Georgian Gov’t creates new state agency to oversee NGO funding

The Georgian government has established a new agency tasked with overseeing the distribution of state grants to non-governmental organizations (NGOs), a move critics say tightens state control over civil society.

The State Grant Management Agency was formally created on April 15 by Prime Minister Irakli Kobakhidze, following a legislative push by the ruling Georgian Dream party. The agency will operate from the Government Administration Building on Ingorokva Street in Tbilisi.

Tamar Zodelava has been appointed to lead the agency, taking office on April 22. The Prime Minister holds full authority over the agency’s leadership, including appointments and dismissals.

The creation of the agency stems from a controversial law passed by Parliament on February 20, which was approved in its third reading by the Georgian Dream majority. Alongside the agency’s formation, amendments to the Law on Grants were also swiftly adopted, introducing significant restrictions on NGO funding.

Under the new legal framework, NGOs must obtain government approval – or that of an authorized body – before receiving grants. The government has ten days to respond to funding requests. Importantly, appeals against funding denials do not suspend the decision, and receiving an unauthorized grant is now prohibited by law.

Organizations found accepting grants without prior consent face a financial penalty amounting to double the grant’s value.

Supporters of the changes argue they ensure transparency and accountability in the NGO sector. However, critics warn that the reforms threaten the independence of civil society and could be used to suppress dissent.