Russian Financial Aid to Separatist Abkhazia Partially Suspended Amid Tensions

| News, Politics, Abkhazia

On September 4, de-facto Abkhazian Foreign Minister Sergei Shamba announced that Russia had suspended payments to teachers, doctors, and law enforcement agencies in separatist Abkhazia since September 1. 

He also mentioned that electricity would now be supplied to Abkhazia at commercial rates during shortages. "Since September 1, funding for some payments has been suspended. They concern doctors, teachers, law enforcement agencies, and other things. In addition, there is a question that henceforth the overflow of electricity, the need for which we face every time in winter, will be paid at commercial prices," Shamba stated.

On September 2, the relevant document was received by de-facto Abkhazian Prime Minister Alexander Ankvab. Shamba also addressed the recent social media circulation of minutes from a meeting between Dmitry Kozak, Deputy Head of the Administration of the President of the Russian Federation, and Abkhazian President Aslan Bzhania. According to these minutes, Bzhania allegedly agreed to provide information on Abkhazian parliament members and opposition leaders with Russian citizenship, who were perceived as acting against Russian interests, to potentially revoke their Russian citizenship by September 20.

Shamba clarified that he, the [separatist] President, and the Secretary of the Security Council received a document from opposition parties and public organizations questioning the authenticity of this protocol. In response, a meeting was held on September 2 at the Foreign Ministry, where the issue was thoroughly discussed. Shamba emphasized that the [de-facto] Abkhazian Foreign Ministry had not officially received the protocol, so it "cannot be defined as authentic." He noted that while the meeting took place on August 19 at the Russian presidential administration, the protocol itself was drawn up on August 26. Since President Bzhania was not present at the signing, he cannot confirm the commitments stated in the document. Bzhania also denied making such commitments; his statement was published on the official website.

However, Shamba acknowledged that the Russian authorities' revocation of Russian citizenship is the prerogative. He expressed concern over the Russian side's increasing dissatisfaction and urged efforts to "correct the situation." Despite the partial suspension of Russian financial aid, Abkhazian authorities assured that salaries for social workers would be paid, with the issue discussed in a meeting with Prime Minister Ankvab on September 3. 

In accordance with the Russian-Abkhazian agreement on assistance for the implementation of the State Program of Socio-Economic Development of Abkhazia for 2022-2025, the Russian Ministry of Economic Development has the right to partially or fully suspend the transfer of aid funds to the Abkhazian Ministry of Finance if Abkhazia fails to comply with the provisions of the agreement related to the program of harmonizing the legislation of the two countries. Due to the Abkhazian side's failure to fully execute certain points of the harmonization program, and the expiration of the execution term on August 1, 2024, the Russian side suspended financial assistance for certain categories of state institution employees in health care, education, culture, physical culture, sports, and social services.

The separatist Abkhazian Cabinet stated that in August alone, the need for this assistance amounted to 141.7 million rubles [1 million 435 thousand euros]. Despite this, the de-facto Abkhazian government pledged to meet its budgetary obligations to pay salaries to social workers, even if it required reducing other budgetary expenditures. By the end of the year, this amount is expected to total more than 700 million rubles [~ EUR 7.1 million].

Moreover, Shamba urged the need to improve relations with Russia, noting that there is currently a "confrontation." He expressed concerns about the potential consequences of ongoing tensions and the impact on Abkhazia if the situation continues. The de-facto Foreign Minister stressed the importance of addressing these issues and working together to improve the situation.

The Secretary of the Security Council of the separatist Abkhazia, Raul Lolua, also voiced concerns at the briefing about the reduction of Russian funding for security agencies. He highlighted that significant funds had been allocated to the Defense Ministry, Interior Ministry, and the State Security Service (SGB) under various security agreements between the two countries. Lolua explained that Russia had stipulated in all documents that failure by Abkhazia to fulfill its obligations could result in the suspension of financial assistance in specific areas. The reduction in funding has already affected the salaries of teachers and medics, and Abkhazia will now have to pay for electricity from the budget at commercial rates.

Lolua emphasized that Russia had fulfilled all its obligations and remained the guarantor of Abkhazia's security. He called for strengthening relations with Russia and ensuring maximum cooperation with the Russian Armed Forces and Security Council to demonstrate that Abkhazia is a reliable partner and adheres to its agreements.

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