AGP Executive Report

Aviation & Connectivity: Georgia’s Civil Aviation Agency says direct regular flights between Tbilisi and Bucharest will resume from July 1, with Romanian carrier Dan Air operating the route. Crypto Crime Crackdown: U.S. prosecutors charged two men arrested in Batumi—Ruslan Tkachuk and Alexander Ledenev—over an alleged $389m crypto laundering network tied to “AudiA6” and the Dark2Web forum; authorities say they will seek extradition to Philadelphia. Pro-European Protests: Protests in Tbilisi continued for a 561st day, with demonstrators calling for new elections and the release of Azerbaijani journalist Afgan Sadigov, while also demanding protection for independent media. IMF Watch: The IMF welcomed National Bank of Georgia governance reforms, including changes to executive responsibilities and steps toward a more collegial decision-making model. Finance Markets: S&P upgraded Georgia Capital PLC’s credit rating to BB- with a positive outlook, citing portfolio performance and disciplined debt management. Sports Schedule: College World Series play is set for June 12–22, with Georgia scheduled to face Texas on June 13.

IMF & NBG Governance: The IMF welcomed National Bank of Georgia governance reforms, including changes to executive responsibilities and steps toward a more collegial decision model. Macroeconomic Outlook: In its Article IV review, the IMF expects Georgia’s economy to grow 6.5% in 2026, with inflation returning toward target by mid-2027 and debt staying near prudent levels. Ratings & Finance: S&P upgraded Georgia Capital PLC’s credit rating to BB- with a positive outlook, citing disciplined debt management. Trade & Wine: Georgia ranked 8th in Poland’s wine import market; meanwhile, a new report highlights how Georgian wine is squeezed by Russia-linked excise pressure and shifting demand. Regional Diplomacy: Türkiye, Azerbaijan and Georgia reaffirmed cooperation through the Istanbul Declaration, focusing on connectivity and transport/energy links. Azerbaijan-Iran Context: After alleged Iran-linked strikes near Nakhchivan, regional leaders sent messages to Tehran, underscoring the South Caucasus’s tense balancing act. Court in Tbilisi: A closed hearing continues in the “sabotage” case against eight politicians, with prosecutors examining seized items and alleged damage. Travel & Business: Direct flights between Georgia and Romania resume July 1; Turkmenistan and Georgia discussed expanding business and investment ties. Tech & Events: Global Tech Weekend Tbilisi 2026 returns June 19–21, while Georgia held its first official Laravel meetup.

Protest Watch in Tbilisi: On the 560th straight day on Rustaveli Avenue, demonstrators again demanded the release of political prisoners and new elections, with court moves in the “October 4” presidential palace storming case releasing 14 defendants on guilty pleas and suspended sentences. Border Rights Claim: A lawyer says at least 19 Ukrainians have been held for about a year in a basement at the Dariali checkpoint without medical care or basic necessities, renewing pressure over detention conditions at the Georgia-Russia border. Local Governance, Tbilisi: The Tbilisi mayor says a transport “macromodel” for the capital has been developed, while parliament adopted final amendments tightening rules for when woody plants can be cut in Tbilisi if a construction permit exists. Regional Diplomacy: Azerbaijan, Georgia and Türkiye met in Istanbul for their 10th trilateral foreign ministers’ meeting, focusing on energy, transport and connectivity like the Middle Corridor and Baku–Tbilisi–Kars railway. EU Digital Policy: The EU Council advanced a business wallet framework for corporate digital identity, aiming to reduce manual checks and speed up cross-border processes.

Protest Crackdown: A Tbilisi court sentenced peace activist Zurab Menteshashvili to nine months in prison for taking part in a peaceful protest, underscoring how new protest-related rules are being used to criminalize dissent. Drug Enforcement: Georgian police say they arrested 119 people over the past 48 hours on drug-related charges, including 49 alleged dealers, seizing heroin, cocaine and other substances plus firearms. China-Georgia Upgrade: Georgia and China elevated ties to a “comprehensive strategic partnership,” with officials stressing mutual benefits and growing trade. South Ossetia Tensions: An opposition party condemned Russia’s “new phase of annexation” after a former Russian official was nominated as South Ossetia’s prime minister. Tourism Push: Rotana’s first mountain resort under the “Caucasus Mandili” concept is set to open in Gudauri, aiming to make the ski area a year-round destination. Black Sea Investment: Archi and NEXT announced a USD 300 million Swissôtel Kobuleti Beach Resort, with pre-sales opening and construction underway. Sports in Georgia: Ireland named a 30-man U20 squad for the World Rugby Junior World Championship in Georgia, with pool matches in Tbilisi.

