PMCG and USAID/IESC held workshop entitled Made In Georgia
A one day workshop on import substitution entitled Made in Georgia, sponsored by the US Agency for International Development (USAID) and implemented by PMCG, was held at the Courtyard Marriott on November 3.
Representatives of the Government, the private sector, donors and NGOs gathered to gauge the potential for introducing an import substitution program in Georgia.
Earlier two USAID programs, the Small and Medium Enterprises (SME) Support Project and the Business Climate Reform Project, partnered with the American Chamber of Commerce in Georgia to survey local businesses to gauge the potential for an import substitution program. PMCG presented the survey results at the Made in Georgia workshop.
All the participants of the Made in Georgia workshop had the opportunity to express their attitudes towards the issue and talk about specific ways to promote local production and achieve global market competitiveness in the long term, which means providing goods of a more competitive quality, price and supply stability. At the end of the meeting all participants agreed to continue working over the Made in Georgia concept.
The main concept of the Made in Georgia workshop is not only import substitution, but support and expansion of the local production. But it's up to the business sector to suggest the fields in which further growth is possible. It’s up to them to define the pathway for overcoming the problems, Aleksi Aleksishvili noted.
Import substitution can bring many benefits to the country, according to Mr. Conly. He added that import substitutes are meant to reduce imports, generate employment, develop new businesses, create new opportunities for exports, reduce foreign exchange demand, stimulate innovations, and make the country self-reliant in different fields.
Export-Import Overview ENG Export-Import Overview GEO Presentation Eng Presentation Geo Survey Results Overview ENG Survey Results Overview GEO
PMCG Launched Long-term Relations with Westminster Foundation for Democracy
PMCG is implementing the Westminster Foundation for Democracy supported Financial Oversight Development Project. This is the first step to work with the Foundation for preparation of the suitable training programme for Members of Parliament of Georgia and the staff members.
Start Date: October 2009End Date: December 2009Country: GeorgiaClient: Westminster Foundation for DemocracyDevelopment Partner: Westminster Foundation for Democracy
Description of the Project:
Westminster Foundation for Democracy (WFD) is the UK's leading democracy-building foundation established in 1992. Over the years, WFD has grown in strength and diversity, working to achieve sustainable political change in emerging democracies. Working with and through partner organizations, WFD seeks to strengthen the institutions of democracy, principally political parties (through the work of the UK political parties), parliaments and the range of institutions that make up civil society.
WFD launched a long term Parliamentary Strengthening Programme in Georgia. In the framework of this programme WFD contracted PMCG to implement its Financial Oversight Development Project.
Within the project, PMCG will prepare a comprehensive report for WFD with a detailed explanation of business processes in the state budgeting and the Parliament’s™ role in it. The purpose of the report is to help us to understand the quality of Parliamentary financial oversight in Georgia, so that a suitable training programme for Members of Parliament and the staff members can be designed and delivered.
There are six sections in the report:
Background information on Parliamentary financial oversight in Georgia
Effectiveness of the financial oversight in the Parliament
Capability of Parliamentary officials and MPs involved in the financial oversight
Achieving permanent change
Information about the partner organization
PMCG together with GIPA is awarded USAID project to improve Public Policy Discourse in Georgia
A consortium of PMCG and Georgian Institute of Public Affairs (GIPA) (lead company) will implement the USAID supported project “Improved Public Policy Discourse”.
Start Date: November 2009End Date: July 2011Country: GeorgiaClient: USAID CaucasusDevelopment Partner: USAID Caucasus
Description of the Project:
USAID Caucasus office has awarded the PMCG/GIPA consortium with the Improved Public Policy Discourse project which will start in November 2009.
The principal strategic focus of the project’s activity is to increase the quality and quantity of the discourse of public policy alternatives in Georgia and to foster a more pluralistic and higher quality exchange of ideas and to promote more active engagement of Georgian citizens in public policy discussions. Project may need to address capacity-enhancing measures, but the main focus should be on tangible and measurable accomplishments consistent with the purpose of this program “quality discourse on public policy issues in a manner that minimizes politicization”.
