Day: February 16, 2024
On February 16, Transparency International – TI Georgia, a local watchdog, released a report summarizing Georgia’s economic dependence on Russia in 2023. The organization notes that Georgia’s economic dependence on Russia has decreased compared to 2022, but it has remained “considerably higher” than in 2021. TI-Georgia points to the drop in remittances as the main reason for the decline.
In particular, Georgia received USD 3.1 billion from Russia in 2023 through remittances, tourism, and exports of goods, which was 13% lower than the corresponding figure in 2022. In 2023, Georgia’s revenues from Russia amounted to 10.3% of the country’s GDP, while in 2022 this figure was 14.5%.
Findings
Russian citizens registered 11 552 companies in Georgia in 2023. Since the beginning of the war in Ukraine, they have registered a total of 26 339 companies, which is a 3.6-fold increase from March 2022 compared to 1995 – 2021.
According to the report, as of December 31, 2023, there were up to 34 000 companies registered by Russians in Georgia.
TI-Georgia notes that 96% of the businesses registered in 2022-2023 were sole proprietorships, which the watchdog says is indicative of a long-term settlement trend.
Russian visitors to Georgia totaled 1.4 million in 2023, up 30% from 2022, but down 3.6% from pre-pandemic levels in 2019.
According to TI-Georgia, the share of Russian visitors (among total visitors) increased from 20% in 2022 to 20.1% in 2023.
A part of the Russian visitors have settled in Georgia for a long time. According to National Statistics Office of Georgia (Geostat), 62,300 Russian citizens stayed to live in Georgia in 2022.
Although migration data for 2023 has not yet been published, TI-Georgia, citing the Georgian MIA, says that in 2023, 1,856,000 visitors from Russia entered Georgia and 1,887,000 left the country.
Citing data from the National Bank of Georgia, TI also notes that Russian visitors spent USD 938 million in Georgia in 2023, which was 5.3% more than the same figure in 2022. The share of revenues from Russian visitors was 22.8% in 2023 and 25.3% in 2022.
Source: transparency.ge
Remittances from Russia to Georgia totaled $1.5 billion in 2023, down 26% from 2022 but up 3.7 times from 2021. TI-Georgia attributes this increase to the growing number of Russian migrants settling in Georgia.
The watchdog also notes that Russia’s share of total remittances was 37% in 2023, down 10.3% from 2022.
Source: transparency.ge
Georgia’s trade turnover with Russia in 2023 decreased by 3 percent compared to 2022 and amounted to USD 2.4 billion. According to the watchdog, the decrease in trade turnover was caused by the decrease in imports.
Georgia’s exports to Russia increased by 2.3 percent in 2023, reaching USD 657 million. However, Russia’s share of total exports decreased from 11.5 percent in 2022 to 10.8 percent in 2023.
According to TI-Georgia, the largest increase was in the export of soft drinks from Georgia to Russia, up $32 million (36%).
The watchdog mentions the decision of the Georgian Government to ban the re-export of vehicles from the U.S. to Russia on August 1, 2023, and another ban on the re-export of vehicles from EU countries to Russia from September 26, 2023. The report emphasizes that before the introduction of the bans, in January-July 2023, the re-export of vehicles from Georgia to Russia increased by 200% compared to the same period in 2022, while in August-December they decreased by 98%. According to the watchdog, the total re-export of vehicles from Georgia to Russia in 2023 decreased by 11% compared to the previous year.
Source: transparency.ge
Meanwhile, TI-Georgia highlights that “the export of Georgian wine is distinguished by high dependence on the Russian market,” noting that the Georgian wine exports to Russia increased by 5 percent in 2023, reaching USD 168 million. It adds that Russia accounted for 65 percent of total wine exports, the highest share since 2013, when Georgian wine returned to the Russian market.
Source: transparency.ge
Imports from Russia decreased by 5 percent to USD 1.7 billion in 2023 compared to 2022, but increased by 71% compared to 2021. The report also notes that Russia’s share of Georgia’s total imports was 11.3% in 2023, 2.2 percentage points lower than in 2022.
According to the report, the largest decrease in 2023 was observed in petroleum products. Their import from Russia decreased by $70 million (11%) compared to 2022. It’s noted that the decrease in imports of Russian fuel in 2023 was caused by two factors: 1. Russia’s decision to stop exporting gasoline from September 21 to November 17; and 2. Russian gasoline has become more expensive.