US-Georgia Political Ties: The US House passed the “Countering China’s Control of the Caucasus Act,” pushing for a classified State Department report on Russian and Chinese intelligence activity in Georgia and a 5-year strategy for US-Georgia relations. Business & Investment: Georgia saw FDI rise to $271.2m in Q1 2026 (+47.7%), with the UK and US among the top investors, while the EBRD approved a €10m loan to Aversi Pharma to modernize a Tbilisi pharmaceutical warehouse. Banking: TBC Bank set its final 2025 dividend at GEL 3.87 per share (paid June 22). Regional Connectivity: Georgia, Türkiye, and Azerbaijan reaffirmed deeper cooperation under the Istanbul Declaration, including rail and energy links. Public Life & Culture: OC Media will screen a documentary in Tbilisi on the last Ubykh language speaker, with a Q&A. Local Spotlight: Batumelebi reports additional sea area near Batumi’s “artificial island” being handed over for 65 years.

US-Georgia Ties Under Scrutiny: The US House passed the “Countering China’s Control of the Caucasus Act,” pushing for classified reporting on Russian and Chinese intelligence activity in Georgia and a new five-year strategy for bilateral relations. Batumi Development: A Batumelebi report says sea territory near Batumi will be handed over for 65 years for an artificial island project linked to “Ambassadori,” with the state charging 1 lari for the development right. Azerbaijan Journalist Case: Detained in Azerbaijan, journalist Afgan Sadigov—deported from Georgia earlier this year—was ordered held until July 30 as his case is reopened. Regional Diplomacy: Türkiye, Azerbaijan and Georgia pledged deeper trilateral cooperation in Istanbul, stressing connectivity like the Middle Corridor and Baku–Tbilisi–Kars railway, alongside security against terrorism and hybrid threats. Business & Investment: FDI in Georgia rose 47.7% to $271.2m in Q1 2026; TBC Bank also set its June 22 dividend rate, while EBRD approved a €10m loan to Aversi Pharma for a greener, automated Tbilisi warehouse. Tourism & Lifestyle: A $300m Swissôtel Kobuleti Beach Resort project opened pre-sales; and UK Foreign Office updated rules warn travelers that some common medicines (including codeine) are illegal in Georgia.

Regional Diplomacy: Georgia’s foreign minister Maka Botchorishvili welcomed “positive dynamics” after the 10th Turkey-Azerbaijan-Georgia trilateral meeting in Istanbul, backing early peace efforts between Armenia and Azerbaijan and stressing the value of Türkiye-Armenia normalization. Eurasian Connectivity: The ministers also reaffirmed the Istanbul Declaration, pointing to the Baku-Tbilisi-Kars railway and other major energy and transport projects as engines for trade and regional stability. Consumer Policy: Georgia’s Competition and Consumer Protection Agency says it will take over the ICPEN presidency from July 1, with a focus on building trust in the digital age, protecting consumers in AI-driven markets, and safeguarding disabled and other high-risk users. Migration Crackdown: Georgia’s Interior Ministry registered a new legislative package to tighten migration control, including stricter rules for foreign students’ language requirements and changes to legal stay tied to marriage. Local Infrastructure (Batumi): Batumi City Hall signed a contract for a new road segment near the Gonio bridge and the landfill area, aiming to improve access along the New Boulevard extension.

South Ossetia-Russia Integration: South Ossetia’s prime minister Dzambolat Tadtaev resigned, with first deputy Konstantin Dzhioev running the government until a new cabinet is approved; the next PM is expected to be Marat Kambolov, a Russian-linked technocrat tasked with implementing the May 9 integration deal. Armenia-EU vs Russia: Armenia’s ruling Civil Contract won a narrow majority in parliamentary elections, signaling reduced Russian leverage as Prime Minister Nikol Pashinyan pushes for EU integration and closer ties with Azerbaijan and Türkiye. Georgia-Türkiye-Azerbaijan Diplomacy: Foreign ministers from Georgia, Türkiye and Azerbaijan met in Istanbul for the 10th trilateral gathering and adopted the “Istanbul Declaration,” reaffirming cooperation on security, connectivity and energy, with the Middle Corridor highlighted. Batumi Infrastructure: Batumi City Hall signed a contract for a new road near the Gonio bridge and landfill area, connecting the Gonio-adjacent territory to the New Boulevard extension. Local Public Safety: Georgian police detained a knife suspect after he wounded a citizen and a patrol inspector in Tbilisi; both were treated and their lives are not in danger. Tech & Business in Tbilisi: Global Tech Weekend Tbilisi returns June 19–21, aiming to draw 20,000+ attendees for city-wide talks, workshops and investment-focused events.

