Georgian Dream Passes Amendments to Law on Grants With New Exemptions
By Messenger Staff
Thursday, April 16, 2026
The Georgian Dream-led Parliament has adopted amendments to the controversial Law on Grants, introducing exemptions for diplomatic missions, international organizations, the Georgian Red Cross Society, and financial institutions. The changes were approved in a third and final reading on April 15, following an accelerated review process.
The amendments follow a restrictive package passed on March 4, which expanded the definition of a foreign grant to cover most financial or in-kind support from abroad, requiring prior government approval.
Under the revised law, funding provided by diplomatic missions, consulates, and international organizations for activities linked to the political or public interests of foreign governments will no longer be treated as grants requiring approval. The ruling party had previously said this exception applies to funds used for the missions' own activities.
Archil Gorduladze, chair of the parliament's legal issues committee, said the changes reflect existing practice. "If a diplomatic mission receives funds from its country to carry out its objectives. none of this requires agreement with the government under existing legislation, and it will not require it under the changes either," he said.
He added that different rules apply when funds are distributed locally. "If an embassy provides funds to any natural or legal person, aimed at shaping policy in Georgia and influencing the public, this will be considered a grant and will require agreement with the government," Gorduladze said.
The updated law also exempts the Georgian Red Cross Society and grants issued by financial and credit institutions. Gorduladze said funding from organizations such as the World Bank would fall under these exemptions, noting such grants are often linked to loan agreements.
Critics say the amendments do not resolve broader concerns about the law's scope and ambiguity, and suggest further changes may be needed.
Existing exemptions remain in place for areas such as international sports funding, education and research grants received abroad, and programs including Erasmus+ and Horizon Europe.