The goal of these interventions is to engage the GOG, think tanks, and research or civil society institutions in public policy discussions based on unbiased, fact-based information obtained through high quality research and analysis, and to communicate this information to the public. The end result would be to maximize the involvement and expertise of Georgian organizations and institutions, and to foster relationships and partnerships among these entities in the process of public policy discourse. The following is a list of illustrative activities that might be considered:
Increasing interaction between policy researchers/analysts and policy-makers;
Building working partnerships among think tanks, media, government, and civil society organizations;
Producing fact-based content that examines, explains, debates, and informs public policy discussion;
Utilizing policy experts and analytical studies in content creation;
Creating user-friendly interpretations of research data;
Organizing moderated policy discussions for policy-makers and the public; and
Linking research institutions and media outlets to jointly produce and disseminate information.
The main services will be:
To develop quality assurance system for Policy Products (Policy Papers and/or Policy Briefs);
To develop a system of policy dissemination by utilizing traditional (TV, radio, newspaper) as well as modern technologies (internet forum);
To further enhance the existing Policy Forum practice (already set up within the "Public Policy Discussion Panel and the Internet Forum" program framework) through expanding discussed policy issues and target audience;
To foster partnership among Georgian state and non-governmental actors while being enrolled in public policy discourse.
Michael Parry Consulting together with PMCG organized a workshop in the Ministry of Finance of Georg
For the purpose of discussing and commenting on the first report the International Public Sector Accounting Standards (IPSAS) was dedicated to the analysis and appraisal of the existing accounting and reporting methodology and the review of regulations, prepared by Michael Parry Consulting together with PMCG, and a workshop was conducted for the Treasury Service of the Ministry of finance of Georgia on 15th September 2009.
The overall objective of the project is to assist the Treasury Service of the Ministry of Finance of Georgia to conduct a study on the accounting system with the objective of implementing the International Public Sector Accounting Standards (IPSAS).
The workshop was divided in two main parts: the overview and summary of the Value Added of IPSAS (report1); and discussing the decision making issues related to and dependent on government of Georgia. The workshop identified several problems and proposed several solutions with comprehensive arguments supporting them. The topics of discussion included IPSAS coverage, the consolidation issues, compatibility with GFS 2001 and other key concerns related to the implementation process of IPSAS.
The workshop also commented on the implementation plan durations, starting and finalizing dates and, as a result, the plan was amended to better fit the feasibility of the implementation and requirements of the ministry.
The participants who presented at the workshop and were actively involved in the discussions were:
Deputy Head of Treasury: Nino Tchelishvili
Deputy Head of Treasury: Giorigi Barbakadze
Deputy Head of Financial Policy Department: Fridon Aslanikashvili
Head of accounting and reporting department: Zurab Tolordava
Head of accounting Methodology division: Lela Pataraia
PMCG has implemented the “Health and Transport Sectors Study” project supported by the Japan International Cooperation Agency (JICA).
Start Date: July 2009End Date: August 2009Country: GeorgiaClient: ExeideaFunding Agency: Japan International Cooperation Agency
Within the framework of the project entitled "Study for Reconstruction Needs Assessment of Georgia", funded by the Japan International Cooperation Agency, the Exeidea, a Japanese consulting company, contracted out PMCG to conduct the research and draft reports on the health and transport sectors.PMCG’s work scope covered, but was not limited to:
Gathering statistical data and draft the health and transport sectors brief;
Identifying the healthcare capacity of Georgia in terms of doctor, nurse, bed availability per population by region or suggesting other measures to present the needs for the improvement of healthcare in rural and mountainous regions of Georgia;
Describing the bottlenecks and solution for the privatization of healthcare and assess the possibility of loan assistance to revitalize the sector;
Analyzing the capacity of the airport and seaport sectors, including the sector overview in terms of existing infrastructure, operations, and concerned agencies; identifying the main issues and the main needs (investment gaps) of the sector; summarizing the activities of major donors who are assisting the sector; and providing a list of on-going projects.
