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Georgian Dream introduces new bill requiring Gov’t approval for grants

The ruling Georgian Dream party has introduced a new bill in parliament that would significantly tighten regulations on grant funding for organizations operating in Georgia. According to the draft law, no organization will be allowed to receive a grant without prior approval from the government or an authorized body designated by the government.

Under the proposed amendments to the Law on Grants, donor organizations will be required to submit draft agreements for review. The bill introduces the concept of a “prohibited grant,” defined as any financial support issued without government consent.

Certain exceptions are included in the legislation, such as grants from international sports associations, federations, and committees; individual scholarships for secondary and higher education or scientific research conducted abroad, and grants provided by international organizations operating in Georgia.

The responsibility for monitoring the legality of grant issuance and acceptance will fall under the Anti-Corruption Bureau. The Bureau will be empowered to request financial documentation and summon individuals for questioning as part of its oversight authority.

Violations of the new law carry steep penalties. Recipients of “prohibited grants” will face fines amounting to twice the grant’s value. Additionally, individuals found to have given false testimony during related investigations may be fined 2,000 GEL.

The draft law is being fast-tracked under an expedited review process, potentially allowing it to be passed and enacted within a week of its introduction. It will take effect immediately upon publication.

This latest legislative initiative follows a series of government moves aimed at restricting foreign-funded organizations and media outlets. In recent years, Georgian Dream has passed laws such as the Agents Law and the Foreign Agents Registration Act, which have drawn sharp criticism both domestically and internationally for their impact on civil society and media freedom. The government has also placed limitations on broadcasters’ ability to air projects financed from abroad.

Independent NGOs and media organizations in Georgia largely rely on international grants to fund their activities. Critics warn that the new bill could severely undermine the operational capacity of these groups and further erode democratic space in the country.

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