Who controls the media in Georgia?
Under Shevardnadze, the private Georgian television channel Rustavi 2 was dreaded because of its sharp tongue. It backed the opposition until the “Rose Revolution” of November 2003 but since Mikheil Saakashvili came to power, Rustavi 2 has gone silent. Some say it is the consequence of a media hierarchy which has been associated for far too long with the political party that is now in power. A small-screen giant, Rustavi 2 is now accused of having swapped its critical outlook for political correctness.
The truth, of course, is not quite so clear-cut, if only due to the financial mix-and-match that backs the television industry.
The written press is limited here as in all regions of the south Caucasus, and thus, control of the small screens takes on a political and a financial dimension. This is a behind-the-scenes report on the goings-on in the media industry of Georgia. The interweaving of television stations and heads of local politics does not stop there. Indeed, Rustavi 2 is not spared from the political meddling which occurs in the south Caucasus region. It is a well-known fact that the channel, created in 1994, has been since 2004, in the grips of Khibar Khalvashi who claims 90% ownership. This businessman from Adjara (he owns the distribution network of Procter&Gamble in Georgia and the Pepsi-Cola plant in Tbilisi) is, most notably, a close friend to the Defence Minister, Irakli Okruashvili. He bought his shares from three previous owners of Rustavi 2 – David Dvali, Jarji Akimidze and Erosi Kitsmarishvili.
The remaining 10% of the channel’s shares are still in the hands of Nika Tabatadze, who was once Managing Director of the channel. Out of all this jumbled share ownership, one name stands out: that of Erosi Kitsmarishvili.
Co-founder of Rustavi 2, Kitsmarishvili is the former “star” Managing Director of the channel. For a year now, he has been living in New York, although he is often seen in Tbilisi. Some say it’s for business, others claim that it’s to enter into politics.
As a charismatic television tycoon with a tempestuous character, he was the figurehead of the “Rose Revolution” and a close friend to Mikheil Saakashvili. But he made the mistake of bitterly criticising the former Prime Minister Zurab Zhvania, an important figure on the political scene in Georgia, who was found dead on February 3, 2005. Criticised in turn, Kitsmarishvili saw his political impartiality questioned.
Could this be the reason why he gave up the ownership of Rustavi 2 in July 2004? Rumours at the channel confirm this theory but the subject remains sensitive, and explanations are still only ever hinted at anonymously.
On January 4th, the Georgian television industry underwent its own little revolution. Rustavi 2 announced that it had acquired 78% of the shares of the television channel Mze (Sun), a private local channel launched in 2003 by the former minister of the Economy, Ivane Chkhartishvili, which covers Tbilisi and its surrounding region.
By becoming the major shareholder of its competitor, Rustavi 2, already the owner of the daily newspaper 24 Hours, was confirmed in its position as leader of the media industry in the Georgian capital.
More importantly, the channel has recently laid hands on a competitor whose 50% share was until then, owned by businessman David Bezhuashvili, none other than the brother of the current Minister for Foreign Affairs in Georgia (the other half of the shares were in the hands of a certain Tchkhartishvili). It is a shining example of how television media and political circles interact.
An “entertainment channel”, Mze has recently only been broadcasting one single news bulletin per day. The prevailing opinion is that its rare political positioning barely conceals its loyalty to the government. Imedi (Hope), another leading channel on the Georgian television scene, is placed entirely under the control of oligarch Badri Patarkatsishvili, Russian magnate Boris Berezovsky´s former right hand man. The channel has been broadcasting for just for two and a half years and is regularly described as relatively moderate.
“Imedi´s editorial line is far from being radical”, confirms Georgi Sepashvili, editor-in-chief of the online daily newspaper Civil Georgia. “It’s a balancing act, trying not to be either in favour of or against Saakashvili´s government”. Patarkatsishvili´s channel does not represent the forces of opposition as Rustavi 2 formerly did under the presidency of the “White Fox of the Caucasus”.
Both channels compete for audience ratings even though they have very different editorial lines. Although competition between the channels is really fierce, their target market is different. According to Georgi Targamadze, Imedi´s political programmes´ director, his channel is “at the top of the national audience ratings”. More traditional, or even conservative, Patarkatsichvili´s broadcasting mainly attracts a rural audience. “As a concept, our religious and children’s programmes are more appreciated outside Tbilisi”, he adds.
On the contrary, due to its historical origins and and an editorial policy that built its reputation, Rustavi 2 traditionally leads the capital market share. “Tbilisi´s population has watched Rustavi 2 for over 10 years. They are used to referring to this channel which for a long period represented their only alternative to the regime’s television channels”, Targamadze points out. “Rustavi 2 tries to fight Georgian society’s conservatism, but it is up to a public television and not a private one to assume this role”. Today, both television leaders monopolise the advertising market. “So much os that there is nothing –or next to nothing left for other channels”, Targamadze admits, bringing to light another concern. “Advertising income is not enough and the financial balance still seems to be too fragile. {…} Research carried out mainly by American NGOs predicts that Imedi is about to reach the top of the television market”. These perspectives might be confirmed if Imedi´s owner Badri Patarkatsishvili´s financial projects succeed in the immediate future.
Indeed, while on business in Los Angeles and New York at the end of 2005, Badri Patarkatsichvili tried to finalise an agreement with the News Corp group led by media giant Rupert Murdoch. Present in over 50 countries and shareholder of Fox Broadcasting Company, New York Post, The Sun, The Times, The Sunday Times, News Corp group could buy shares in the Imedi holding. Patarkatsishvili would have to give up 50% of his shares.
On the other hand, Georgi Targamadze points out that “today, Rustavi 2´s financial situation is delicate and bankruptcy is a real danger”. The channel is heading for a 10-million-lari debt (around 5 million euros) with banks and the government. The government isn’t interested in controlling the internet for the time being, because it is a limited and specialised medium,” explained Ana Dolidze, director of the NGO Georgian Young Lawyers’ Association (GYLA), at the conference on the South Caucasus media held on November 18, 2005 by the OSCE in Tbilisi. “The use of newsletters and forums allows opinions to be expressed that cannot be expressed in media that reaches a wide audience, such as television.”
The internet opens up new possibilities. The only drawback is that internet access is expensive and still not widely available, and actors of Georgian civil society, the media as well as NGOs, have not yet quite woken up to the internet’s potential.
According to Ana Dolidze, “since the Georgian government has a budget allocated to internet communication, the publication of government decisions both in print and online should be made mandatory. The aim would not only be to increase government transparency, but also to increase the legitimacy of internet as a means of dissemination and communication. We could also begin to perpetuate democratic practices with regard to the spreading of and access to information”. An ambitious project but one that cannot be ignored for the fragile Georgian democracy
