, to work together at the negotiating table to resolve all the issues that are crucial for the successful implementation of the project,” said Akhvlediani , adding that concrete steps should be taken with regard to investors.
8​ GEORGIA Country Report​ November 2019 ​ ​www.intellinews.com