Government slashes USD 52.5 million from Anaklia Deep Sea Port contract

“The Georgian government is committing itself to ensuring that every infrastructure project is delivered with maximum cost-efficiency and minimum burden on the public purse,” declared Prime Minister Irakli Kobakhidze at a cabinet session.

The PM added that over the past several months, an exercise in expenditure optimisation had been carried out across a range of existing contracts, including those relating to the Anaklia Deep Sea Port project.

“Over the past several months, we have carried out a serious and wide-ranging optimisation of state expenditure under existing contracts. Among other agreements, we have reviewed the contract for the dredging and breakwater construction at Anaklia Deep Sea Port, which was originally valued at USD 203.9 million. We also revisited the contract with the supervising company. The result is that the overall cost of the project has been reduced by more than 25 per cent, saving USD 52.5 million. Within the coming days, construction in Anaklia will recommence at significantly reduced cost.

The Georgian government accepts full responsibility for ensuring that every infrastructure project is delivered as cost-effectively as possible, with the lowest achievable call on the state budget. I wish to express my sincere gratitude to the Minister of Economy and his team, who have in this instance saved the state treasury USD 52.5 million,” the Prime Minister said.