From a nearly failed state in the late nineties and early 2000 to one of the most happening business destinations in the world, Georgia has indeed made a remarkable turnaround. This has largely to do with a spate of economic reforms, push for infrastructure development, and pro business legislations carried out by successive governments. These have led to the establishment of Georgia as an investment friendly destination marked by low taxes, a liberal visa regime, a stable banking system, a favourable public debt situation, stable polity, and low levels of corruption among others. Furthermore, as a spinoff to its emergence as a business friendly destination, Georgia has become a major tourist destination as well.
The growth story of Georgia has been successfully captured by the international rating agencies. According to them, Georgia is poised to outdo not only its neighbours but many important countries in the world in terms of its growth rate. These favourable ratings as mentioned below act as the bellwether for investors to suitably guide them with an overall positive outlook.
Ranked 13th in the index of economic freedom out of 178 countries (Ref: The Heritage Foundation, 2016). This is a significant jump from 99th position in 2005.
Ranked 16th out of 190 countries in the index of ‘ease of doing business’ published by the World Bank in 2017.
Rated as the least corrupt country in its Global Corruption Barometer report of Transparency International in 2013. This has pitched Georgia even ahead of Norway and Switzerland.
Sectors to invest-
The country is assiduously seeking investments from foreign and domestic players in various sectors and has set up three free zones to facilitate the same. The notable sectors to invest are –
With the growth in industry and business being fairly rapid, the increase in energy consumption has seen a commensurate rise as well. As an investor in the energy sector, the ground is ripe to build new power plants to not only meet the growing energy demands of the country but of the neighbouring countries as well.
Hospitality and Real Estate:-
The country has fast emerged as a tourist destination thanks to its diverse culture, historical monuments (12,000 in number), and a breathtaking physical landscape. It boasts of having four monuments listed in UNESCO’s World Heritage Site.
The country is a haven for setting up new industries and businesses due to factors like free trade deals with major economies, an easy visa and resident permit regime, low taxes, low cost skilled labour force, and a corruption free environment.
Agriculture and food processing:-
Traditionally, agriculture has been the primary vocation for the people of Georgia. Moreover, the long harvesting season due to a number of climatic conditions has made the country ideal for sowing multiple crops throughout the year. As a corollary, the country needs many food processing units as well making it a demanding investment sector.
Information Technology and Enabled Services:-
The enabling factors for business have made Georgia an ideal place to be the regional hub of IT & ITES companies.
Given the many positives about the country, there exist immense investment opportunities in various sectors. The best way to go about setting up a business is by engaging financial advisors in Georgia from an experienced consultancy like Kaukapital and see your business achieve milestones.