PMCG won UNDP funded project ‘Study of the data management practices at municipal and regional level”.
Start Date: November 2008End Date: March 2009Country: GeorgiaClient: UNDP Office in GeorgiaFunder: UNDP
Description of the Project:
The objective of the study is to analyze data collection and management processes and practice in municipalities, at Regional Office of the Governor and relevant ministries; analyzing data sharing practice between central, municipal and regional level including screening legal environment and institutional/administrative systems; identifying major obstacles in data management system that hinder the improvement of the efficiency of municipal socio-economic planning and service delivery as well as coordination of regional development; study should lead to elaboration of package of recommendation that can improve data management systems at municipal and regional level.
Improved regional governance: Increased capacity of the regional government to coordinate and facilitate the formulation and implementation of the regional development strategy and plans;
Improved local governance: Improved capacity of municipality officials to streamline administrative procedures and systems for efficient delivery of public services;
Secure policy mainstreaming of the project’s experience: Policy experience of the project is documented. Attempts taken in ensuring that the experience of the project is utilized by other districts in the country, as well as by policy makers at the national level.
Types of Services Provided:
To screen existing practices of data collection, analysis and storing mechanism at national, regional and municipal level;
To analyze types of data required for efficient municipal socio-economic planning and service delivery, as well as coordination of regional development;
To undertake research and find out best practices supported\practiced within Georgia or other countries;
To define clear steps in making improvements at regional and municipal level (including but not limited to human resources/hardware management) and recommend the concrete activities to be undertaken by the Kvemo Kartli project.
PMCG registered at the World Bank database of consulting companies
PMCG has registered at DACON which is a database of consulting companies maintained by the World Bank and the Inter-American Development Bank (IADB). The DACON database includes companies working on development projects worldwide and will help PMCG to increase its profile for potential clients. At DACON, everyone can browse companies and access their registration profiles and information about their past projects; search for companies by country, sector, size and keywords. Information on PMCG can be easily found via the following link:
PMCG together with ECORYS is implementing the project for the Ministry of Justice of Georgia
Holland-based public policy consulting company ECORYS and PMCG have jointly proposed for the project “Support to the Economic Department of the Ministry of Justice of Georgia”.
Start Date: November 2008End Date: August 2010Country: GeorgiaClient: Ministry of Justice (MOJ)Development Partner: Delegation of the European Commission to Georgia and Armenia
Description of the Project:
ECORYS is the most advanced public policy consulting company in Holland. It is an international group of companies specializing 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 to the various countries. ECORYS™ slogan-sound analysis, inspiring ideas-indicates clearly company’s™ ability to translate the results of rigorous analysis and the latest research into creative, practical advice. To an already 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.
PMCG, together with ECORYS, is implementing the project that will provide support and assistance to the staff of the Economic Department and the service delivery departments in budget preparation, execution and reporting. This project, Support to the Economic Department of the Ministry of Justice of Georgia, Project number 165436, is part of a targeted program of assistance in financial management reform in five key line ministries, that is, the Ministry of Justice, the Ministry of Health, the Ministry of Agriculture, the Ministry of Education and the Ministry of Culture.
The Support to the Economic Department of the Ministry of Justice of Georgia Project will focus on delivering three key outputs. These are: (i) Improved Medium Term Action Plans (MTAP’s™); (ii) Improved output based budgets and financial management reports; (iii) Development of output based budgeting and financial management reports modules for MoJ’s™ ORIS Manager 2 system.
The project will provide support and assistance to the staff of the Economic Department and the service delivery departments in budget preparation, execution and reporting.
The project will assist the Ministry to address most of these challenges:
Output 1 of the project will provide significant technical assistance and support to the Ministry during two budget cycles in reviewing its planning documents in general and its Medium Term Action Plan (MTAP) in particular;
Output 2 of the project will support the staff of the service delivery departments and the Economic Department as they work to improve the Ministry’s™ key performance indicator. Particular attention will be paid to performance indicators relating to quality of services delivered.
The project will also assist in the development of output based budgets and reports rather than the traditional organizational structure budgets;
Output 3 will develop an outputs based budgeting and reporting module for inclusion in the Ministry’s ORIS Manager 2 system;
Output 3 will improve the quality of and facilitate the preparation of Medium Term Action Plans, reports of actual and budgeted services delivery levels and the expenditure incurred in the delivery of those services;
The project does not have the resources to support the development of a credible internal audit system in the Ministry. The Project believes that the Office of the Inspector General does not have the training, equipment, experience or culture required to deliver basic internal audit programs within the timeframe of the project.
PMCG Management attended 2008 Annual Meetings of the International Monetary Fund and the World Bank
On 13-14October, 2008 PMCG Chairman of Board Mr. Aleksi Aleksishvili and Public Sector Consulting Managing Director Mr. Zaza Broladze participated in IMF/WB annual meeting in Washington DC. MPCG representatives discussed the current and potential projects with delegations of developing and transitional countries in which. PMCG has been successfully implementing projects funded by international organizations. The projects generally foresee introduction of successfully lead Georgian structural reforms in these countries.
PMCG’s management also had meetings with leading consulting representatives companies in Washington and New York and discussed the future cooperation plans in the region.
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.
On July 28, PMCG supported a workshop organized by the EU and the Ministry of Environmental Protection and Agriculture of Georgia as part of the project “Support to Environmental Protection and Fight Against Climate Change in Georgia.”
PMCG, as part of an international consortium led by B&S Europe, will begin the implementation of another new EU-funded project entitled “EU for Human Rights: Mainstreaming Non-discrimination Concepts in Legislation” in North Macedonia. The project has an expected duration of one year.
On June 27, David Lezhava, Director at PMCG, and Lasha Mgeladze, Consultant at PMCG, participated in an event entitled “Modeling of Effective Investment Activity in Territorial Communities During the War and in the Post-War Period.”
