Flash Report 23 rd of March, 2018

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Flash Report 23 rd of March, 2018 The European Business Association Georgia held its 7th Board Meeting at the Embassy of the Republic of Lithuania in Tbilisi on Tuesday, 20 th of March, 2018. The meeting was attended by the Board: John Braeckeveldt; (Chair). Jonne Catshoek, represented by John Braeckeveldt under the proxy Paul Russell Clark; Antonio Alferez Burillo, represented by John Braeckeveldt under the proxy; Paata Lomadze; Irina Sak. In addition: H.E. Mr. Giedrius Puodžiūnas, Ambassador of Lithuania to Georgia; Mr. Carlo Natale, EU Delegation; Ms. Sharune Kubiliute, Counselor, Embassy of Lithuania to Georgia;

Adelina Nalivaikaitė-Karelidze, Embassy of Lithuania to Georgia; Anthony Mauger, CEO of SADE (EBA Georgia s member); Mr. David Lee, CEO of EBA Georgia and Board Secretary; Mariam Ghreuli Communications Coordinator and Diana Khidesheli, Economic Analyst will also attend the meeting. Agenda: 1. Opening remarks and review and approval of the minutes of the 6th Board Meeting, John Braeckeveldt; 2. Services provided for members, David Lee; 3. Membership status, progress on new members, Mariam Ghreuli; 4. Conflict of Interest; 5. Lithuanian Export feasibility study, Diana Khidesheli; 6. Nature of Relations with other Associations; 7. EBA and Business mediation in Georgia, John Braeckeveldt; 8. Financial Matters, Paul Clark; Resolutions: Minutes of the last meeting approved. Membership Status: Membership continues to grow on plan (16 new members, 3 Core and 13 General since the last board meeting in February). EBA continues to receive unsolicited applications over the web site as well as through targeted interactions. All new members are being interviewed in person and their businesses and factories visited. Any company not meeting the requirements for European business relationships or the EBA Code of Conduct is rejected. Agreed next steps: EBA will continue to expand its membership with several high profile additions expected this month. A clearer map of the membership segmentation/services will be produced to show EBA s clear differentiation and focus.

Highlights from Past Month: Meeting regarding Alternative Dispute Resolutions, February 14th, 2018 EBA organised an event with its members to introduce the new draft law on Mediation and to discuss the benefits of Alternative Dispute Resolution for businesses. Speakers included the Minister of Justice, European Union Ambassador, EBRD Director, the Secretary of the High Council of Justice and experts in ADR. Seminar on Competition, February 20th, 2018 On February 20, 2018 EBA organized a Seminar on the application of competition rules to stateowned enterprises and enterprises with special and exclusive rights was held under the EU project Support to the Georgian Competition Agency. EBA Georgia was involved in organizing the Seminar. Taking into account EU principles and concrete examples from EU Member states, the workshop presented the issues of State owed enterprises (SOEs) that, due to their privileged position, may negatively affect competition. These type of companies should be subject to similar competition disciplines as private enterprises (see also art 205 DCFTA) to the greatest extent possible consistent with their public service responsibilities. Even if a large number of entities that hold special or exclusive rights or privileges are owned by state or local government, there are also many situations in which exclusive rights may be granted (often without any tender-based process and for long term periods) to private companies (like in the case of concessions). Also in this scenario it is important both to gain the attention of Public Institutions and to prevent the possibility that companies may put in force behaviours restricting competition or normal market functioning on detriment of other firms. The experts discussed with participants practical examples and situations from EU

countries in order to raise awareness on these crucial topics and identify possible solutions for Georgian economy. Meeting with Business Ombudsman of Georgia, February 21st, 2018 Business Ombudsman of Georgia Irakli Lekvinadze has met with David Lee, the Chief Executive Officer of European Business Association (EBA), John Braeckeveld, the EBA Board Chairman, and Mariam Kuchuloria, the EBA deputy director. At the meeting the European Business Association managers introduced their report on performance and stressed the importance of the Business Ombudsman's involvement in business support and information exchange issues. The parties also agreed cooperation details and plans. Meeting with World Bank, February 28th, 2018 EBA met with the Head of the World Bank to discuss procurement, SME policy and Competition. We were proud to receive the compliment, "EBA is the type of Business Association whose time has come. EU4Business Roundtable, March 1 st, 2018 CEO of the European Business Association, David Lee spoke at the Round Table assessing the progress of the EU4Business programmes supporting SMEs in Georgia.

Round table in Minks, Belarus, March 2nd, 2018 On March 2, Mariam Kuchuloria - Deputy CEO of European Business Association was invited to Minsk, Belarus to give a presentation about EBA Georgia as an example of creating European business association in the region. Representatives of business associations from different European and Eastern Partnership Countries participated in the round table which was organized by Republican Confederation of Entrepreneurship, together with the International Consortium and PPD-network (www.ppdnetwork.org). The aim of the meeting was to develop and encourage business associations to participate in a public-private dialogue on SME development. The participants discussed their experience in Austria, Lithuania, Georgia, Armenia, Azerbaijan, Moldova, Ukraine and Belarus. At the conclusion of the event, the participants agreed to make this gathering annual and to continue cooperation in the future. SME Business Compliance and Integrity seminar, 13-14 March, 2018 EBA Moldova, Georgia and Armenia attended and spoke at the Anti-Corruption Seminar organized by EBRD, OECD and UNDP in Georgia. EBA Georgia, Moldova and Armenia are working together to develop business and remove corruption from our countries. Authorized by John Braeckeveldt Chair