DAILY NEWS
January 28, 2020
IN THIS ISSUE:
1. AS OF JANUARY 1, SHORT-TERM CONSUMER LOANS DECREASED BY 60.3% Y-O-Y
2. AS OF JANUARY 1, LONG-TERM CONSUMER LOANS INCREASED BY 15% Y-O-Y
3. ECONOMY MINISTER: ENERGY MARKET WILL BE DEREGULATED STEP BY STEP
4. ECONOMY MINISTER: 24 PROJECTS ARE SIGNED WITHOUT GUARANTEE OF PURCHASES
5. EBRD REGIONAL DIRECTOR: WE WORK WITH GEORGIAN GOVERNMENT TO FACILITATE LAUNCH OF NECESSARY ACTIONS IN THE DIRECTION OF RENEWABLE ENERGY
6. ECONOMY MINISTER: PROBABLY, WE WOULD SUSPEND TEMPORARILY DIRECT FLIGHTS FROM CHINA
7. REGIONAL DEVELOPMENT MINISTER: IN 2019, MUNICIPAL DEVELOPMENT FUND SUCCEEDED TO MASTER THE BUDGET FULLY
8. MUNICIPAL DEVELOPMENT FUND OPERATES UP TO 60 PROJECTS ON TOURIST INFRASTRUCTURE
9. INDEPENDENT DEPUTIES FRACTION MEMBER: PATIENTS CANNOT GET CARDIOLOGY SERVICES AS EXPENSE ESTIMATION OF THE HEALTHCARE MINISTRY DOES NOT CORRESPOND TO REALITY
10. REHABILITATION CENTER FOR WOUNDED MILITARY PERSONNEL OPENED IN TSEROVANI
1. AS OF JANUARY 1, SHORT-TERM CONSUMER LOANS DECREASED BY 60.3% Y-O-Y
National Bank of Georgia reported that short-term consumer loans, issued by Georgian banks, totaled as of January 1 to 208.45 million lari. The volume has decreased by 5.8% quarter-on-quarter and by 60.3% year-on-year.
In total volume of short-term credits, the ones, issued in national currency, made up 151 million lari (reduction – 7.7% quarter-on-quarter, 67.5% year-on-year), while the credits, issued in foreign currency, made up equivalent of 57.44 million lari (reduction – 0.7% and 4.9%, respectively).
As of the reporting date, average rate on the short-term consumer credits, issued in national currency, made up 26.1% (against of 26.2% as of October 1, 2019 and 28.1% as of January 1, 2019), while on ones, issued in foreign currency – 5.9% (against of respective 6% and 6.4%).
2. AS OF JANUARY 1, LONG-TERM CONSUMER LOANS INCREASED BY 15% Y-O-Y
National Bank of Georgia reported that long-term consumer loans, issued by Georgian banks, totaled as of January 1 to 3.9 billion lari. The volume has increased by 3.2% quarter-on-quarter and by 15% year-on-year.
In total volume of long-term credits, the ones, issued in national currency, made up 3.45 billion lari (growth – 4% quarter-on-quarter, 20.8% year-on-year), while the credits, issued in foreign currency, made up equivalent of 450.9 million lari (reduction – 2.8% and 15.9%, respectively).
As of the reporting date, average rate on the long-term consumer credits, issued in national currency, made up 17.6% (against of 17.4% as of October 1, 2019 and 18% as of January 1, 2019), while on ones, issued in foreign currency – 8.7% (against of respective 9.3% and 10%).
3. ECONOMY MINISTER: ENERGY MARKET WILL BE DEREGULATED STEP BY STEP
While addressing the “Georgian Energy Week 2020”, opened today, Georgia’s Minister of Economy and Sustainable Development Natia Turnava declared that process of deregulation of the country’s energy market will be carried out step by step. That “will give an opportunity to the market players to accustom themselves to changes easily”, she noted.
According to the Minister, the second stage of deregulation will be completed by the end of 2021. “We expect that deregulation will apply by that time to 50% of the market”, she declared.
As Turnava noted, within the ongoing reform, 10 large industrial consumers got in May 2019 access to the open market of electric power. “If such consumers had purchased electric power at fixed price earlier, the reform gave them an opportunity to purchase necessary electric power at free market prices”, she explained.
4. ECONOMY MINISTER: 24 PROJECTS ARE SIGNED WITHOUT GUARANTEE OF PURCHASES
Georgia’s Minister of Economy and Sustainable Development Natia Turnava declared that opening of the country’s energy market “made possible that small and medium hydroelectric stations develop without any guaranteed purchase tariffs” (upon signing agreements on hydroelectric station’s construction, the state undertook earlier purchase of definite part of electric power at certain tariff). “There are already 24 such projects”, she reported (though not specifying their total capacity). “We will continue this process”, she noted.
While declaring this to journalists today, Turnava pointed: our task is “to make our energy market resembling the European power market and became more open, more competitive, while our consumers – more protected”.