Meanwhile, natural gas imports increased by 15% compared to 2022 and reached 596 million cubic meters (USD 131 million). According to the report, the share of Russian natural gas in Georgia’s domestic consumption increased to 20 percent (80% of natural gas in Georgia’s domestic consumption is imported from Azerbaijan).
Source: transparency.ge
Russian FDI in Georgia reached $67 million in January-September 2023, up 17% from the same period in 2022, with significant investments in the finance, insurance and real estate sectors.
Source: transparency.ge
Recommendations
Based on the above figures, TI-Georgia stresses the threat that economic dependence on Russia poses to Georgia, “as Russia traditionally uses economic relations as a lever of political pressure on independent countries.” It urges the Georgian authorities to minimize economic dependence on Russia by taking the following steps:
- Work more actively to reduce trade with Russia by concluding the free trade agreements with all strategic partners;
- Develop a strategy to reduce dependence on the Russian wine market;
- Withhold state budget assistance from companies that contribute to increasing economic dependence on Russia.
Also Read:
On February 16, the prior second working meeting of the opposition, the representative of the EaP Civil Society Platform, and the ruling party on the European Commission’s nine conditions Speaker of the Georgian Parliament, Shalva Papuashvili spoke to journalists. He answered questions related to the planned meting, President’s Salome Zurabishvili’s visit to the Munich Security Conference, the implementation of the conclusions of the Venice Commission, and the opposition.
Papuashvili highlighted three key topics to be discussed at the meeting: revising norms for the Special Investigation Service and the Personal Data Protection Service in line with Venice Commission recommendations, addressing issues concerning the Anti-Corruption Bureau, and reviewing legislation pertaining to common courts. He also mentioned that representatives from these agencies were invited to join the discussions.
The opposition proposed that the selection procedure for the Head of the Anti-Corruption Bureau be changed during the meeting, so that the Head is appointed by a decision of the Parliament, instead of being chosen directly by the Prime Minister. Papuashvili said that the selection procedure didn’t matter and that it didn’t mean that the person chosen would not be independent.
Venice Commission Recommendations
Speaking to journalists about taking into account the conclusions of the Venice Commission while implementing reforms to meet the EU’s nine conditions, Speaker Papuashvili emphasized that the Parliament, the legislative body that “adopts laws in the name of Georgian People”, takes the Commission’s conclusions as “advice” and can decide whether to follow this advice or not.
“I would like to emphasize one thing when we talk about the recommendations of the Venice Commission. The conclusion of the Venice Commission is a recommendation. The Venice Commission is not the second chamber, it is not the legislative body of Georgia… We either follow the recommendations of the Venice Commission, or if we don’t, we explain why. It is not a directive and it is not a dogma, the conclusion of the Venice Commission is always a matter of reasoning,” – stated Papuashvili.
President’s visit to Munich
Asked about his assessment of President Salome Zurabishvili’s planned participation in the Munich Security Conference, Papuashvili said that she “does not consider herself a daughter of this country” and “does not care about a word written in the Constitution”, which is why she does as she pleases.
“To her, [the Constitution] is ordinary pages in a book somewhere on her shelf. Therefore, she opnely declares that the Constitution means nothing to her… the only reason why she maintains this position is the support from the “National Movement” [and]… Regrettably she has patrons and masters abroad, that’s why she manages to go to different places, however she no longer represents Georgia,” – noted the Speaker.
CSO Participation in the Working Meeting
One of the journalists reminded the Speaker about the statement of the EU Ambassador to Georgia, Paweł Herczyński, who called participation of civil society organizations in legislative and decision-making processes “extremely important”. On the question of whether this inclusiveness is fully supported, Papuashvili said that the Eastern Partnership Civil Society Platform is actively participating in the meeting, however without the organizations that “boycotted the Platform” and “chose the path of radicalization and separation”.
“Now it is the responsibility of their donors to bring these NGOs back to the democratic path. Only the donors can bring back to the democratic path the radicalized NGOs that, because of the conflict over the official positions [in the platform], have separated themselves from the platform and the discussions on the nine conditions,” – Papuashvili noted, adding that the donors’ responsibility doesn’t end after they transfer money to certain organizations, it continues over the “anti-democratic” actions of the NGOs they fund.
