USAID launches $330 Million grant program in Georgia

By Natalia Kochiashvili

Tuesday, May 25

“Through the grant agreement, a new energy security program will be created, Georgia will be able to diversify its energy resources and reduce its dependence on Russia,” said Kelly Degnan, US Ambassador to Georgia.

The grant agreement was signed by USAID Mission Director Peter Wiebler and Minister of Finance Lasha Khutsishvili.

A grant agreement has been signed between Georgia and the United States, according to which the United States Agency for International Development (USAID) will provide Georgia with a grant of up to $330 million over a period of 5 years.

The signing ceremony of the grant agreement "For the Promotion of Sustainable Development of Georgia" was held at the Administration of the Government of Georgia last week.

Bilateral agreements includes a number of strategic areas - conflict resolution, agricultural and private sector development, the rule of law, human rights, democratic governance, civil society, basic education, as well as social services and the environment, that serves the economic growth and sustainable development of our country, as well as the strengthening of the free market and, in general, the Western orientation.

The ceremony was opened by the Prime Minister of Georgia, Irakli Gharibashvili, and the US Ambassador to Georgia, Kelly Degnan.

“This is a new phase in our relationship, based on the progress that Georgia has made in developing democratic institutions, developing a market economy and becoming more integrated into the Euro-Atlantic area… We are working on new initiatives to increase economic opportunities, increase people - to - people relations,” the ambassador said.

Degnan said that the agreement will support the country’s economic and democratic development and will boost the country’s resistance to foreign threats. Georgia will be able to diversify its energy resources and reduce its dependence on Russia. It will be able to reduce costs for the Georgian people. US Ambassador has stated that the agreement reaffirms the ‘common values’ between Georgia and the US and the US continued support for its strategic partner. She said the U.S. will continue to invest in school education, beyond the $7 million that is being implemented under the U.S. Agency for International Development, which began last year.

PM has stated that at the initial stage Georgia will receive $67 million. According to the head of the government, the Grant Agreement with the US aims at high-paying employment opportunities, strengthening democratic achievements and promoting accountable governance.

“USAID assistance to our country is $ 1.8 billion. About 335 programs have already been implemented In the fields of agriculture, energy, infrastructure, environment, education and health. The US support will ensure the creation of jobs and assist the country’s pandemic-affected economy,” Garibashvili said, expressing gratitude towards the US government.

USAID Mission Director Peter Wiebler clarified that at this stage, the three main areas of the grant agreement include fight against harmful influences, which includes energy security, accountability of democratic institutions and the strengthening of democratic institutions and strengthening of the country’s economy.