Irakli Nadareishvili: A stable, comfortable and predictable environment has been created for business in Georgia

“According to the latest forecast of the International Monetary Fund, the economic growth rate of Georgia will be more than 5% in the medium term. This is caused not only by the convergence of internal and external positive factors, but also the result of the government's economic policy and the current structural reforms that we are carrying out. The main thing is that a stable, comfortable and predictable environment for business has been created in Georgia,” – Deputy Minister of Economy and Sustainable Development Irakli Nadareishvili stated during his speech at the panel session held within the annual meeting of the Asian Development Bank. The said session was about the use of Georgia's strategic advantages in the process of regional development and green economy construction.

The Deputy Minister spoke in detail about the challenges that Georgia faced during the pandemic and post-pandemic period, as well as the exogenous regional factors that the country’s government successfully dealt with, which was reflected in the double-digit economic growth in 2021-2022, and then the aforementioned dynamics continued successfully. According to Irakli Nadareishvili, in 2022, direct foreign investment in the amount of 2 billion USD was made in Georgia, which amounted to almost 8% of the GDP, which, in his estimation, is a record figure. The Deputy Minister also focused on increased exports and a revived tourism industry.

Irakli Nadareishvili also drew attention to the development of the Middle Corridor and the efforts made by the Government of Georgia in this direction. According to him, Georgia and other countries of the corridor are investing more in the development of relevant transport infrastructure, in addition, he said, they are working on removing border barriers, easing and unifying tariffs, because the Middle Corridor is multimodal and includes different means of transport and shipping, such as road, rail and sea shipments. “Georgia’s natural location makes our country an important player in the Middle Corridor - in fact, we are the maritime gateway to the other side of the corridor and provide a transportation route for landlocked countries. We actually connect East and West, Europe and Asia. This advantage offers even more possibilities. Therefore, a number of initiatives and activities have already been planned for the further development of the potential of the corridor,” – Irakli Nadareishvili said.

The Deputy Minister named a successful trade policy as another advantage of Georgia, thanks to which Georgia, which is characterized by a small market and low purchasing power, has access to almost 1/3 of the global consumer market due to the Free Trade Agreements. “Georgia is one of the leading countries in terms of ease of doing business. According to the assessment of the World Bank, we are in the third place in terms of beneficial tax burden. Regulations in the country, rule of law, ease of doing business are also important. The positive factor reflected in various international ratings gives businesses the opportunity to consider Georgia as a destination for opening their own business. The rate of reinvestment in Georgia is also very high, which exceeds 65%, which is an indicator that businesses are convinced by their own experience of the reality of the offers that our country offers to them,” – the Deputy Minister highlighted.

Irakli Nadareishvili also drew attention to the business promotion, start-up ecosystem, capital market development programs of the Georgian Government.







Ministry of Economy and Sustainable Development of Georgia. © 2021