Providing general advice to the JICA Study Team on where information can be collected to carry out various sector analyses.
PMCG together with Michael Parry Consulting (UK) is implementing project at the Ministry of Finance
Michael Parry Consulting (MPC) and PMCG are implementing the project at the Treasury Service of the Ministry of Finance, "??Assistance to the Treasury Service of the Ministry of Finance of Georgia in the development of a detailed work plan for transition to International Public Sector Accounting Standards"?.
PMCG and WYG International Conducted a 2 Day Conference in Batumi
To finalize the Public Sector Financial Management Reform Support Programme implemented by PMCG together with WYG international, a 2 day Conference was conducted on the key final recommendations of PFMS in Batumi on 18-19 July 2009.
The primary purpose of this project was to assist the Ministry of Finance (MoF) in implementing the strategic directions set for the modernization of the Public Financial Management (PFM) system in Georgia by developing the applications, hardware and communications functional requirements for the implementation of an integrated Public Finance Management System (PFMS) based on the best practices.
The seminar described the work which was done by PMCG and WYG consultants, in terms of presenting the key recommendations, explaining the reason for each one and identifying the recommended application software and/or technology associated with each, where applicable.
The seminar presented the key recommendations of:
PFMS Operational Concept Document
Information systems that support PFMS
Communications systems to support PFMS
The stakeholder organizations presented on the Conference were:
The Ministry of Finance of Georgia;
The Treasury Service of the Ministry of Finance of Georgia
The Revenue Service of the Ministry of Finance of Georgia;
The General Inspection of the Ministry of Finance of Georgia;
The Chamber of Control of Georgia
The National Bank of Georgia
The Association of Young Lawyers
The Institutional Building Development Project Implementation Unit in Georgia
The U.S.A. Treasury
The Economic Policy Research Center (EPRC)
Other Non-Governmental Organizations
PMCG, along with UK-based consulting company Oxford Policy Management (OPM), conducted first workshop on health promotion strategy.
Since April 2009, a consortium of PMCG and UK-based consulting company Oxford Policy Management has been implementing the EC funded project “Technical Assistance for Further Development of a National Health Promotion Strategy and a Prioritized National Health Promotion Action Plan, Georgia".
This project brought about the notion of a comprehensive health promotion strategy and prioritized health promotion action plan which will subsequently be developed. Working group for creating health promotion strategy was created and first meeting was held on 11 June 2009.
The workshop was led by International Public Health consultant Mr. Philip Milner. Among the participants in the workshop were representatives of Ministry of Health Labor and Social Affairs, international organizations, local NGOs and other organizations involved in the health sector.
During the workshop participants were presented and agreed on a strategy aim, principles, strategy objectives and specific actions for health promotion. The next step will be the preparation of the first draft of a health promotion strategy.
PMCG is implementing Japan International Cooperation Agency’s(JICA) project “The Country Profile for Georgia”.
Start Date: May 2009End Date: October 2009Country: GeorgiaClient: Japan International Cooperation Agency Funder: Japan International Cooperation Agency
Description of the Project:
In line with this foreign policy of the Government of Japan, the Japan International Cooperation Agency (JICA), official development assistance (ODA) organization of Japan, has decided to facilitate identification and implementation of development projects in the South Caucasus. To enable and strengthen such facilitation of Japanese ODA, JICA has contracted PMCG to collect data and information on Georgia, analyze/assess those data and information and prepare a draft which will be input to or the basis of the final Country Profile for each Caucasian Country.
