Publication:  N17 / Review period:  August 1-31, 2022/ Author:  Elene Mindiashvili

Overview of Russia’s Economic Relations with Abkhazia and Tskhinvali Region is being prepared within the framework of the project - Roadmap to Kremlin's Policy in Abkhazia and the Tskhinvali Region. The purpose of the publication is to provide an overview of economic relations between Russia and Abkhazia and the Tskhinvali region. The review is a monthly publication and will be useful for everyone – decision-makers, public employees, media representatives and other people who are interested in the Kremlin policy in the occupied regions of Georgia.

Economic Relations Between Russia and Abkhazia

Working Meeting on the Issue of the Investment Program Promoting the Social and Economic Development  

On August 2, a working group meeting was held in Moscow within the framework of the program for the formation of a common social and economic space between Russia and Abkhazia. Delegations of the parties were chaired by the de facto Minister of Economy of Abkhazia, Kristina Ozgan, and the Deputy Minister of Economy of the Russian Federation, Dmitry Volvach. At the meeting, the parties discussed the issues of coordination of investment, tax, educational, customs and healthcare spheres.

Meeting Between Kristina Ozgan and Maxim Reshetnikov

On August 4, in Moscow, the de facto Deputy Prime Minister and the “Minister of Economy,” Kristina Ozgan, and the Minister of Economic Development of Russia, Maxim Reshetnikov, signed an agreement on “Assistance in the Implementation of the State Program for the Socio-Economic Development of the Republic of Abkhazia for 2022-2025.”

Maxim Reshetnikov's Visit to Abkhazia

On August 11-12, the Minister of Economy of the Russian Federation, Maxim Reshetnikov, paid a working visit to the occupied Abkhazia. The main part of the visit was devoted to the discussion of issues related to the socio-economic development of Abkhazia, such as large investment projects and the issue of ensuring energy security. According to Reshetnikov, in parallel with the successful investment program, the investment potential of Abkhazia is attractive for Russian business, therefore we should expect an increase in Russian investments in the de facto republic in the future, especially in the tourism and energy sectors.

Visit of the “Minister” of Tourism to Moscow

On August 5, the de facto Minister of Tourism of Abkhazia, Teimuraz Khishba, met with the Deputy Head of the Russian Federal Tourism Agency, Elena Lysenkova. At the meeting, the parties talked about the development of the tourism potential of the de facto Republic of Abkhazia and the prospects of cooperation between Russia and Abkhazia in this field.

On August 6, Khishba took part in an international tourism forum held in Moscow. He spoke about the plans for the future development of camping and auto tourism in the “Republic.”

“Government” Meeting in the Field of Economy

On August 10, the de facto President, Aslan Bzhania, held a meeting on the development of energy and socio-economic sectors. The participants of the meeting discussed a draft agreement between the Russian Federation and the de facto Republic of Abkhazia on the implementation of investment projects by Russian legal entities on the territory of Abkhazia.

Economic Relations Between Russia and the Tskhinvali Region

Meeting of Konstantin Jusoev and Maxim Reshetnikov

On August 4, the de facto Prime Minister of the Tskhinvali region, Konstantin Jusoev, met with the Minister of Economic Development of Russia, Maxim Reshetnikov. During the meeting in Tskhinvali, the parties discussed the potential and mechanisms of deepening mutual cooperation in the field of economy.

“State” Program Promoting the Socio-Economic Development

On August 4, in Moscow, the Russian Federation and the Tskhinvali region signed an agreement on “Assistance in the Implementation of the State Program for the Socio-Economic Development of the Tskhinvali Region for 2022-2025.” Under the agreement, Russia will help the Tskhinvali region in the development of various sectors of the economy.

Personnel Changes in Tskhinvali

On August 31, Royn Kozaev was dismissed from the post of Deputy Minister of Economy, and Ekaterine Khubulova was appointed as the First Deputy Minister. Khubulov will coordinate the Department for Foreign Economic Relations and Investment Activities and will also work in the direction of the 2022-2025 socio-economic development program.