“I once again call on donors to do everything possible to ensure that NGOs operating with their funding abandon radicalism, return to democratic processes and participate in Georgia’s European future,” – stressed Papuashvili.
Lelo’s Separate Meeting
Papuashvili was also asked about the decision of the opposition party “Lelo” to boycott the working sessions in the Parliament and to hold a separate meeting with the EU Ambassador to Georgia to discuss their own action plan for the implementation of the nine conditions. He stated that “this is not the first time that Lelo boycotts the democratic process in the Parliament” and that European representatives “should not support this radicalization”.
“It is a pity that when “Lelo” boycotts the parliamentary work, the door to the residence of the European Union is open for them… There shouldn’t be salon meetings and discussions with those who support radicalism… We remember that when “Girchi”, “Strategy Agmashenebeli” and “Lelo” left their mandates, they were unfortunately welcomed with enthusiasm in certain offices, which increased radicalism. I am sure that “Lelo” will come out of this meeting even more radicalized, because they will think that radicalism is an acceptable form for Europe and will continue such behavior,” – Papuashvili stated.
Saakashvili, Kezerashvili and GD’s “unquestionable victory” in the elections
Commenting on ex-president Saakashvili, the Speaker of the Parliament emphasized the “foreign meddling” in Georgia’s internal affairs during the “fall of the tyrannical regime”, which didn’t allow proper punishment of the “regime’s leaders”, and that the same is happening today.
He stated: “We see how much energy is spent on Mikheil Saakashvili, with fake articles, fake investigations, fake statements by foreign politicians, and imagine what the situation was like ten years ago, when there was a bigger wave for the foreign patrons of the “National Movement” to avoid the punishment and trial they deserved… Today, instead, the Georgian people are being radicalized again and threatened with the restoration of the same regime”.
Continuing on the theme of “radical opposition” and “foreign interference”, Papuashvili once again pointed to former Defence Minister and a businessman David Kezerashvili‘s influence on the opposition, saying that he is hiding in one of the European countries and controlling the situation from there. He stressed: “I once again call on the countries concerned not to allow criminals, including those who make their living by defrauding European pensioners, to enter their countries. This person [Kezerashvili] is taking refuge in their country. These type of people are using this refuge to control the situation in Georgia.”
The Speaker pointed out that despite the efforts of the opposition, the Georgian Dream Party will be elected as the constitutional majority and will have 113 mandates after the 2024 elections. He noted that the Georgian people will have to choose between “war and peace” – opposition and GD – at the polls and they will make the right choice.
Also Read:
The Georgian Institute of Politics published the third iteration of the Georgia Governance Index (GGI) revealing a mixed picture, with Georgia showing “suboptimal governance in all four areas” measured by the document. The country’s record is “uneven” in the areas of effective governance and declined further in external governance.
The document notes that the sector of democratic governance, however, witnessed the most substantial improvement, attributing this primarily to the “democratic resilience exhibited by civil society, the increasing independence of the presidential office, and, to a lesser extent, noteworthy progress in the democratic functioning of key state institutions.”
The four principal domains evaluated by the survey are: democracy and human rights (democratic governance), the efficiency of state institutions (effective governance), socio-economic policies (socio-economic governance), and foreign and security policy (external governance). Methodologically, the GGI integrates both qualitative and quantitative research methods and epistemologies. Its scoring system derives from the GGI Expert Survey, conducted with 47 experts from various fields in Georgia, and is enhanced by qualitative research performed by the GIP team.
Democratic Governance
Democratic governance is “far from optimal” the survey says, with 41.65 out of 100 points. The main problematic issues included political crisis, persistent polarization, stalled judicial reform, proposed laws against freedom of expression, hostility towards media and civil society, and attempts to weaken horizontal accountability. Nevertheless, democratic governance made the most significant jump in the 2023 GGI survey, rising from 27.33 in 2022 to 41.65 in 2023 – likely reflecting the high score given to the civil society component.
Lack of success in judicial reform is identified as key weakness for Georgian democracy in this category. In comparison to last year, the score for judicial independence further declined in the 2023 GGI expert survey. Lack of judicial independence and competence is one of the key challenges named in the survey.
