Georgia may revise deals with Turkish companies

TBILISI - Reuters

Georgia will revise some contracts, PM Ivanishvili says.

Georgia’s new prime minister, Bidzina Ivanishvili, has announced plans to reconsider several treaties and already-initiated projects, including the Baku-Tbilisi-Kars railroad project and a thermal power plant project involving Turkey’s Mimsan Group.

“Without startling the business community and harming our bilateral relationship with foreign countries, we’re going to reconsider the treaties and projects not contributing to public welfare,” Ivanishvili said during a press conference Dec. 24, referring to several hydroelectric projects and agreements transferring the control of natural resources to foreigners which were approved by the former government.

The Mimsan Group had been set to construct a thermal power plant project with Russian company InterRao in Georgia’s Gardabani region. Ivanishvili also said he had financial concerns about the Baku-Tbilisi-Kars railroad project even while acknowledging its geopolitical importance. At the same time, the new prime minister said he thought the problems would ultimately be solved. The Baku-Tbilisi-Kars railroad project, which is expected to cost $600 million, is a regional rail link project to directly connect Turkey, Georgia and Azerbaijan.

Ivanishvili will exchange views with Azeri authorizes on the project during a visit to Azerbaijan today.