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Georgian Minister of Regional Development & Infrastructure – Mr. Davit Narmania

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The American Times – How do you see the role and mission of this Ministry in today’s Georgia?

DN – Firstly, this Ministry is a very big institution; when compared with the other Ministries this is the one that has the biggest budget after the Ministry of Health, Labor and Social Affairs. We are implementing many projects targeting infrastructures and rehabilitation in the country, and today we have around 250 projects being developed per year that are playing a very significant role in increasing the GDP per-capita in Georgia. This is why we have the key function of rehabilitating all types of infrastructures in Georgia. Also, a lot of people are working in the projects that the Ministry is implementing; a very important social aspect to be considered in the general scenario of employment in the country.

The American Times - In your perspective, what are the strongest assets Georgia has to offer considering the sectors under your Ministry?

DN – We are able to offer two major opportunities to foreign investors:
#1 – Participating in international tenders for the rehabilitation of infrastructures, in order to increase investment opportunities here in this specific sector. They can receive funds from the State for this purpose and we are also open for them to offer us their own proposals, while the projects are ongoing, to make other investments on a smaller scale (hotels, restaurants, etc.).
#2 – If foreign investors make the decision to put their money in Georgia they will be greeted with open dialogue and continuous communication throughout a projects development. We have committed ourselves in guiding foreign investors along their way here, acting as their local partner and maintaining a close cooperation with them.

The American Times - Infrastructure & Regional Development is considered to be one of the key sectors in Georgian economy. What are your main goals for this Ministry and how do you plan to achieve them?


DN – It is important to mention that during the last years many funds were allocated to improve the rehabilitation of infrastructures in Georgia and much was achieved. But this Ministry also works in Regional Development issues and this direction was considered less relevant during these last years. We want to make this our priority. Naturally, the development of infrastructures in the regions are a part of Regional Development but not its sole focus. We must hone in on the big picture here: up to 2014 (next local elections), the Government of Georgia intends to carry on with the Decentralization Reform, which means that local sub-governments will have an incremental autonomy, rights and responsibilities. This process will also contribute to Regional Development as local sub-governments will be more independent from the central government to carry on with their own local projects. This is a part of the new Government’s program and priorities for the coming years.

 
The American Times - How relevant it is the expansion and revitalization of energy, oil & gas and transport infrastructure for Georgia to attract more investment from abroad and which one of these is the main priority?


DN – All of them are important for the economic development of Georgia but from our perspective the most important is the development of the transport infrastructure. That is why we intend to implement projects for the rehabilitation of roads and bridges. We are talking not only about large scale highway projects but also road and bridge development, of a more local importance. Also, in order to minimize traffic congestion we are working on developing by-pass roads and central highway projects.
Again, much has already been achieved in this sector but a lot remains to be done as well. There is always room for improvement.

The American Times - What do you consider to be some of the largest challenges in this sector in the forthcoming years and how relevant would it be to maintain close relations and cooperation with the US to overcome them?

DN – One of the main challenges might be the effectiveness of the projects this Ministry is working on, which in practical terms means raising the quality of the infrastructures (the final product) to the highest standard possible. A big part of these projects are done through loans and it is very important that all of these infrastructures are made for long-term use. This will spur more economic growth allowing the government to pay back its loan obligations.
A second challenge might be decentralization; handing over matters of local importance to the Local Sub-Governments while keeping matters of more central importance under the Central Government’s responsibility. This will increase efficiency on both sides.

Considering the cooperation with the United States, I can identify 3 main aspects:

  • Sharing the American experience and know-how in terms of management, administration and territorial arrangement of the country.
  • More business cooperation, aimed at the growth of investments. Geographically, there is a large divide separating Georgia and the US. However, we are confident that with increased awareness, such as efforts like your report, American investors realize the immense potential of our country making their decision to visit and invest an easy one.
  • Strengthening cooperation with donors and several US based institutions. One of our biggest donors is the World Bank and thanks to their support we are able to implement many projects.

Recently, we held meetings with World Bank and IMF representatives here in Georgia. The outcome was extremely positive in that they have offered continued support for our infrastructure initiatives.

 

The American Times - How do you envision your country’s infrastructure and development 4 years from now?


DN – We believe firmly that more infrastructures projects will be successfully implemented and that regional initiative outcomes will facilitate commerce far greater than they are today. This forecast also applies to waste management systems. With these improvements there will be a considerable degree of enhanced social well-being since all of these reforms are connected with each other.

 
The American Times - If you were to transmit a personal message to our American partners, investors and subscribers what would that message be?


DN – Georgia is unique in its cultural heritage, history, various types of touristic destinations and in its current investment potential. I am sure that the American audience will realize this.
From our side we will continue to do our best to showcase the improvements we have been making with all of the support received from the US throughout the years. Therefore, in the name of the Georgian Nation I would like to express a word of gratitude to all of the American people for their continued trust in us.

 

 

 

 

 

 

 

 

 


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