Georgia's Parliament is debating the "foreign agents law," risking its European future. Explainer

Georgian Parliament considers “foreign agents law”

The draft law “On the Transparency of Foreign Influence,” which has sparked significant criticism within Georgia and from Western organizations, has been presented on April 8th at a session of the Georgian Parliament’s bureau. Subsequently, the bureau will refer it to the parliamentary committees for consideration. Following this, the law must be passed in three readings during the general parliamentary session.

The opposition and civil society assert that they will not allow the adoption of the “Russian law” this time either. Georgia’s Western partners warn that if this law is passed, Russia’s influence in the country will strengthen, and Georgia may lose its candidate status for EU membership.

There are widespread calls in society to resume street protests against the “Russian law.”

A protest against the foreign agents law has started near the parliament building in Tbilisi. Today, they started discussing the project in the parliamentary bureau. Both the opposition and civil society assert that they will not permit its adoption this time either. In the… pic.twitter.com/91OkT735B9

— JAMnews (@JAMnewsCaucasus) April 8, 2024

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The reintroduction of the foreign agents law was first announced on April 3, 2024, during a briefing by the Secretary of the ruling party Georgian Dream, Mamuka Mdinaradze.

On the evening of April 2, a majority meeting was held at the central office of Georgian Dream.

During the briefing, Mdinaradze emphasized that the proposed law they intend to pass is similar to the old one. The only difference is that the term “foreign influence agent” will be replaced with “organization representing the interests of a foreign state.”

According to Mdinaradze, this change was made because the word “agent” was irritating to many. However, experts note that this detail does not change the substance of the law.

What is written in the draft law?

The content of the draft law stipulates that non-commercial legal entities and media organizations that receive more than 20 percent of their income from abroad are designated by the state as “representatives of a foreign state’s interests.”

Regardless of the organization’s activities, it can be classified as a “representative of a foreign state’s interests.” For example, an environmental organization monitoring bee behavior in Georgia or a children’s hospice could be classified as such.

An important detail:

The state requires non-governmental organizations to register in the state registry as “representatives of a foreign state’s interests.”

The key difference of this draft law from similar laws in Western countries

Authors of the draft laws often cite that a similar law is in effect, for example, in the United States. They also claim that the American law is much stricter than the model they propose.

Authors refer to the Foreign Agents Registration Act (FARA), which was enacted in the United States in 1938 before World War II. The purpose of this law was to protect the American population from the influence of Nazi propaganda from the Third Reich.

The main difference between the project proposed by “Georgian Dream” and FARA and other transparency laws in European countries is that the project in Georgia is not combating the “Third Reich” and a real enemy, but rather the country’s main international partners and friends, the donors through whom democratic processes are developing in the country.

In France, for example, there is also a law on “foreign influence.” However, the countries targeted by this law are explicitly named, and the list includes those states whose influence France perceives as a threat, rather than its partner and friendly countries.

In the case of France, the law mentions Russia, China, Turkey, and Iran. The French law explicitly states that it does not apply to European Union countries. This crucial component is absent from the “Georgian Dream” project.

Critics of this law argue that they would have no problem supporting a law on foreign influence if it stipulated that the law would affect organizations funded by Russia or any other country that does not recognize Georgia’s territorial integrity.

Another important component of laws on foreign influence in several Western countries is that they clearly specify whose activities the law restricts. For example, in FARA, it is stated that the restrictions do not apply to media and NGOs, but only to lobbying organizations.

However, the “Georgian Dream” proposal does not include such a mechanism. In reality, the ruling party is proposing a Russian version of the law, which primarily targets media and the non-governmental sector.

Another crucial point is that this law contradicts European Union legislation. When a similar law was enacted in Hungary, it was annulled by the EU Court. The law in Hungary was specifically aimed at silencing the media, defaming NGOs, discrediting them, and hindering their work.

“We are certain that such a law contradicts EU legislation. It is impossible for the European Union to accept us with this law,” says Saba Brachveli, a representative of the Civil Society Foundation.

Transparency of funding

It is indicative that, as independent lawyers and experts claim, this law essentially does not require non-governmental organizations to do anything new that they have not been doing so far.