5. EBRD REGIONAL DIRECTOR: WE WORK WITH GEORGIAN GOVERNMENT TO FACILITATE LAUNCH OF NECESSARY ACTIONS IN THE DIRECTION OF RENEWABLE ENERGY
“We work with [Georgian] government to facilitate launch of necessary actions in the direction of renewable energy”, EBRD regional director in the Caucasus Catarina Bjorlin Hansen declared. “This is one of the core issues, which we will carry out this year”, she noted.
The EBRD regional director declared the mentioned to journalists within the “Georgian Energy Week 2020”, which opened in Tbilisi today, but did not specify the actions.
Hansen pointed: “You have a hydraulic power, wind energy and, hope, you will have also projects of solar energy soon”. “The energy sector is one of the most perspective sectors in Georgia”, she said (quotations are provided according to press release of Georgian Ministry of Economy and Sustainable Development).
6. ECONOMY MINISTER: PROBABLY, WE WOULD SUSPEND TEMPORARILY DIRECT FLIGHTS FROM CHINA
Georgia’s Minister of Economy and Sustainable Development Natia Turnava declared that because of coronavirus’ spread in China, “probably, we would make a decision and suspend temporarily direct flights from China”.
The Minister pointed that “there are no reasons for panic, and Georgia is still considered the country, which is in zone of less threat”. However, “we think that this decision [suspension of flights] will be obligatory in order we were more quiet”, she declared to journalists and pointed that at this stage, “screening of passengers, arriving from China, is carried out”.
7. REGIONAL DEVELOPMENT MINISTER: IN 2019, MUNICIPAL DEVELOPMENT FUND SUCCEEDED TO MASTER THE BUDGET FULLY
Georgia’s Minister of Regional Development and Infrastructure Maya Tskitishvili noted that budget of Georgian Municipal Development Fund for 2019 amounted to 367 million lari, exceeding by 30% the previous year’s volume. “It was managed to master this sum completely”, she declared.
According to the Minister, the Fund launched about 250 projects in the reporting year (of which 70 ones are already completed), employing 15,000 people in their implementation during a year. In total, the Fund has 160 contractors on these projects (both foreign and Georgian companies).
Tskitishvili reported the mentioned today, while presenting report on activity of the Fund for 2019, and noted that “plans for 2020 are even more large-scale”.
8. MUNICIPAL DEVELOPMENT FUND OPERATES UP TO 60 PROJECTS ON TOURIST INFRASTRUCTURE
Georgian Municipal Development Fund operates currently up to 60 projects, related to tourist infrastructure, which total cost makes up 240 million lari, Georgian Ministry of Regional Development and Infrastructure reported.
As the Ministry said, the Fund accomplished 18 projects in 2019. These projects include construction of museum in Vani (Imereti region) worth 20 million lari, rehabilitation of botanical garden in Zugdidi (Samegrelo region) worth 11 million lari, etc.
The Ministry said that in 2020, the Fund will finish rehabilitation of park Mziuri in Tbilisi, construction of boulevard in Ureki (the Black Sea resort in Guria region), construction of museum in Oni (Racha region), etc.
9. INDEPENDENT DEPUTIES FRACTION MEMBER: PATIENTS CANNOT GET CARDIOLOGY SERVICES AS EXPENSE ESTIMATION OF THE HEALTHCARE MINISTRY DOES NOT CORRESPOND TO REALITY
Today, members of parliamentary fraction Independent Deputies met doctors and managers of medical institutions, discussing the government’s resolution #520 (setting of unified tariff for clinics, involved in the state program of universal health care) with them, Georgian Parliament reported.
As the fraction member MP Levan Koberidze declared, “The resolution really brought only a negative, first of all, for those patients with nosology related to cardiology, heart surgery, arhythmology and, to some extent, resuscitation”.
The Healthcare Ministry’s estimation of expenses “does not correspond to reality”, Koberidze pointed, noting: “So far, the main topic in the agenda are only the mentioned spheres, but the same problems could arose soon in other spheres too”.
Participants of the meeting discussed also cut of salaries in clinics. As Koberidze declared, the Healthcare Ministry “conducts payment for concrete done works with 4-month delay”. As a result, “part of clinics already cut salaries”, while part of them has announced this measure, he specified.
Members of the fraction demanded appearance of the Minister in the Parliament, press service of the Parliament reported.
10. REHABILITATION CENTER FOR WOUNDED MILITARY PERSONNEL OPENED IN TSEROVANI
On January 27, rehabilitation center for wounded military personnel was opened in Tserovani (Mtskheta municipality of Mtskheta-Mtianeti region).
As Georgian government said, construction of the center was funded mainly by the US, which allocated about $4.5 million for that end. In its turn, Georgian side provided financing of 1 million lari.
At the opening ceremony of the Center, it was noted that monthly salary supplements of wounded military personnel make up now from 200 to 800 lari.