The Legal Issues Committee, under the expedited procedure, considered and approved, in the II reading, the Draft Law on Grants.

The draft law introduces an amendment to Article 2, paragraph 14 of the law, according to which funds issued by accredited diplomatic missions, consular offices, and representations of international organizations in Georgia shall not be considered grants if they are allocated or may be allocated to activities deriving from the political or public interests, approaches, or relations of a foreign state authority or a foreign political party, and are directly related to the activities of the respective representation.

The Committee members also approved an amendment to Article 5¹, paragraph 3 of the law, under which the procedure for issuing foreign grants shall not apply to the organization defined under the Law of Georgia “On the Georgian Red Cross Society,” nor to grants issued by this organization.

As stated by the reporter, Chair of the Legal Issues Committee Archil Gorduladze, a further clarification stipulates that this rule will also not apply to grants issued by financial-credit institutions.

“In this case, for example, grants issued by the World Bank are implied, which, as a rule, are typically accompanying grants to loan agreements. Accordingly, the law will provide that such grants will not require approval from the Government of Georgia”, - noted Archil Gorduladze.

Under the current wording of the law, the procedure for issuing foreign grants does not apply to: grants issued by international sports associations, federations, and committees; individual financial assistance granted for obtaining general or higher education and for scientific work outside Georgia; as well as grants issued under the EU’s research and innovation programme “Horizon Europe,” the EU programme “Erasmus+,” the German Academic Exchange Service (DAAD), and the EU–Georgia programme “Creative Europe.”