For instance, the current law already obliges NGOs to annually declare their income and expenses to the Ministry of Justice. However:

• Many NGOs have posted all relevant information on their websites: a list of donors, projects, and expenditures.
• Additionally, the identification details and addresses of organizations are listed in the state registry.
• At the end of each month and year, these organizations fill out a tax return, detailing information such as the number of employees, the organization’s assets, salary payments, etc.

The state, through the Ministry of Finance, the Revenue Service, and the Financial Monitoring Service, already had complete control over every financial transaction involving funds received from international donors.

Moreover, every transaction conducted by NGOs is already recorded in the banking system.

Given all this, there is no doubt that the new law is not needed for “transparency” at all.

Experts believe it is clearly a political act aimed at silencing unwanted organizations.

What [anti-Western] arguments does the government have?

Many local and international experts believe that listening to statements from government representatives makes it clear that the main goal of this law is to smear, discredit, and undermine the trust and authority of all organizations operating in the country that the government cannot control.

Through targeted propaganda, the government seeks to portray organizations funded by Western partners as enemies.

These are organizations mainly involved in promoting democratic values, human rights, and reforms in Georgia. They investigate and expose cases of corruption, among other things.

Government officials and their satellite parties often mention the upcoming parliamentary elections, “black money,” and the “party of global war,” which purportedly seeks to drag Georgia into war.

According to the authorities, “there is a danger that the radical opposition and the non-governmental sector will bring foreign black money into Georgian politics.” According to the government and pro-Russian parties, the non-governmental sector “is engaged in LGBT propaganda and undermines society.”

“[They are offering us] a Georgia where judges will be appointed by foreigners, where instead of national identity there will be LGBT propaganda, and instead of the people, the government will be elected by a foreign state through NGO.

No foreign money in Georgian politics! No black money in Georgian politics! Foreign black money in Georgian politics means the destruction of sovereignty, turning any foreign state into a province,” says one of the pro-Russian deputies, Guram Macharashvili.

This entire anti-Western campaign unfolds both on social media, through sponsored pages and fake accounts, and in pro-government media.

The Union of Investigative Journalists ifact.ge has uncovered that thousands of people working in budgetary organizations, under the instructions of “Georgian Dream,” are coordinated to write posts in support of the foreign agents law.

When will the law be adopted?

On April 3, Mdinaradze stated that the law would be adopted in all three readings by the end of the current parliamentary session, which runs until the last Friday of June.

Usually, the process of drafting a law from its registration to final adoption takes approximately 45 calendar days if the review begins immediately. At the moment, it is unknown when official hearings will commence.

Moreover, this is not the only “Russian draft law” that “Georgian Dream” has registered for approval during this session.

At its initiative, a package of constitutional amendments restricting LGBT rights and the constitutional law of Georgia “On Family Values and the Protection of Minors” has also been introduced to parliament.

The reaction of the opposition and civil society

Opposition parties (excluding the satellite parties of “Georgian Dream”) unanimously condemn the Russian law and emphasize that it cannot be allowed to pass.

Both the opposition and the president, who vehemently opposes the government on the issue of the “Russian law,” unanimously declare that the ruling party’s goal is to sabotage European integration.

The president referred to the draft law as the “Russian law” and directly accused the “Georgian Dream” government of following the Russian direction:

“Georgian Dream” has made its position very clear — it said “no” to Europe! It firmly rejected all potential queries that pave the way for our future and the initiation of negotiations for Georgia’s accession to the EU. “Georgian Dream” is sabotaging our European path and our future!” — stated Salome Zourabichvili.

“The only response to all of this, to this usury, to this rudeness, and to this significant insult to Georgia, dubbed the ‘Russian law’ and the Russian agenda, is to voice your European stance through the parliamentary elections in October.“

Seven opposition parties have issued a joint statement against the foreign agents law.