Effective Governance
Effective governance remains a major challenge for Georgia and remains a problematic category in 2023. This area received the second lowest score in the expert survey (33.26 points out of 100), after foreign policy governance.
As in 2022, the leading problems in 2023 were informal governance, political corruption, monopolization of power, and the lack of an independent judiciary. It was repeatedly observed that the state uses its legitimate power sparingly against violent groups while consistently restricting the constitutionally guaranteed rights of political opponents and minorities of political opponents and minorities. In addition, throughout 2023, the illegal borderization and the abduction of Georgian citizens by the Russian occupation regime persisted unabated.
The challenges posed by informal governance and the presence of alternative sources of legitimacy persisted in 2023, exacerbated by the monopolization of power by the ruling political party, the fragility of political institutions, and the ineffectiveness of an independent judiciary.
The formulation of a new public administration strategy, accompanied by an action plan, is a step towards improvement, the survey reads.
Socio-Economic Governance
The overall score in socio-economic governance in 2023 stood at 38.22. The GGI survey score in social and economic governance was the second highest of the governance areas. This relatively positive score is attributed to sustained economic growth, a slowdown in inflationary pressures and some positive steps taken in social policy, mainly towards persons with disabilities.
As was the case in 2022, the lowest score was attained in the economic framework and labor market policy. Although the unemployment rate fell further in 2023, poverty and other economic hurdles remain a major concern for the public. Low wages and a lack of job opportunities remain the main reasons for labor emigration from Georgia.
External Governance
The experts’ overall GGI score for external governance fell from 32.77 to 26.42 out of a possible 100 points. This dynamic was caused by a combination of positive and negative factors in Georgia’s external governance. As the assessment shows, the areas of regression or stagnation outnumbered those in which essential achievements were made in 2023. The document notes that while Georgia was granted EU candidate status in 2023, its relations with the EU have become increasingly “unpredictable” and the country’s low degree of alignment with the Common Foreign and Security Policy of the Union caused concern in the EU.
On the other hand, Georgia has not progressed on the path to NATO membership, as demonstrated by the results of the 2023 NATO Summit, while Georgia’s close ties with illiberal regimes in Europe as well as strategic partnership with China raised concerns about the country’s foreign policy vector, notes the document.
On February 16, Transparency International – TI Georgia, a local watchdog, released a report summarizing Georgia’s economic dependence on Russia in 2023. The organization notes that Georgia’s economic dependence on Russia has decreased compared to 2022, but it has remained “considerably higher” than in 2021. TI-Georgia points to the drop in remittances as the main reason for the decline.
In particular, Georgia received USD 3.1 billion from Russia in 2023 through remittances, tourism, and exports of goods, which was 13% lower than the corresponding figure in 2022. In 2023, Georgia’s revenues from Russia amounted to 10.3% of the country’s GDP, while in 2022 this figure was 14.5%.
Findings
Russian citizens registered 11 552 companies in Georgia in 2023. Since the beginning of the war in Ukraine, they have registered a total of 26 339 companies, which is a 3.6-fold increase from March 2022 compared to 1995 – 2021.
According to the report, as of December 31, 2023, there were up to 34 000 companies registered by Russians in Georgia.
TI-Georgia notes that 96% of the businesses registered in 2022-2023 were sole proprietorships, which the watchdog says is indicative of a long-term settlement trend.
Russian visitors to Georgia totaled 1.4 million in 2023, up 30% from 2022, but down 3.6% from pre-pandemic levels in 2019.
According to TI-Georgia, the share of Russian visitors (among total visitors) increased from 20% in 2022 to 20.1% in 2023.
A part of the Russian visitors have settled in Georgia for a long time. According to National Statistics Office of Georgia (Geostat), 62,300 Russian citizens stayed to live in Georgia in 2022.
Although migration data for 2023 has not yet been published, TI-Georgia, citing the Georgian MIA, says that in 2023, 1,856,000 visitors from Russia entered Georgia and 1,887,000 left the country.
Citing data from the National Bank of Georgia, TI also notes that Russian visitors spent USD 938 million in Georgia in 2023, which was 5.3% more than the same figure in 2022. The share of revenues from Russian visitors was 22.8% in 2023 and 25.3% in 2022.
Source: transparency.ge
Remittances from Russia to Georgia totaled $1.5 billion in 2023, down 26% from 2022 but up 3.7 times from 2021. TI-Georgia attributes this increase to the growing number of Russian migrants settling in Georgia.
