PMCG founder visits ECORYS head office in Rotterdam
In September 28-30 PMCG founder Mr. Aleksi Aleksishvili visited ECORYS, the leading public policy consulting company in Holland
ECORYS is the most advanced public policy consulting company in Holland and the main aim of Mr. Aleksishvili’s visit was to learn from ECORYS’ experience and to establish business contacts with this company.
ECORYS is an international group of companies specialising in economic and social development. It works with clients in the public, private and not-for-profit sectors to apply its expertise to improve the economic and social conditions in various countries.
ECORYS’ slogan - sound analysis, inspiring ideas - indicates clearly the company’s ability to translate the results of rigorous analysis and the latest research into creative, practical advice. To a strong track record in applied economic research and consulting ECORYS has added services in programme management, communication, ICT applications and legal advice. The ECORYS Group has 20 operating companies and over 560 staff to serve the interests of clients.
During the visit, Mr Aleksishvili met with the management of the company, and consultants of the following units:
Macro & Sector Policies
Sector Region, Strategy & Entrepreneurship
Environmental & Natural Resources
PPP and Financial Advisory Services
The plan of ECORYS/PMCG future relations was established and it will cover regional collaboration and PMCG participation in ECORYS framework contracts.
PMCG has become the member of French Business Council- Georgia
On 6 August, 2008 the board of the French Business Council- Georgia approved PMCG’s membership in their organization. The FBC- Georgia has been setup to foster business relationship between France and Georgia.
Goals and objectives of the FBC- Georgia are:
To constitute a platform of communications between the two countries
To promote trade, commercial partnerships and French investments
To collect and provide economic/financial information, statistics and guidance
To act as business consultant or advisor for French investors
To organize, promote, sponsor commercial events in France and Georgia
To liaise with other organizations ICC, EUGBC, MEDEF, CCE, CCIs
The president of The FBC- Georgia is Mr. Gilbert Hie – CEO of Bank Republic, Societe Generale Group.
The FBC– Georgia’s founders are Bank Republic JSC, Sen Michel LTD, GWS LTD, Castel Sakartvelo LTD, GG &MW (Borjomi) LLC, Georgian Properties LLC, Agritechnics Holding LLC, Georgian Chamber of Commerce and Industry, Chamber of Commerce and Industry of Meurthe et Moselle (France).
According to the contract, PMCG will prepare budget management system explanatory documentations for the Ministry of Defense of Georgia.
Start Date: July 2008End Date: August 2008Country: GeorgiaClient: Ministry of Defense of GeorgiaFunder: UGT
Description of the Project:
UGT is implementing a significant project to modernize ICT infrastructure for the whole system of the Ministry of Defence and they have contracted PMCG to prepare a budget management system explanatory documentation for the Ministry of Defense of Georgia. This covers the following activities:
Defining existing budgetary procedures and setting additional requirements for a desirable system in the Ministry of Defense of Georgia;
Rechecking the existing processes and desirable future processes relevant to the legislation and, if needed, to offer the recommendatory amendments to the Ministry of Defense of Georgia;
Presenting information obtained in the form of documentations which will have the following subtitles:
The goal of the document;
Description of the working activities to create documentations;
General description of budget management system;
Organizational structure of the Ministry of Defense of Georgia involved in the budgeting system;
Existing business processes (presented in graphical and textual forms, describing for each unit of the Ministry of Defense of Georgia);
The desirable future business processes for the Ministry of Defense of Georgia (presented in graphical and textual forms).
Policy and Management Consulting Group joins ICC-Georgia
On June 4 the PMCG, represented by Mr. Aleksi Aleksishvili, became the latest business group to join the International Chamber of Commerce-Georgia.
Mr. Aleksishvili, who has held several government positions in addition to the post of Finance Minister, will chair ICC-Georgia's Commission on Customs and Trade Regulations.
This commission is one of more than a dozen expert commissions chaired by leading members of Georgia's business community.
The input of Mr. Aleksishvili and other respected figures is a key part of what makes ICC-Georgia the country's most dynamic and representative business chamber.
