Why Invest in Georgia: Economic Profile and Strategic Sectors
Georgia is rapidly emerging as a strategic destination for international investments. Thanks to its EU candidate status, free trade agreements with China, Turkey, and the EFTA, and favorable economic policies, more companies are asking why invest in Georgia. In this post, we analyze the country’s economic profile and the key strategic sectors driving growth.
Economic Profile and International Status
Georgia achieved EU candidate status in December 2023, marking a decisive step in its Euro-Atlantic integration. This recognition follows years of political, economic, and judicial reforms aligned with European standards, reinforcing Georgia’s role within the Eastern Partnership.
Economically, Georgia stands out for an open, trade-oriented economy. Since 2014, it has applied the EU Association Agreement, including the Deep and Comprehensive Free Trade Area (DCFTA), ensuring preferential access to the EU single market, removal of tariffs, and reciprocal access to services.
Beyond the EU, Georgia maintains free trade agreements with China, Turkey, EFTA, and former CIS countries. Its strategic location between Europe and Asia and growing role in Eurasian corridors make Georgia a relevant partner for companies operating in the Caucasus or accessing Central Asian markets.
Strategic Economic Sectors
Agroindustry and Wine Production
Georgian products benefit from the DCFTA for EU exports and growing demand from Central and East Asia. EU programs such as ENPARD support modernization of supply chains and sustainable farming techniques.
Energy and Renewables
Over 75% of Georgia’s electricity comes from hydropower. Investments are being made in solar, wind, and regional interconnections like the Black Sea Submarine Cable, co-financed by the EU and EBRD.
Tourism and Hospitality
With over 5 million visitors in 2023, tourism has returned to pre-pandemic levels. Opportunities exist in luxury, sustainability, and wellness sectors.
Logistics and Transport
As part of the Middle Corridor connecting China to Europe via the Black Sea, Georgia is investing in the port of Poti and the future Anaklia port, attracting major logistics operators.
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