Middle Corridor Momentum: A new analysis says China-Europe freight is shifting away from Russia toward the Middle Corridor via Kazakhstan, the Caspian, Azerbaijan, Georgia and Turkey, with Trans-Caspian volumes jumping sharply in recent years. Regional Diplomacy: Türkiye, Azerbaijan and Georgia will hold their 10th trilateral foreign ministers’ meeting in Istanbul, with transport, transit connectivity and energy security on the agenda. Armenia-Georgia Ties: Georgian PM Irakli Kobakhidze congratulated Armenia’s Nikol Pashinyan after parliamentary elections, pledging continued close cooperation. Armenian Election Focus: Pashinyan told reporters he sees no tension with Russia, while pushing EU-aligned reforms and backing the TRIPP connectivity concept. Public Order in Tbilisi: Georgia’s Interior Ministry says police detained a knife attacker after he wounded a citizen and a patrol inspector in Tbilisi; both victims are reported to be out of danger. Health & Community: A “March of Gratitude” in Tbilisi backs children with Duchenne muscular dystrophy and sets up a working group focused on medicine supply. Sports: Bahrain’s friendly against Syria was called off due to travel restrictions, after Bahrain lost 0-2 to Georgia in Tbilisi.

Armed Attack in Tbilisi: Georgia’s Interior Ministry says a knife-wielding man wounded a citizen and a patrol inspector in the Chugureti district; both were taken to hospital and their lives are not in danger, while the suspect was arrested and the knife recovered. Duchenne March in Tbilisi: Parents and supporters held a “March of Gratitude” on Rustaveli Avenue for children with Duchenne muscular dystrophy, with talks leading to a working group focused on providing medicines. Regional Diplomacy: Türkiye, Azerbaijan and Georgia will meet in Istanbul for their 10th trilateral foreign ministers’ gathering, with plans to review cooperation and push transport, connectivity and energy security. Armenia Vote Echoes in Georgia: Armenian PM Nikol Pashinyan praised close Georgia ties and said relations with Russia face “no tension,” while voting continues in Armenia’s parliamentary election. Protest Plans: The opposition United National Movement says it will join a June 20 anti-occupation rally, calling for people to gather at the Philharmonic Hall. Russian Language Day Backlash: Celebrations in central Tbilisi drew protests from activists who called the event unacceptable amid Russian occupation and language restrictions. Travel Deal: Jazeera Airways launched a summer sale with up to 30% off fares, including routes to Tbilisi and Batumi.

Georgia–Bahrain Football: Georgia beat Bahrain 2-0 in a friendly in Tbilisi, with goals from Luka Lochoshvili and Khvicha Kvaratskhelia (penalty), as Bahrain continues preparations for the Gulf Cup and AFC Asian Cup. Sanctions & Arrests: A Russian citizen wanted by the FBI was detained at Tbilisi airport over alleged aircraft-parts sanctions evasion, with extradition procedures now underway. Protest Anniversary: A civic group announced a June 20 rally in Tbilisi to mark the seventh anniversary of “Gavrilov Night,” with a march from the Concert Hall to Parliament. Security Service Claims: A Russian activist says Georgia’s security service tried to recruit him while he was held in Gldani prison; Georgia’s penitentiary denies the allegations. Regional Diplomacy: Russia expects the next “3+3” foreign-minister meeting to be hosted in Baku or Yerevan, calling Georgia an essential partner. Sports: South Africa beat Ireland in a Women’s T20 World Cup warm-up, with Marizanne Kapp starring. Weather: Weekend stays mostly dry, but more clouds and possible showers are expected into Monday.

Georgia-Bahrain Friendly: Georgia beat Bahrain 2-0 in a Tbilisi friendly, with Luka Lochoshvili scoring after the restart and Khvicha Kvaratskhelia adding a late penalty. Regional Diplomacy: Russia expects the next “3+3” foreign-minister meeting to be held in Baku or Yerevan, with talks ongoing between Azerbaijan and Armenia and Georgia still described as an “essential partner.” Batumi Sports: Anastasiia Hnatyshyn, 15, won the European Women’s Chess Championship in Batumi, finishing on 9/11 after a final-round draw with Klaudia Kulon. Tbilisi Development: The Georgian Municipal Development Fund is rehabilitating Tbilisi Public School No. 50, while Colliers Georgia reports construction of up to 150,000 sq m of new office space, mainly in Saburtalo. Business & Finance: Bank of Georgia acted as custodian for a major Uzbekistan dual listing, and Lion Finance Group cancelled 36,000 treasury shares under its buyback program. Legal & Safety: A Vancouver man was detained in Georgia over ADHD meds without original packaging, according to his family.

