Dionis Cenusa Profile picture
Mar 9 9 tweets 2 min read
#Georgia: The ruling party has decided to avoid political and geopolitical costs and has withdrawn the “foreign agents” bill. It was an action of self-harm, which came about as a result of monopoly power and a lack of real “checks and balances”. GD will have a hard time⤵️
recovering its legitimacy. However, it is too early to say that the opposition has managed to capitalize on the street protests. The polls will show how profoundly the legitimacy of the ruling party was affected. One lesson to be learned is that the EU needs to be⤵️
more preemptive and articulate in its public positions on ALL reforms made by the govt as part of the enlargement process. Furthermore, civil society can use this victory⤵️
and the sandwich effect of protests and external pressure as a window of opportunity to hold the govt to account more efficiently.
An additional thing: the success of the protests is also a blow to Russia, which will try to hide or undermine the role of the protests in Georgia (for fear that they might inspire some liberal anti-Putin pockets inside Russia in the context of the anti-war diasstisfaction).
This is how the situation could have evolved if the government had pushed the law. They weren't very strategic in coming up with this law in the first place, but political survival is imperative so the law was dropped (hopefully for for). dioniscenusa.substack.com/p/explainer-8-…
As sone Georgian sources have pointed out, the bill has not been de jure withdrawn. The ruling party has spoken politically about the decision to annul the bill. This must materialize in practical and legal terms. The protests will probably continue to put an end to this story.
The law can be annulled if in second reading the majority votes against the bill. Therefore, an urgent parliamentary session must take place for this purpose. The protesters will demand this from the ruling party. Trust in the ruling party is low. Deeds count more than words.
Update: Caution is the right approach to what is happening in Georgia. The ruling party seeks to revise/sell to the public the "foreign agents" law rather than scrap it. The regime is adjusting its actions and its rhetoric frequently trying to muddle through the current crisis.

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More from @DionisCenusa

Mar 10
#China: The Dutch govt is the fourth after the US, Taiwan and Japan to introduce export controls on microchip manufacturing equipment to China. Bringing more countries together, the US persuaded the Netherlands to join the restrictions. This will be setting off a chain⤵️
reaction in the EU. It is inevitable that the Dutch decision will soon be supported by an EU policy to protect the technological advantage (intellectual property) of EU-based companies. Dutch PM Rutte has made it clear that technological leadership must remain in the West.⤵️
The Dutch are ready to introduce stricter investments in high-value technology (semiconductors, quantum computing, etc.). The multipolar Cold War will also have to do with the technological race.
Read 4 tweets
Mar 10
#Moldova_Georgia: The Russian MFA Lavrov accuses the West of double standards when it comes to the protests organized in Moldova compared to those we witnessed in Georgia. Actually, these are apples and oranges. Let's dig into the nuances:⤵️
1) The protests in Moldova involve local power dynamics and are organized by opposition forces that have been sanctioned by the US for their close ties to Russia (Shor Party); 2) Georgian protests were triggered by the “foreign agents” law & ceased after the law was cancelled;⤵️
3) The protesters in Moldova are made up of socially vulnerable and opportunistic categories, who are paid to join the protests and are bused from the regions; 4) There was no money involved in the protests in Georgia, where the driving force has been the youth of the capital;⤵️
Read 5 tweets
Mar 10
#Georgia: The “foreign agent” law is officially dead. In the second reading, 35 of the 58 deputies present voted against it. The massive protests against the law, together with external criticism of the West, produced the "sandwich effect" which has efficiently led to the⤵️
following results: 1) This law itself is nullified and nothing similar will be proposed in the near future by part of the ruler party; 2) This positive precedent represents a “lesson learned” for both the public and the ruling party (the former can wield power if it sticks⤵️
together and the latter is not immune from accountability); 3) The public can be mobilized to pressure the govt to adequately implement the EU requirements for the EU candidacy. These protests demonstrated that the govt can be forced to compromise with the public interest;⤵️
Read 7 tweets
Mar 9
#Russia: Due to the sanctions, Russia has begun to phase out the dollar and the euro to accommodate the decoupling process from the West. Consequently, the dollar-based export decreased to 48%, down from 87%, while the yuan increased from 0.5% at the beginning of 2022 to 16%⤵️
at the end of the same year. Similarly, Russia is using fewer dollars for imports: from 64% at the beginning of 2022 it dropped to 48% last Dec. In the same period, the yuan grew from 4% to 23%.⤵️
The de-dollarization of Russian foreign trade could probably have been carried out by Moscow more efficiently, if not the markets with which it is trading and where dollars have influence.
Read 4 tweets
Mar 8
#Critical_Goods: Under upcoming new regulation CRMA, the EU will establish a special agency that will procure critical minerals to meet green transition goals. The EU aims to produce at least 10% of these minerals internally and process 45% of them. Furthermore,⤵️
it will be supposed that Member States will issue permits for strategic mines to extract critical minerals within a maximum of 2 years. Permits for the processing industry must be granted within one year.⤵️
This localization of production capacity will support the EU's attempts to enliven strategic autonomy and reduce the critical minerals industry's reliance on China.
Read 4 tweets
Mar 8
#Ukraine: The EU is discussing today the package related to the financing of the military supply to Ukraine: 1) €1 billion from the EPF is already on the table (40% is paid by Member States; 2) the joint military procurement is taking shape, but still slowly (the EU wants to⤵️
create the demand that will boost the production of European military industry); 3) The EU raises the question of the proper functioning of the military industry to replenish its military deposits, without which the EU cannot guarantee any responsibility for strategic autonomy.⤵️
According to this package, the existing ammunition in the EU will go to Ukraine, when the Member States receive the fresh ones.
Read 4 tweets

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