"I am proud to welcome Policy and Management Consulting Group to our business organization, and very pleased that Mr. Aleksishvili will helm one of our expert committees," said ICC-Georgia Board Chairman Fady Asly.
"Mr. Aleksishvili's formidable experience in business and government will be invaluable in promoting our members' interests in customs and trade regulation."
ICC-Georgia is the Georgian national committee of the International Chamber of Commerce, a global business organization which unites hundreds of thousands of member companies from over 130 countries into a representative body which speaks with authority on behalf of businesses worldwide.
The PMCG is undertaking business analysis for the TAM AIR airlines
A group of consultants from PMCG is undertaking business analysis for TAM AIR airlines in order to prepare the company’s business development strategy.
The project was recently approved by the EBRD’s BAS program and awarded a grant in the amount of EUR 9000. PMCG and TAM AIR airlines intend to apply for the EBRD’s TAM (TurnAround Management) program as the next step for the company’s management to acquire new business skills and receive hands on assistance from the industry specific management experts. It is expected that an advisor will be appointed in October 2008 to work with management of TAM AIR airlines for 18 months on a peripatetic base.
The BAS Program, administered by the TurnAround Management and Business Advisory Services Program Team at the European Bank for Reconstruction and Development, has been established in order to assist the development of small and medium-sized enterprises. The BAS Program has gained considerable experience in providing practical business advice in many countries, and BAS Programs have had a broad impact on developing the critical SME sector supporting over 3,000 advisory projects with enterprise clients so far.
PMCG and ERP (Lithuania) are jointly applying for the WB funded project in public finance “Updating integrated budgetary/financial reporting system for the Ministry of Finance of Georgia”.
Start Date: January 2009End Date: July 2010Country: GeorgiaClient: Municipal Development Fund of GeorgiaFunder: The World Bank
Description of the Project:
PMCG and ERP consortium had expressed their interest in the above mentioned project.ERP is a management consulting company, established in Lithuania in 2002, serving clients in both public and private sectors. It provides business and technology strategy, education, systems design, architecture, technology innovation, applications implementation, systems integration and management services. ERP has expanded its operations to cover all Baltic States, Finland, Ukraine, Belarus, the Russian Federation, Kazakhstan and Georgia.
The Government of Georgia has applied for financing from the IDA toward the cost of the Regional and Municipal Infrastructure Development Project (RMIDP), and intends to assign part of the proceeds to a consultant services contract to update the integrated budgetary/financial reporting system for the Ministry of Finance of Georgia. The overall objective of the proposed services is to improve the budget-financial base of the territorial entities (in respect of expenditures) and administration of municipal budgets through the updated program - based on the new classification (Government Finance Statistics Manual - GFSM 2001).
Applying to the above mentioned project, the consortium plans to coordinate PMCG’s knowledge of Georgian public sector and ERP’s experience in ICT. PMCG and ERP consortium’s combined key professional staff required for this assignment are experienced in the elaboration of budget programs, legal framework, and collaboration with the local institutions.
PMCG established consortium with WYG International (UK)
In June 2008, The consortium of PMCG and WYG International are jointly participating in the WB funded project “Preparation of the functional and technical design of the Public Financial Management System (PFMS) for the structural units of the Ministry of Finance of Georgia”.
Start Date: September 2008End Date: February 2009Country: GeorgiaClient: Ministry of Finance of GeorgiaFunder: The World Bank
Description of the Project:
The project will be conducted by PMCG and WYG International consortium. The latter is an international multi-disciplinary consultant with over 3000 staff located in more than 30 offices providing a comprehensive and co-ordinated range of high quality socio economic, planning, environmental, engineering, surveying and management services to a diverse range of clients in the public and private sectors.
The project first arose in 2006 when the Ministry of Finance of Georgia endorsed the Strategic Vision for Public Financial Management Reform. This document presents a diagnosis of the challenges faced by the Georgian Government in public financial management and provides directions for implementation of this vital reform. Strengthening budgeting, accounting and reporting mechanisms and practice is one of the key elements of this Strategic Vision.