Football & Sports: Georgia beat Bahrain 2-0 in a friendly in Tbilisi, with Luka Lochoshvili scoring in the 52nd minute and Khvicha Kvaratskhelia adding a penalty in the 77th. Batumi Spotlight: Fifteen-year-old Ukrainian Anastasiia Hnatyshyn won the European Women’s Chess Championship in Batumi, finishing on 9/11 after a final-round draw. Local Development: Georgia’s Municipal Development Fund is rehabilitating Tbilisi Public School #50, while Colliers Georgia says up to 150,000 sq m of new office space is under construction in Tbilisi. Economy & Finance: Bank of Georgia helped enable a major dual listing in Uzbekistan, and Lion Finance Group cancelled 36,000 treasury shares. Migration & Rights: Iranian citizens protested in Tbilisi over the reported detention of activist Hadi Rostami, though authorities later said he left for a third country “of his own free will.” Energy & Region: UN General Assembly adopted Georgia’s resolution on IDPs and refugees from Abkhazia and Tskhinvali/South Ossetia, with 107 countries supporting return rights. Diplomacy: Russian FM Sergey Lavrov accused the West of trying to pull Georgia away from Russia, while Georgia’s leadership says it’s balancing EU and Moscow ties.

UN Vote on IDPs: Georgia’s UN General Assembly resolution on the status of IDPs and refugees from Abkhazia and the Tskhinvali region/South Ossetia was adopted on June 4, with 107 countries supporting it and only 8 voting against, including Russia; the text calls for the right of displaced people to return in dignity and safety and asks the UN chief to report annually. Russia-West Tensions: Russian FM Sergey Lavrov again accused the West of trying to “distance” Georgia from Russia, citing the 2008 Bucharest NATO summit and arguing Georgia’s current leadership is “pragmatic” in balancing EU and Moscow ties. Diplomatic Friction at the UN: Opposition MP Giorgi Baramidze said China, Iran and the UAE did not back Georgia’s refugee-return resolution, while he praised the US and EU for supporting territorial integrity. Security and Spying Claims: Parliament Speaker Shalva Papuashvili reacted to reports that France recalled two intelligence agents from Georgia, saying there are “no friendly spies” and urging everyone to stop espionage. Local Tragedy in Old Tbilisi: The Abanotubani Group said safety standards were followed after two elderly men died in a bathhouse on June 3, adding it is cooperating with investigators. Batumi Culture: Batumi will host the 19th Black Sea Jazz Festival July 10–12, dedicated to Miles Davis’ 100th anniversary. Tech and Connectivity: Cellfie upgraded network coverage in West Georgia and Tbilisi, adding base stations and microcells to improve connectivity in high-traffic areas. International Cooperation: Georgia arrested an FBI-wanted suspect at Tbilisi International Airport; extradition procedures are underway.

BTK Boost for the Middle Corridor: Georgia says the upgraded Baku–Tbilisi–Kars rail line’s Georgian section is now fully delivering higher freight capacity, with the key 180km stretch raised from 1 million to 5 million tonnes per year after track rehab and new construction. Duchenne “Victory” Talks: After weeks of protests, Georgian Dream PM Irakli Kobakhidze says parents of children with Duchenne muscular dystrophy reached an agreement on access to specific medications, with procurement details to follow. US–Georgia Friction: PM Kobakhidze pushed back hard on claims by US Sec. of State Marco Rubio that Tbilisi asked Washington how to restore ties, saying Georgia never asked such a question and calling the relationship a matter of sovereignty. Crypto Push: Tether plans to invest in Georgia and launch a GEL-pegged token, a move that signals bigger crypto ambitions while raising transparency concerns. Trade Watch: UN data shows Georgian wine exports fell 2.9% in 2025, with Russia still the biggest market but down year-on-year. Regional Security Angle: France reportedly recalled two intelligence officers from Georgia after a Georgian counterintelligence operation tied to an espionage arrest.

US-Georgia Reset: Deputy Secretary of State Christopher Landau said Washington wants to “warm up” ties with Georgia, pointing to shared values and a symbolic Independence Day visit in Washington. Diplomatic Friction: France recalled two intelligence officers from Tbilisi after an espionage case tied to Giorgi Udzilauri, with reports saying Tbilisi avoided declaring them persona non grata to prevent escalation. Courtroom Update: The defense for former Economy Deputy Minister Romeo Mikautadze is seeking full annulment and acquittal on nine charges, while prosecutors say a plea deal requires admitting guilt and compensating damages. Regional Connectivity: The modernized Baku–Tbilisi–Kars railway entered full operation, boosting annual freight capacity to 5 million tons and strengthening the Middle Corridor. Energy & Trade: Georgian wine exports fell 2.9% in 2025, mainly due to lower shipments to Russia, while business turnover rose 10.7% in 1Q26 and the National Bank of Georgia hosted an Armenian central bank delegation on payment system upgrades. Batumi & Local Life: A former Gonio firing range in Batumi was granted special regulation status, and a driver was arrested after a car plunged into the Mtkvari River in Tbilisi. Tourism Investment: Archi and NEXT unveiled the $300m Swissôtel Kobuleti Beach Resort project, signaling confidence in Adjara’s four-season tourism push.