The requirements of the Law “On Grants” will not apply to grants issued by the Georgia Red Cross Society. Additionally, grants provided by financial and credit institutions will not require approval from the Georgian government. Corresponding clarifying amendments are being introduced to the Law “On Grants,” which the parliament is considering in its second and third readings on April 15. This section of the bill was finalized during a meeting of the Legal Affairs Committee.
The Law “On Grants” already lists several organizations that do not need to seek the Georgian government’s consent to issue grants. These include: the EU Research and Innovation program “Horizon Europe,” the EU “Erasmus+” program, the German Academic Exchange Service (DAAD), and the “Creative Europe” program between Georgia and the EU. Grants issued by these organizations for general and higher education, as well as scientific activities, do not fall under the scope of the law.
Committee Chairman Archil Gorduladze presented an updated version of the bill, according to which the Georgia Red Cross Society and financial and credit institutions are added to this list.
“A specific legal entity operates in Georgia that is a member of the International Red Cross and Red Crescent Movement. For the sake of greater clarity, it is necessary to explicitly establish that this law does not apply to them.
It should also be clarified that the requirements of the Law ‘On Grants’ do not apply to grants issued by financial and credit institutions.
We are referring, for example, to World Bank grants, which typically accompany loan agreements, and the risks of violating sovereignty in such cases are minimal. Such grants are already coordinated with the government through a different procedure, and political grants are not provided in these instances,” Gorduladze stated during the committee meeting.
Parliament is considering the amendments to the Law “On Grants” under an expedited procedure. According to the bill, funds provided by diplomatic missions, consular offices, and representative offices of international organizations accredited in Georgia will also no longer be considered grants if they are directed, or could be directed, toward activities arising from the political or public interests, approaches, or relations of a foreign state or a foreign political party.