They view the revival of the bill’s consideration as a breach of trust with strategic partners and an insult to the youth:

“We, the pro-Western Georgian political forces, condemn the resurrection by the Georgian Dream of the Russian law. This is yet another breach of trust with the citizens of Georgia and our strategic partners, and it is an affront to the young people who stood up for our historical choice a year ago, thereby preserving our country’s chance to become a full-fledged member of the European Union,” the statement reads.“

According to opposition parties, the sole aim of the Georgian Dream is to cling to power and preserve their anti-state, corrupt holdings.

Independent media outlets also oppose the new law, seeing it as a direct threat to freedom of speech.

Several joint statements have been issued by local non-governmental organizations (NGOs) as well.

In one such statement, NGOs call on high-ranking officials of the Georgian Dream, including the Prime Minister and the Speaker of Parliament, who have years of experience in the NGO sector, to “inform the public whether they have been instructed to act in the interests of a foreign state.“

International reaction: Georgia might lose EU candidate status

Representatives of friendly countries to Georgia and high-ranking officials of Euro-Atlantic structures directly state that the new law will have catastrophic consequences for the country’s Euro-integration.

According to European leaders, there is a possibility that Georgia may lose its candidate status for EU membership, which it obtained in December, 2023.

The spokesperson for the German Ministry of Foreign Affairs, Sebastian Fischer, stated that if the draft law on “foreign agents” is adopted, EU countries will consult with each other, potentially leading to Georgia losing its chance to join the Union.

In a joint statement, 22 Members of the European Parliament wrote that the revival of the “foreign agents law” is incompatible with the values and democratic principles of the European Union and contradicts Georgia’s ambitions to join the EU.

“In the event of a regressive process in Georgia’s EU accession, the European Commission may have to revert to the initial positions of the enlargement process,” the statement said.

U.S. State Department spokesperson Matthew Miller stated that the “foreign agents law” poses a threat to civil society organizations that bring collective benefits to the citizens of Georgia.

“We are deeply concerned that the draft law presented to the Georgian Parliament will veer Georgia off its European path and harm civil society organizations that improve the lives of Georgian citizens. We urge the government of Georgia to heed the aspirations of the European Union,” said U.S. State Department representative Matthew Miller.

The joint statement was issued by the chairs of foreign committees of legislative bodies from 12 European countries.

The authors of the statement—heads of foreign committees of parliaments from 10 EU countries, as well as Norway and the United Kingdom—assert that the Dream party’s draft law “is a precise copy of the Russian law on ‘foreign agents’.”

They express “deep concern” about the “Russian-style goals of this law,” which, they say, “are intended to stigmatize and weaken Georgia’s vibrant pro-Western civil society and non-governmental sector.“

According to the Helsinki Commission, the “Russian-style agent law” is an attack on Georgian democracy.“

The international organization Freedom House calls on the ruling party to “immediately” repeal the newly reintroduced “agent law.“

Czech Ambassador to Georgia Petr Kubernat writes on X:

“The word “Foreign power” in the draft law on Transparency of Foreign Influence really doesn’t sound very friendly considering that this is aid from a partner country!“

Russia was the only country whose representative assessed this draft law as “normal practice.”

Russian President’s Press Secretary Dmitry Peskov commented on the “Georgian Dream” initiative, saying it’s “absurd to consider it a ‘Russian project.'” According to him, “no sovereign state wants other countries to interfere in its internal politics. This is normal practice.“

A brief overview of the previous attempt to pass the “Russian law”

In March 2023, “Georgian Dream” first attempted to pass the “Foreign Agents Law.” Despite numerous protests, Parliament approved the bill in the first reading on March 7. This sparked widespread protests, primarily by youth, lasting several days.

Authorities used tear gas and water cannons to disperse protesters, resulting in numerous injuries, including one person losing an eye.

The unprecedented public protest and harsh international criticism yielded results – on March 9, 2023, the government was forced to backtrack, and the parliamentary majority of “Georgian Dream” withdrew the bill, already passed in the first reading.

This was seen as a victory for the pro-European civil society, although many experts and politicians at the time predicted that the ruling party would inevitably return to “Russian law.”

A year ago, as it is now, the main argument of the “Georgian Dream” was the transparency of activities of organizations funded by foreign countries.