In order to realize this Vision, that intends to develop, procure and implement an integrated Public Financial Management System (PFMS). To assist in the PFMS functional and technical design and preparation of technical requirements PMCG and WYG International consortium will provide advisory services covering all important aspects of the PFM cycle (i.e. budget preparation and execution, cash and debt management, loan management and restructuring, revenue planning model, treasury operations, public accounting, financial reporting, procurement, human resources management, payroll calculations, financial control and auditing) and related Information and Communication Technology (ICT) solutions.
PMCG founder mr. Aleksi Aleksishvili announces customs training program for businesses
Mr. Aleksi Aleksishvili presented a new program to train businesses to navigate Georgia's customs regulations at a roundtable meeting for the International Chamber of Commerce-Georgia (ICC-Georgia) on June 19 at the Tbilisi Marriott.
Former finance minister Aleksi Aleksishvili said the program and accompanying training center will facilitate international trade and business activities. The program will give instructions on Georgian financial legislation and procedures, including customs and tax rules. It will also study problems frequently encountered by Georgian businesses. Fady Asly, chairman of ICC-Georgia and an investor in this newspaper, said the program will help businessmen to remedy the headache of unnecessary papers by sharing the easiest ways to navigate tax and customs operations. Aleksishvili said the center’s instructors would be chosen for their rich practical and theoretical experience. The focus will be on an international software format which allows businesses to fulfill customs responsibilities from offices, he said, avoiding extra time and expenses on mediators.
Aleksishvili said the course will be very flexible in timing and price; the project has USD 80 000 in funding for its first year, according to the ex-finance minister, with several other sources of funding interested in sponsoring the center. Aleksishvili of PMCG, one of the most recent business groups to join ICC-Georgia said that he did not want to enter ICC with nothing to propose, and made the training center his first project as an ICC-Georgia member. ICC-Georgia is the national committee of the International Chamber of Commerce, a worldwide business organization with its headquarters in Paris.
PMC- Group and BCNG implemented the Georgia's confectionery market research
Upon reaching a private agreement PMCG and partner consulting company “BCNG” undertook research into Georgia’s chocolate market.
Start Date: May 2008End Date: June 2008Country: GeorgiaClient: Foreign Private Company Funder: Foreign Company
PMCG used official data as well as data obtained from the market survey whilelocal production foreign indexes have been studied and analyzed. The survey covered the period 2005-2007. For each year we described the market in details, based on production, variety,, and by foreseeing importer and exporter countries.
At the request of Eurotechnics Ltd, PMC- Group implemented the market research of electronics in
PMCG implemented market research into electronics in Georgia.
Start Date: June 2008End Date: June 2008Country: GeorgiaClient: “Eurotechnics” Ltd
PMCG implemented the market research of electronics in Georgia based on foreign trade data studied and analyzed from 2006 to 2008 first quarter period. Monthly information was produced by the following breakdown: geographically, in types of electronics, in value and quantity. Common tendencies and future perspectives have been analyzed and submitted to the client.
PMCG is launching a new EU-funded project entitled “Support to Security Sector Oversight Bodies in Georgia” as part of an international consortium led by B&S Europe, in the course of the “EU for Security, Accountability and Fight against Crime in Georgia (SAFE)” program. With an expected duration of three years, the project aims to consolidate and strengthen the role and activities of independent oversight bodies in Georgia in line with best EU and international practices.
We are continuing to contribute to regional infrastructure development, which is essential to any country’s overall economic development. With this in mind, recently, we launched a new project, working together with the United Water Supply Company of Georgia (UWSCG) to provide construction supervision services with respect to rehabilitation and construction works in the water supply system in the city of Telavi in Georgia.
At PMCG, we know that supporting young people in their development is key to securing an effective and sustainable future for the country as a whole. Moreover, we are certain that youth play a crucial role in ensuring progress, especially in developing countries. Accordingly, we have long been empowering young people by assisting them to obtain high-quality education, and we continue to do so.