The Country Profile for Georgia will include assessments on, among others:
general information of the country (area, population, socio-economic situations, and others);
recent economic/social/political development;
government structure, particularly involving in development projects and the assessments of their capability;
government debt-servicing position;
government development strategy and plan;
major sectors profile;
development projects planned and their status in major sectors; and
PMCG, as part of a consortium led by B&S Europe under the EU’s SIEA Framework Contract Lot 3, together with Evoluxer S.L., has recently started working on a mid-term evaluation of ten projects, conducted by the EU during 2017-2020 concerning comprehensive reform of public administration in Ukraine.
On July 9, Georgia’s Digital Transformation Consortium, initiated by Georgia’s large- and medium-sized IT and consulting companies and serving as an open and collaborative platform based on a public-private partnership model, was signed by about 40 representatives of the IT industry, consultants, academics, and industry associations at Georgia’s Innovation and Technology Agency (GITA).
We are working to contribute to the promotion of equal-opportunity access to employment and relevant skills training for both women and men under the European Bank for Reconstruction and Development (EBRD) Bakuriani Municipal Services Project - Inclusion & Gender Consultancy.
We recently launched a new project, aiming to strengthen knowledge and capacities regarding the design and implementation of free trade agreements (FTAs) of all countries of the Central Asia Regional Economic Cooperation (CAREC) program, which represents a partnership of 11 countries (Afghanistan, China, Azerbaijan, Georgia, Kazakhstan, Kyrgyzstan, Mongolia, Uzbekistan, Turkmenistan, Pakistan, and Tajikistan) and development partners working together to promote development through cooperation, leading to accelerated economic growth and poverty reduction, guided by the overarching vision of “Good Neighbors, Good Partners, and Good Prospects.”
In 2021, unemployment remains an unresolved obstacle for the Georgian economy and society’s most pressing problem. Over the years, diverse public opinion polls have indicated that unemployment is the most important issue at national level. For instance, in 2020, according to a public attitudes poll conducted by the National Democratic Institute, for 46% of respondents, the main challenge they were facing was unemployment.This issue focuses on changes in unemployment trends in Georgia in the period of 2017-2020 and provides an analysis of the effects of the COVID-19 crisis on unemployment in the country.
The wine industry in Georgia has experienced strong growth over the past decade in all key indicators such as exports, turnover, and employment and salaries (measured both in GEL and in USD). The financials of the sector have also looked impressive during this time.
The number of international travelers increased by 294.2% in June 2021 compared to the same period of 2020, and declined by 82.1% compared to the same period in 2019. Meanwhile, the number of international visitors increased by 286.8% (2021/2020) and declined by 79.8% (2021/2019), and the number of international tourists increased by 361.6% (2021/2020) and declined by 71.7% (2021/2019);
In June 2021, the number of visitors from Israel, Ukraine and Kazakhstan recovered to approximately 75% of their June 2019 levels;
During the period of 2018-2021, average hotel prices in Georgia peaked in 2018, gradually falling in 2019 before plummeting in 2020;
Prices of 5-star hotels experienced the highest volatility, while the prices of guesthouses were most stable;
In June 2021, the Hotel Price Index increased by 1.5% compared to the corresponding month of 2019, mainly driven by positive expectations about tourism’s recovery, as well as the low base effect due to the shock (Russian flight ban) in June 2019.
In Georgia, the average cost of a room in a 3-star hotel was 136 GEL per night in June 2021, while the average cost of a room in a 4-star hotel in Georgia was 243 GEL per night and the average cost of a room in a guesthouse was 81 GEL per night. The average cost of a room in a 5-star hotel in Georgia in June 2021 was 496 GEL per night. In Guria, the average price was 739 GEL, followed by Tbilisi - 644 GEL, Kakheti - 470 GEL and Adjara – 457 GEL.
The COVID-19 pandemic and the subsequent Great Lockdown have affected investment flows all over the globe, especially in emerging markets. According to UNCTAD, global Foreign Direct Investment (FDI) flows dropped by 35% in 2020, to $1 trillion, from $1.5 trillion in 2019. This is almost 20% below the 2009 levels after the global financial crisis. Moreover, the number of newly announced greenfield projects in developing countries declined by 42% in 2020 compared to 2019. To assess the impact of the crisis on the FDI flows in Ukraine, it is crucial to have a snapshot of the pre-crisis situation along with developments in 2020.