The watchdog also notes that Russia’s share of total remittances was 37% in 2023, down 10.3% from 2022.
Source: transparency.ge
Georgia’s trade turnover with Russia in 2023 decreased by 3 percent compared to 2022 and amounted to USD 2.4 billion. According to the watchdog, the decrease in trade turnover was caused by the decrease in imports.
Georgia’s exports to Russia increased by 2.3 percent in 2023, reaching USD 657 million. However, Russia’s share of total exports decreased from 11.5 percent in 2022 to 10.8 percent in 2023.
According to TI-Georgia, the largest increase was in the export of soft drinks from Georgia to Russia, up $32 million (36%).
The watchdog mentions the decision of the Georgian Government to ban the re-export of vehicles from the U.S. to Russia on August 1, 2023, and another ban on the re-export of vehicles from EU countries to Russia from September 26, 2023. The report emphasizes that before the introduction of the bans, in January-July 2023, the re-export of vehicles from Georgia to Russia increased by 200% compared to the same period in 2022, while in August-December they decreased by 98%. According to the watchdog, the total re-export of vehicles from Georgia to Russia in 2023 decreased by 11% compared to the previous year.
Source: transparency.ge
Meanwhile, TI-Georgia highlights that “the export of Georgian wine is distinguished by high dependence on the Russian market,” noting that the Georgian wine exports to Russia increased by 5 percent in 2023, reaching USD 168 million. It adds that Russia accounted for 65 percent of total wine exports, the highest share since 2013, when Georgian wine returned to the Russian market.
Source: transparency.ge
Imports from Russia decreased by 5 percent to USD 1.7 billion in 2023 compared to 2022, but increased by 71% compared to 2021. The report also notes that Russia’s share of Georgia’s total imports was 11.3% in 2023, 2.2 percentage points lower than in 2022.
According to the report, the largest decrease in 2023 was observed in petroleum products. Their import from Russia decreased by $70 million (11%) compared to 2022. It’s noted that the decrease in imports of Russian fuel in 2023 was caused by two factors: 1. Russia’s decision to stop exporting gasoline from September 21 to November 17; and 2. Russian gasoline has become more expensive.
Meanwhile, natural gas imports increased by 15% compared to 2022 and reached 596 million cubic meters (USD 131 million). According to the report, the share of Russian natural gas in Georgia’s domestic consumption increased to 20 percent (80% of natural gas in Georgia’s domestic consumption is imported from Azerbaijan).
Source: transparency.ge
Russian FDI in Georgia reached $67 million in January-September 2023, up 17% from the same period in 2022, with significant investments in the finance, insurance and real estate sectors.
Source: transparency.ge
Recommendations
Based on the above figures, TI-Georgia stresses the threat that economic dependence on Russia poses to Georgia, “as Russia traditionally uses economic relations as a lever of political pressure on independent countries.” It urges the Georgian authorities to minimize economic dependence on Russia by taking the following steps:
- Work more actively to reduce trade with Russia by concluding the free trade agreements with all strategic partners;
- Develop a strategy to reduce dependence on the Russian wine market;
- Withhold state budget assistance from companies that contribute to increasing economic dependence on Russia.
Also Read:
On February 16, the prior second working meeting of the opposition, the representative of the EaP Civil Society Platform, and the ruling party on the European Commission’s nine conditions Speaker of the Georgian Parliament, Shalva Papuashvili spoke to journalists. He answered questions related to the planned meting, President’s Salome Zurabishvili’s visit to the Munich Security Conference, the implementation of the conclusions of the Venice Commission, and the opposition.
Papuashvili highlighted three key topics to be discussed at the meeting: revising norms for the Special Investigation Service and the Personal Data Protection Service in line with Venice Commission recommendations, addressing issues concerning the Anti-Corruption Bureau, and reviewing legislation pertaining to common courts. He also mentioned that representatives from these agencies were invited to join the discussions.
The opposition proposed that the selection procedure for the Head of the Anti-Corruption Bureau be changed during the meeting, so that the Head is appointed by a decision of the Parliament, instead of being chosen directly by the Prime Minister. Papuashvili said that the selection procedure didn’t matter and that it didn’t mean that the person chosen would not be independent.