Between July 27 and August 8, a mission from PMCG headed by Mr. Vakhtang Lashkaradze and Mr. Givi Nadiradze, with the purpose of enhancing trade facilitation through advancing border management and customs policies, visited Uzbekistan where they participated in 18 separate meetings with various departments of the State Customs Committee of Uzbekistan, as well as leading representatives of the private sector. In addition, they visited all types of customs checkpoints in Tashkent and the surrounding region, and conducted capacity-building training sessions as well.
We recently launched a summative evaluation of the 5-year Canada-Ukraine Trade and Investment Support (CUTIS) Project, aiming to share results achieved by the project with key stakeholders, and enhance future possible programming in the economic growth sector by recommending how to strengthen the involvement of Ukrainian small and medium-sized enterprises (SMEs) in trade and investment.
Poverty alleviation remains one of the biggest challenges for the world, including Georgia. Methods applied to determine the poverty rate vary from country to country, so in order to gain a broad understanding of the current situation regarding poverty in Georgia at the international level, it is important to take into account a variety of indicators. In 2020, GDP per capita in Georgia amounted to 4279 USD, ranking it 122nd in the world and 3rd among Eastern Partnership (EaP) countries. Meanwhile, the Human Capital Index (HCI) calculates the contributions of health and education to worker productivity with Georgia scoring 0.57 in 2020, ranking 85th out of 174 countries world and having the lowest score among EaP countries.Multidimensional poverty encompasses various forms of deprivation experienced by poor people such as poor health, lack of education, inadequate living standards, poor quality of work and the threat of violence. In 2019, 3.8% of the population in Georgia was multidimensionally poor, ranking 57th out of 120 countries in the world and first among EaP countries. The Gini Index measures income distribution within a society. In 2021, Georgia scored 36.4 on the Gini Index, ranking 76th out of 165 countries and having the highest inequality rate among EaP countries. In terms of life expectancy, in 2020 average life expectancy in Georgia was 74.2 years, ranking it 101st in the world and 3rd among EaP countries. Taking into account these indicators, Georgia, on an international level, is an upper-middle-income country with moderate rates of inequality and life expectancy. Due to its poor educational and healthcare systems, Georgia has been unable to mobilize its human capital to achieve a higher level of economic development.
Total trade turnover in Ukraine amounted to 61.2 bln USD, marking an increase of 14.07 bln USD (29.9%) compared to the corresponding period of 2020;
Ukrainian exports increased by 7.01 bln USD (30.6%) compared to the corresponding period of 2020, while Ukrainian imports increased by 7.06 bln USD (29.2%);
Compared to the corresponding prepandemic period of 2019, Ukrainian exports increased by 5.5 bln USD (22.3%), while its imports increased by 3.01 bln USD (10.7%);
Ukraine’s trade deficit amounted to 1.3 bln USD, which represents a 0.02 bln USD (1.5%) decrease compared to the corresponding period of 2020;
Ukraine’s main trade partners were China, Poland, and Germany, with shares in total trade volume of 14.5%, 7.6% and 6.5%, respectively. Ukraine’s main export partners were China (14.3% of total exports), Poland (7.9%), and Turkey (6%). Meanwhile, its main import partners were China (14.6% of total imports), Germany (8.9%), and Russia (9.1%);
54.4% of Ukrainian exports were concentrated among its top ten partners, while imports were slightly less diversified with the top ten partners responsible for 63.7% of total imports;
Compared with the corresponding period of 2020, a 24.3% decrease in trade turnover with Russia was observed, while significant 33% and 40.6% increases were recorded in the cases of China and the EU.