This bulletin focuses on remittance inflows into Georgia in 2020 and its development in 2021.
The social and economic stability of Georgia strongly relies on the money sent from emigrants to their families. Based on World Bank Data, in 2019, in terms of dependence on remittance inflows, Georgia ranked 21st in the world, with remittance inflows to GDP ratio. Moreover, the study conducted by the State Commission on Migration Issues revealed that in 2016 money sent by every second emigrant to their families accumulated half or 3/4 of family budget, and for the 15% of families remittance was the only source of income in Georgia.
The COVID-19 pandemic and imposed restrictions hindered economic activity in nearly every country, resulting in a negative effect on wages and employment for migrant workers and consequently, drying up of remittance inflows. In 2020 due to the emerged crises and uncertain situation, the World Bank projected shrinking remittance flows for low and middle-income countries by 7.2%3, while the IMF forecasted a 15%4 decline for Georgia. However, despite the crisis and pessimistic predictions in Georgia, the volume of remittance inflows in 2020 compared to 2019 has increased by 8.8% and reached the highest figure in the past decade - 1.9 BLN USD, amounting to 11.9%, expressed as a percentage to GDP.
According to this survey of Georgian economists, the economic climate in the country in the second quarter of 2021 is better than the first quarter of the same year. Georgian economists’ assessment of the current situation has improved, compared to the previous quarter and corresponding quarter of 2020, but nevertheless remained negative. The economists’ predictions for Georgia’s economic situation for the next six months were also negative. Their expectations for this period improved though, compared to their predictions in the first quarter of 2021, and were considerably more optimistic than the forecasts they made at the same time last year.
The number of international travelers increased by 141.6% in April 2021 compared to the same period of 2020, and declined by 86.8% compared to the same period in 2019. Meanwhile, the number of international visitors increased by 140.4% (2021/2020) and declined by 85.0% (2021/2019), and the number of international tourists increased by 182.2% (2021/2020) and declined by 78.2% (2021/2019);
The number of visitors to Georgia from Israel in April 2021 recovered to 70% of its April 2019 level, with its share in total visitors amounting to 12.2%;
Georgia’s four neighboring countries accounted for 71% of total visitors in 2019. None of these countries had vaccinated more than 20% of their population as of May 23, 2021;
Some countries that stand out for their high vaccination rates among Georgia's key source markets include Israel (63% of the population), United Arab Emirates (61%), the United Kingdom (56%), Hungary (52%), the United States (49%), and Finland (41%). Most EU countries have a rate of around 30-40%;
In April 2021, the Hotel Price Index decreased by 2.3% compared to the corresponding month of 2019, mainly driven by a price decline of 27.4% in Adjara.
In Georgia, the average cost of a room in a 3-star hotel was 132 GEL per night in May 2021, while the average cost of a room in a 4-star hotel in Georgia was 246 GEL per night and the average cost of a room in a guesthouse was 82 GEL per night. The average cost of a room in a 5-star hotel in Georgia in May 2021 was 402 GEL per night. In Guria, the average price was 600 GEL, followed by Tbilisi - 509 GEL, Kakheti - 432 GEL and Adjara – 391 GEL.
The research objectives are to examine the challenges that exist in the civil servants’ professional development system, in general, explore barriers specifically associated with the shift to online learning, assess the readiness of civil servants for online training, and develop recommendations to increase the effectiveness of remote teaching.The research methodology is based on a mixed-method design and combines qualitative and quantitative approaches: analysis of the existing documents, interviews with key informants, focus group discussions, and a computer-assisted telephone survey that is representative for professional civil servants working in the councils and town halls across the country. In order to provide in-depth analysis of the issue, the research draws on the perspectives of multiple stakeholders, including civil servants as well as representatives of the Civil Service Bureau, international organizations, and training centers.