KAORI MEDIA COUNTRY REPORT

1
Monday the 29th of May 2023 FOR KHALEEJ TIMES

GEORGIAEXPANDING ITS HORIZONS WITH THE UAE

The UAE and Georgia signed a CEPA agreement on the 17th of March,
confirming a common vision to increase their collaborations
2 Introduction KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES

Georgia : A blueprint for success

in the UAE’s diversification drive
LEVAN Exploring the economic growth and investment opportunities in the fastest-growing country in Eurasia
DAVITASHVILI
MINISTER OF
ECONOMY AND

Georgia
RUSSIA
SUSTAINABLE
DEVELOPMENT BLACK SEA

N
OF GEORGIA The UAE is Georgia’s top Arab
trade partner with over 63%
estled in the heart of the Cau- of total trade volume and its TBILISI
casus region, just a mere three- sixth largest global investor turkey
hour flight from the United with 5% of total FDI. Armenia
Azerbaijan
Gross Domestic
Arab Emirates lies the alluring
Product (GDP): Unemployment rate:
and opulent land of Georgia: An $ 24.6 million 16.1% (Geostat 2022)
amalgamation of plains, mountains, and sea. (Geostat 2022) Foreign Direct trade reached $468m, an upswing of 110% in
The country has carved out a reputation as a MAIN DATA GDP per capita: Investment: +$ 2 billion 2021 and fully 63% of Georgia’s trade with the
Capital: Tbilisi
+10.1%
gracious host to international visitors. Howe- $6,672 (Geostat 2022) Arab world”. Investors and business leaders
Population: 3,97 (Geostat 2022) Exports: $ 5.6 billion
ver, Georgia is more than just a destination for million people Currency: from the UAE are showing a keen interest in
(Geostat 2022)
leisure seekers. Recently, it has emerged as a (Worldometer 2023) 2022 GDP The Georgian Lari Imports: $ 13.5 billion the most attractive sectors for investment in
beacon of economic growth and development, Area: 69,700 km 2
GROWTH (GEL) (Geostat 2022) Georgia, including real estate, energy, agri-
outpacing the regional average GDP growth Life expectancy: (Geostat 2022) 1 USD = 2.55 GEL Visitors’ arrival: culture and logistics, for example. Now is the
73 years old (World Bank 1 USD = 3.67 AED Estimated at 5.4 million
rate. With a rich cultural heritage and a stra- time for them to consider new opportunities
2020) (11th of May 2023) in 2022 (Geostat 2022)
tegic location at the crossroads of Europe and this dynamic and rapidly developing country
Asia, this former Soviet republic has captured offers. Georgia’s tourism industry is also a sig-
the attention of investors and analysts alike. nificant draw for investors from the UAE.
Since gaining independence in 1991, Georgia According to Levan Davitashvili, the coun- As Georgia continues to build on its economic
has undergone a remarkable transformation, try has shown exceptional resilience in the face successes and navigate the challenges ahead,
transitioning from a centralized, planned eco- of the recent external economic shocks. Des- it is clear that this small but mighty country has
nomy to a dynamic, market-oriented one. The pite these challenges, “Georgia has achieved much to offer the world, particularly the UAE.
country has made significant strides, bolstered double-digit economic growth for the second
by a pro-business government and a commit- consecutive year. Additionally, the country rea-
ment to reform. ched a record-high export of over $5.6 billion Top 5 Export Top 5 Import
Today, Georgia boasts a diverse and thri- in 2022. FDI inflows also attained new heights Partners Partners
ving economy driven by industries such as last year. We had $2 billion in foreign direct 1. China 1. Turkey
CEPA signature between Georgia and the UAE 2. Azerbaijan 2. Russia
transportation and storage, energy, cons- investments, amongst which 48% came from
3. Russia 3. China
truction and real estate, manufacturing, and Europe”. The current government of Georgia is 4. Armenia 4. United States
telecommunications. Georgia’s Deputy Prime committed to preserving these positive trends Georgia and the UAE signed a comprehensi- 5. Turkey 5. Germany
Minister and Minister of Economy and Sustai- and ensuring macroeconomic stability. The ve economic partnership agreement (CEPA) in
Top 5 Export Top 5 Import
nable Development, Levan Davitashvili, cites minister emphasizes, “We need to keep these Tbilisi on the 17th of March, 2023, paving the
1. Copper ores and 1. Motor Cars
these sectors as key drivers of the country’s macroeconomic figures stable, so we reduced way for a strengthened economic relations- concentrates 2. Petroleum and
economic growth, highlighting their contri- the budget deficit and had fiscal consolidation hip to boost investment, trade, and tourism 2. Motor Cars petroleum oils
3. Ferro-alloys 3. Copper ores and
butions to its overall economic stability. bring it down to below 3% of GDP. The public between both countries. This agreement is 4. Nitrogenous concentrates
Due to the geopolitical tension between debt to GDP ratio was lowered to under 40%. a significant milestone in the solid diplomatic fertilizers 4. Petroleum gases
Russia and Ukraine changing trade routes, the The country’s successful track record in achie- ties the UAE and Georgia share. The minister 5. Grape-derived and other gaseous
products hydrocarbons
middle corridor has become a vital trade flow ving the targets the International Monetary of state for foreign trade of the UAE - Dr Al Ze- 5. Medicine
route between Asia and Europe. Georgia is we- Fund programs set has instilled stronger con- youdi - reports that “The UAE-Georgia CEPA *(Geostat 2022)
ll-positioned to take advantage of this trend. fidence from foreign investors”. holds vast potential. In 2022, bilateral non-oil

