During a media briefing ahead of the upcoming annual meetings in Armenia, President of the European Bank for Reconstruction and Development (EBRD), Odile Renaud-Basso, expressed concerns over the draft “foreign agents” law in Georgia. This legislation, currently making its way through parliament, would require organizations receiving more than 20% of their funding from abroad to register as agents of foreign influence.
Renaud-Basso emphasized that Georgia has seen economic benefits from reform progress, but the tension surrounding the draft law could impact the private sector and investment climate, potentially deterring foreign investors. Alkis Vryenios Drakinos, EBRD’s regional director for the Caucasus, noted that while the investment climate has not yet changed, the draft law poses a threat to what could otherwise be a strong year for the bank’s investments in Georgia.
To date, the EBRD has invested 5.16 billion euros in Georgia, with approximately half of that in the private sector. This current portfolio of projects amounts to 1.11 billion euros, according to the lender’s website. The potential implications of the draft law on Georgia’s economy and investor confidence are being closely monitored by the EBRD and its partners.
Brussels and Washington have advised Tbilisi to abandon