Venice Commission Recommendations
Speaking to journalists about taking into account the conclusions of the Venice Commission while implementing reforms to meet the EU’s nine conditions, Speaker Papuashvili emphasized that the Parliament, the legislative body that “adopts laws in the name of Georgian People”, takes the Commission’s conclusions as “advice” and can decide whether to follow this advice or not.
“I would like to emphasize one thing when we talk about the recommendations of the Venice Commission. The conclusion of the Venice Commission is a recommendation. The Venice Commission is not the second chamber, it is not the legislative body of Georgia… We either follow the recommendations of the Venice Commission, or if we don’t, we explain why. It is not a directive and it is not a dogma, the conclusion of the Venice Commission is always a matter of reasoning,” – stated Papuashvili.
President’s visit to Munich
Asked about his assessment of President Salome Zurabishvili’s planned participation in the Munich Security Conference, Papuashvili said that she “does not consider herself a daughter of this country” and “does not care about a word written in the Constitution”, which is why she does as she pleases.
“To her, [the Constitution] is ordinary pages in a book somewhere on her shelf. Therefore, she opnely declares that the Constitution means nothing to her… the only reason why she maintains this position is the support from the “National Movement” [and]… Regrettably she has patrons and masters abroad, that’s why she manages to go to different places, however she no longer represents Georgia,” – noted the Speaker.
CSO Participation in the Working Meeting
One of the journalists reminded the Speaker about the statement of the EU Ambassador to Georgia, Paweł Herczyński, who called participation of civil society organizations in legislative and decision-making processes “extremely important”. On the question of whether this inclusiveness is fully supported, Papuashvili said that the Eastern Partnership Civil Society Platform is actively participating in the meeting, however without the organizations that “boycotted the Platform” and “chose the path of radicalization and separation”.
“Now it is the responsibility of their donors to bring these NGOs back to the democratic path. Only the donors can bring back to the democratic path the radicalized NGOs that, because of the conflict over the official positions [in the platform], have separated themselves from the platform and the discussions on the nine conditions,” – Papuashvili noted, adding that the donors’ responsibility doesn’t end after they transfer money to certain organizations, it continues over the “anti-democratic” actions of the NGOs they fund.
“I once again call on donors to do everything possible to ensure that NGOs operating with their funding abandon radicalism, return to democratic processes and participate in Georgia’s European future,” – stressed Papuashvili.
Lelo’s Separate Meeting
Papuashvili was also asked about the decision of the opposition party “Lelo” to boycott the working sessions in the Parliament and to hold a separate meeting with the EU Ambassador to Georgia to discuss their own action plan for the implementation of the nine conditions. He stated that “this is not the first time that Lelo boycotts the democratic process in the Parliament” and that European representatives “should not support this radicalization”.
“It is a pity that when “Lelo” boycotts the parliamentary work, the door to the residence of the European Union is open for them… There shouldn’t be salon meetings and discussions with those who support radicalism… We remember that when “Girchi”, “Strategy Agmashenebeli” and “Lelo” left their mandates, they were unfortunately welcomed with enthusiasm in certain offices, which increased radicalism. I am sure that “Lelo” will come out of this meeting even more radicalized, because they will think that radicalism is an acceptable form for Europe and will continue such behavior,” – Papuashvili stated.
Saakashvili, Kezerashvili and GD’s “unquestionable victory” in the elections
Commenting on ex-president Saakashvili, the Speaker of the Parliament emphasized the “foreign meddling” in Georgia’s internal affairs during the “fall of the tyrannical regime”, which didn’t allow proper punishment of the “regime’s leaders”, and that the same is happening today.
He stated: “We see how much energy is spent on Mikheil Saakashvili, with fake articles, fake investigations, fake statements by foreign politicians, and imagine what the situation was like ten years ago, when there was a bigger wave for the foreign patrons of the “National Movement” to avoid the punishment and trial they deserved… Today, instead, the Georgian people are being radicalized again and threatened with the restoration of the same regime”.
Continuing on the theme of “radical opposition” and “foreign interference”, Papuashvili once again pointed to former Defence Minister and a businessman David Kezerashvili‘s influence on the opposition, saying that he is hiding in one of the European countries and controlling the situation from there. He stressed: “I once again call on the countries concerned not to allow criminals, including those who make their living by defrauding European pensioners, to enter their countries. This person [Kezerashvili] is taking refuge in their country. These type of people are using this refuge to control the situation in Georgia.”
