Expert on Georgian affairs, Johnny Melikyan believes that as long as the crisis in Ukraine is not resolved, the enforcement of the Association Agreement in Georgia will be slowed down. “Georgia runs a complementary policy my mentioning its political line and not ignoring the economic relations with its neighbors. Georgia also has a major diaspora in Russia. Having political red lines, they quite activate the economic relations with other neighbors,” said the expert on Georgian affairs Johnny Melikyan referring to the developments in Georgia.
To the question of what the Association Agreement gave to Georgia, whether it benefited or lost, the expert noted that generally, the more the EU and the Eurasian Union are in better relations, the more Armenia gains first of all. And yet, not all the parliaments of the EU member states have ratified the Association Agreement signed by Georgia, and as of today, the Georgian economists are also talking that no one could expect rapid changes. According to the analyst, it takes time to put the Association Agreement into action, especially since the EU follows the entire production process. And it requires a lot of money and investments. “To say that the EU multimillion-dollar market is open… it was open before too. Both, Armenia and Georgia are working with the EU by the GSP + system, which was providing numerous privileges. There was a PR to attract the countries to their side, it was done. Georgia went to its direction, Armenia- its own. The difference is not yet noticeable,” says the expert, adding that there are also many problems in Georgia with electricity and gas price hike, the price of flour has gone high, despite the fact that the year was good for agricultural, Georgian currency (lari) is depreciating, there is also a transport problem, there are also serious social problems, and next year, the parliamentary elections are to be held.
Johnny Melikyan believes that the Georgian government authorities are making attempts to minimize the risks, investing are brought, there is a tourist flow, but all of it did not effect on the lari to become stable. The expert believes that the problem of Ukraine plays a significant role for Georgia, which, one the one hand, accelerates Georgia’s EU Association and, on the other hand, slows down the integration process in itself. The issue of reviewing the EU-Georgia visa regime, according to him, will still be extended as the EU cannot define this privilege for Ukraine now, although it was expected that by the end of the year, this veto would be lifted for Georgia as it is not given to Ukraine, Georgia’s issue will also be protracted, no matter it is assured in the EU that an individual approach will be made.
Nelly GRIGORYAN
