Page 58 - GEORptAug22

$100mn electricity transmission loan for Georgia
approval of a $100mn policy-based loan to support Georgia’s electricity transmission sector.
The financial backing is intended for “improving the operational structure, corporate governance, and financial management of the country’s electricity transmission company and its subsidiary.”
The loan, part of the Electricity Transmission Sector Reforms Program, aims to support the Joint-Stock Company Georgian State Electrosystem (GSE) and its subsidiary EnergoTrans to reduce their dependency on government funding and external borrowing.
The disbursement comes some three weeks after the government of Georgia preemptively refused a EUR 75mn loan on “highly favorable” terms from the EU, citing its wish to reduce foreign debt and avoid “political insinuations.” The 27-member bloc tied the disbursement of the loan, supposed to help Georgia cover its immediate financing needs that have increased due to the coronavirus outbreak, to judiciary reform. The EU said after the government’s refusal that Georgia failed to meet the condition and would not be eligible for the loan anyway.
9.1.13 Defence sector news
Georgia defence ministry attends Nato meeting
Georgia and US move towards defence cooperation agreement
Viktor Dolidze, the Head of the Georgian mission to Nato said on 15 June that Georgia had been invited by the US Department of Defence to take part in the meeting of the alliance’s Rammstein format - the US-led Ukraine Defence Contact Group – for the first time ever in its history. "Minister of Defence Juansher Burchuladze will participate in the Rammstein format. Today, for the first time, Georgia will take part in this format – in particular, in a meeting of the contact group, where the main topics of discussion are strengthening defence capabilities for Ukraine, providing weapons during the war and more”, Dolidze said, according to Agenda.ge Burchuladze met with counterparts from several countries, as well as Georgia's neighbour to the west – Turkey. Turkish Defence Minister Hulusi Akar and Burchuladze discussed defence cooperation and future plans between the two countries. Burchuladze spoke about the reforms implemented in the Georgian defence forces and Turkey’s support in the field of military education. The sides also exchanged views on security in the Black Sea region.
Georgia and the US have signed an agreement on the shape of the countries’ future security co-operation agreement.
The bilateral concept document on the Georgia Defence and Deterrence Enhancement Initiative (GDDEI) was signed on May 20 during the annual US-Georgia bilateral defence consultations in Tbilisi by First Deputy Georgian Defence Minister Lela Chikovani and Laura Cooper, the US Deputy Assistant Secretary of Defense for Russia, Ukraine, and Eurasia, reported civil.ge.
“By signing this document today, what we are doing is making a concrete plan to be able to deepen our bilateral relationship and really, greatly enhance the capabilities of the Georgian defence forces to bring them to a new level of excellence,” Cooper said.
She also dubbed the GDDEI itself a “watershed moment for the US and Georgia”.
Cooper also met Defence Minister Juansher Burchuladze during her trip.
58 GEORGIA Country Report August 2022 www.intellinews.com