The Speaker pointed out that despite the efforts of the opposition, the Georgian Dream Party will be elected as the constitutional majority and will have 113 mandates after the 2024 elections. He noted that the Georgian people will have to choose between “war and peace” – opposition and GD – at the polls and they will make the right choice.
Also Read:
The Georgian Institute of Politics published the third iteration of the Georgia Governance Index (GGI) revealing a mixed picture, with Georgia showing “suboptimal governance in all four areas” measured by the document. The country’s record is “uneven” in the areas of effective governance and declined further in external governance.
The document notes that the sector of democratic governance, however, witnessed the most substantial improvement, attributing this primarily to the “democratic resilience exhibited by civil society, the increasing independence of the presidential office, and, to a lesser extent, noteworthy progress in the democratic functioning of key state institutions.”
The four principal domains evaluated by the survey are: democracy and human rights (democratic governance), the efficiency of state institutions (effective governance), socio-economic policies (socio-economic governance), and foreign and security policy (external governance). Methodologically, the GGI integrates both qualitative and quantitative research methods and epistemologies. Its scoring system derives from the GGI Expert Survey, conducted with 47 experts from various fields in Georgia, and is enhanced by qualitative research performed by the GIP team.
Democratic Governance
Democratic governance is “far from optimal” the survey says, with 41.65 out of 100 points. The main problematic issues included political crisis, persistent polarization, stalled judicial reform, proposed laws against freedom of expression, hostility towards media and civil society, and attempts to weaken horizontal accountability. Nevertheless, democratic governance made the most significant jump in the 2023 GGI survey, rising from 27.33 in 2022 to 41.65 in 2023 – likely reflecting the high score given to the civil society component.
Lack of success in judicial reform is identified as key weakness for Georgian democracy in this category. In comparison to last year, the score for judicial independence further declined in the 2023 GGI expert survey. Lack of judicial independence and competence is one of the key challenges named in the survey.
Effective Governance
Effective governance remains a major challenge for Georgia and remains a problematic category in 2023. This area received the second lowest score in the expert survey (33.26 points out of 100), after foreign policy governance.
As in 2022, the leading problems in 2023 were informal governance, political corruption, monopolization of power, and the lack of an independent judiciary. It was repeatedly observed that the state uses its legitimate power sparingly against violent groups while consistently restricting the constitutionally guaranteed rights of political opponents and minorities of political opponents and minorities. In addition, throughout 2023, the illegal borderization and the abduction of Georgian citizens by the Russian occupation regime persisted unabated.
The challenges posed by informal governance and the presence of alternative sources of legitimacy persisted in 2023, exacerbated by the monopolization of power by the ruling political party, the fragility of political institutions, and the ineffectiveness of an independent judiciary.
The formulation of a new public administration strategy, accompanied by an action plan, is a step towards improvement, the survey reads.
Socio-Economic Governance
The overall score in socio-economic governance in 2023 stood at 38.22. The GGI survey score in social and economic governance was the second highest of the governance areas. This relatively positive score is attributed to sustained economic growth, a slowdown in inflationary pressures and some positive steps taken in social policy, mainly towards persons with disabilities.
As was the case in 2022, the lowest score was attained in the economic framework and labor market policy. Although the unemployment rate fell further in 2023, poverty and other economic hurdles remain a major concern for the public. Low wages and a lack of job opportunities remain the main reasons for labor emigration from Georgia.
External Governance
The experts’ overall GGI score for external governance fell from 32.77 to 26.42 out of a possible 100 points. This dynamic was caused by a combination of positive and negative factors in Georgia’s external governance. As the assessment shows, the areas of regression or stagnation outnumbered those in which essential achievements were made in 2023. The document notes that while Georgia was granted EU candidate status in 2023, its relations with the EU have become increasingly “unpredictable” and the country’s low degree of alignment with the Common Foreign and Security Policy of the Union caused concern in the EU.
On the other hand, Georgia has not progressed on the path to NATO membership, as demonstrated by the results of the 2023 NATO Summit, while Georgia’s close ties with illiberal regimes in Europe as well as strategic partnership with China raised concerns about the country’s foreign policy vector, notes the document.