We recently started working on a new project entitled “Development of Accounting Policy and Related Forms for the Ministry of Education and Science of Georgia and the Sub-Organizations Under its Control and Providing Training of Key Personnel of the Ministry of Education and Science of Georgia,” aimed at introducing the International Public Sector Accounting Standards (IPSAS) to the Ministry of Education and Science (MES) and contributing to better accountability and transparency of its public finance spending.
We recently finished implementing performance management system (PMS) web-application in 23 municipalities of Georgia as part of the UNDP-funded project “Development of Performance Management Systems for Street Cleaning and Waste Management Services in 23 Municipalities of Georgia,” aimed at increasing the effectiveness and efficiency of two crucial municipal services.
In Georgia, the average cost of a room1 in a 3-star hotel was 173 GEL per night in July 2022, while the average cost of a room in a 4-star hotel in Georgia was 276 GEL per night and the average cost of a room in a guesthouse was 118 GEL per night.
The average cost of a room in a 5-star hotel in Georgia in July 2022 was 563 GEL per night. In Guria, the average price was 1001 GEL, followed by Tbilisi - 619 GEL, Adjara - 612 and Kakheti - 522.
In the past few months, significant increases in hotel prices have been evident due to a combination of factors, such as the partial recovery of international tourism, the rapid inflow of Russians, Belarusians, and Ukrainians since the beginning of the war, a higher domestic tourism demand among Georgians, and the increase in prices for essential goods for hotel services.
Macro Overview aims to review the recent trends and developments of the Georgian economy and sets the stage for what is to come in the approaching months.
Macro overview highlights some of the key indicators in Georgian economy such as inflation, economic growth, and employment. It also explores external sector of the economy, overviewing trends in tourism, trade, remittances and FDI.
The publication consolidates and includes analytical pieces from the PMC Research Center’s periodic newsletters, such as economic outlook and indicators series, monthly tourism update, black sea bulletin, employment tracker. It also includes insights about the expectations of businesses and economists about the future of the Georgian economy from our Georgian economic climate and bag indexes.
In June 2022, the number of persons receiving a monthly salary increased by 4.3% compared to the corresponding period of 2021 and by 11.7% compared to the corresponding period of 2020.
According to the BAG Index Survey, overall, in Q2 of 2022, 29.9% of surveyed companies increased their number of employees, 5.6% recorded a decrease, and 64.5% reported no change.
In 2022, from January to June, the total number of vacancies published on jobs.ge amounted to 36,584, which was 51% higher compared to the corresponding period of 2021 and 123% higher compared to the corresponding period of 2020.
In 2022, from January to June, a total of 10,695 vacancies were published in the field of sales/procurement, which was 112% higher than the corresponding period of 2021 and 165% higher compared to the corresponding period of 2020.
Since the outbreak of the war in Ukraine, the border crossing statistics have revealed significant differences in the number of entries and exits by Russians, Belarusians, and Ukrainians. In May 2022, the gap between the number of entries and exits declined significantly with the number of exists increasing significantly for Ukrainians, while in the same month, for Russians and Belarusians, the number of exits exceeded the number of entries.
Since the beginning of the war in Ukraine, travel receipts from Russia have shown a significant increase, while in March 2022 receipts from Belarus experienced a drastic jump of 552% compared to February 2022 and this high level has been maintained for the following three months.
In Georgia, the average cost of a room in a 3-star hotel was 157 GEL per night in June 2022, while the average cost of a room in a 4-star hotel in Georgia was 245 GEL per night and the average cost of a room in a guesthouse was 110 GEL per night. The average cost of a room in a 5-star hotel in Georgia in May 2022 was 519 GEL per night. In Guria, the average price was 702 GEL, followed by Kakheti - 575, Tbilisi - 568 GEL and Adjara - 552.
Poverty alleviation remains one of the biggest challenges for the world, including Georgia. The COVID-19 crisis has worsen the problem as many households’ income shrank even further due to the crisis. For instance, according to a public opinion poll conducted by NDI in 2021, 37% of respondents indicated that poverty was the main issue they were facing. Against this background, we take a closer look at poverty in Georgia and discuss trends and changes therein over the last five years.
In this issue, we overview major economic indicators in the construction sector, construction permits, commercial bank mortgage loans for real estate purchases, and construction-related price indices. In addition to that, the results of the BAG business index survey regarding the sales, sales prices, employment, and factors hindering business activity in the construction sector are also provided.
According to a survey of Georgian economists, the economic climate in the country in the second quarter of 2022 has improved compared to the first quarter of 2022, as well as compared to the second quarter of 2021.
With respect to the covered period, the surveyed Georgian economists positively assessed Georgia’s present economic situation. Meanwhile, in the first quarter of 2022 and in the second quarter of 2021, the assessment of the economic situation for the respective quarters was negative. Thus, in the second quarter of 2022, their assessment of the present economic situation has significantly improved compared to both quarters.
The surveyed economists’ predictions for Georgia’s economic situation for the next six months were also positive. In fact, their expectations were much more optimistic compared to the predictions they made for the next six months in both the first quarter of 2022 and the second quarter of 2021.
In May 2022, the number of persons receiving a monthly salary increased by 5% compared to the corresponding period of 2021 and by 14.6% compared to the corresponding period of 2020.
From December 2021 to May 2022, the total number of vacancies published on jobs.ge amounted to 33,703, which was 67% higher compared to the corresponding period of 2020-2021 and 101% higher compared to the corresponding period of 2019-2020.
From December 2021 to May 2022, a total of 9,635 vacancies were published in the field of sales/procurement, which was 91% higher than the corresponding period of 2020-2021 and 128% higher compared to the corresponding period of 2019-2020.