The poultry sector in Georgia enjoyed stable growth between 2007 and 2020 (i.e. since the global outbreak of bird flu had abated in 2006). The sector is the only agricultural sector to contribute VAT payments to the Georgian economy. The sector, as well as most other sectors of the economy, has been affected by the country’s move toward approximation with European standards, especially in recent years. This issue is largely based on the "Poultry Cluster Diagnostic Study in Kvemo Kartli Region," published by PMC Research Center, for United Nations Industrial Development Organization (UNIDO) under the “EU Innovative Action for Private Sector Competitiveness in Georgia (EU IPSC).” Find the full publication here: https://bit.ly/3kSILkL
The number of international travelers increased by 538.3% in August 2021, compared to the same period of 2020, and declined by 77.3% compared to the same period in 2019. Meanwhile, the number of international visitors increased by 510.5% (2021/2020) and declined by 75.5% (2021/2019), and the number of international tourists increased by 615.2% (2021/2020) and declined by 67.2% (2021/2019);
Tourists coming to Georgia have customarily originated from a small concentrated selection of countries. Specifically, in 2019, 71.4% of all international visitors to Georgia came from its four neighboring countries. However, in August 2021, the corresponding proportion amounted to just 40.8%, mostly due to an increase in the number of visits from Ukraine, Saudi Arabia, Belarus, and Kazakhstan;
Targeting tourism markets with potential for expansion could be a fruitful approach in Georgia’s economic recovery as the pandemic eventually subsides. In particular, China, with an average growth rate in its number of visitors to Georgia of 54% over 2015-2019, and Kazakhstan, with a corresponding indicator at 36%, stand out as promising markets.
In Georgia, the average cost of a room in a 3-star hotel was 151 GEL per night in August 2021, while the average cost of a room in a 4-star hotel in Georgia was 268 GEL per night and the average cost of a room in a guesthouse was 95 GEL per night. The average cost of a room in a 5-star hotel in Georgia in August 2021 was 514 GEL per night. In Guria, the average price was 807 GEL, followed by Tbilisi - 604 GEL, Adjara - 570 GEL and Kakheti – 546 GEL.
According to this survey of Georgian economists, the economic climate in the country in the third quarter of 2021 has improved compared to the second quarter of the same year. Georgian economists’ assessments of the current situation have generally improved, compared to the previous quarter and the corresponding quarter of 2020, but nevertheless remain negative. The economists’ predictions for Georgia’s economic situation for the next six months were also negative. Indeed, their expectations for this period deteriorated slightly, compared to their predictions in the second quarter of 2021 and the forecasts they made in the third quarter of last year.
The COVID-19 pandemic continues to represent a major economic shock, causing considerable inflation volatility. The pandemic has been responsible for a substantial decline in inflation rates over the course of 2020 globally. However, this trend underwent a significant reversal in the first half of 2021. In this issue, we overview inflation trends in Ukraine prior to and during the COVID-19 crisis.
This quarterly report provides an analysis of economic trends, as well as denoting the challenges and opportunities (in local, regional, and global contexts) across selected value chains within six sectors to improve evidence-based decision-making through the provision of quality information and analytics. The specific sectors are tourism, creative industries, light manufacturing, shared intellectual services, waste management and recycling, along with cross-cutting sectors. The analysis tracks trends from the first quarter of 2021.Please find the full publication in English and the executive summary of the report in Georgian.
This quarterly report provides an analysis of economic trends, as well as denoting the challenges and opportunities (in local, regional, and global contexts) in the selected value chains within six sectors to improve evidence-based decision-making by providing quality information and analytics. These specific sectors are tourism, creative industries, light manufacturing, shared intellectual services, waste management, and recycling, along with cross-cutting sectors. The analysis tracks trends from 2016 to December 31, 2020.Please find the full publication in English and the executive summary of the report in Georgian.
This quarterly report provides an analysis of economic trends, as well as denoting the challenges and opportunities (in local, regional, and global contexts) in the selected value chains within six sectors to improve evidence-based decision-making by providing quality information and analytics. These specific sectors are tourism, creative industries, light manufacturing, shared intellectual services, waste management and recycling, along with cross-cutting sectors. The analysis tracks trends from 2014 to the third quarter of 2020. The following is a synopsis of the findings for this quarter: Tourism (accommodation, catering, adventure tourism, gastronomic tourism, and cultural tourism); Creative industries (media content production and post-production, and artisan); Light manufacturing (furniture, packaging, construction materials, personal and protective equipment (PPE), and wooden toys); and Solid waste management and recycling.
Please find the full publication in English and the executive summary of the report in Georgian.