Pierre Muglia Diplomatic View

Kaori Media team

Project Director
Grégoire Asselin “Taking into account “The UAE’s investments
Partner & Economic Researcher
Carlota Porta
the current political in Georgia are expected
Partner & Creative Director situation, Georgia’s to continue growing
Maricruz Rojas Felix importance as an in the coming years,
Senior Designer economical partner driven by the two
Nino Kvintradze has increased and as countries’ strong
Chief Editor
such, the country offers economic ties and
Bilal Saeed
Head of Supplements at wider perspectives of shared commitment
Khaleej Times H.E. PAATA KALANDADZE cooperation with H.E. AHMED ALNUAIMI to promoting trade
AMBASSADOR IN ABU DHABI
the UAE” AMBASSADOR IN TBILISI
and investment”
3 Attractiveness of Georgia
Unlocking the
potential of Georgia
A strategic gateway to Eurasia with a favorable business climate
A
midst a shifting global investment
landscape, Georgia shines as a
promising destination for Emirati
business leaders seeking unta-
pped potential in a stable and
business-friendly environment. Georgia has wit-
nessed a remarkable 61% increase in foreign di-
rect investment in 2022, with the United Kingdom,
Spain, and the United States ranking as the top in-
vestor countries in 2022. Notably, Aqualia, Spain’s
third-largest private water company, invested $180
million in Georgia’s water utilities in 2022, drawn by
the country’s robust regulatory framework.
Mikheil Khidureli, CEO of Enterprise Georgia,
describes Georgia as a “shining star of the region,”
with a noteworthy economic growth rate of 10.1%
in 2022, following a 10.4% gain in the previous year.
Furthermore, the World Bank predicts Georgia’s
economy to grow by 4% in 2023 and 5% in 2024,
positioning the country as the top-performing
economy in Eurasia. With its strategic location,
business-friendly policies, and many investment
opportunities, Georgia has firmly established it-
self as a highly attractive investment destination.
Georgia has undertaken significant mea-
sures to improve its business landscape, ear-
ning it the seventh place on the World Bank’s
ease of doing business ranking. The country
has simplified its tax system, which is now
among the three least burdensome worldwide,
and reduced bureaucracy. Starting a business
in Georgia is now a seamless and transparent
process that can be completed within an hour.
Adding to its appeal, Georgia’s business
climate index has reached an “all-time high,”
according to the Business Association of Geor-
gia (BAG) Index, with 65% of surveyed busi-
nesses reporting an increase in
their total investments in 2022.
Dr Samson Pkhadadze, the BAG
chairman, foresees an even bri-
ghter outlook for 2023, particu-
larly in strategic sectors such as
real estate, retail, energy, logis-
tics, and transport, which have
garnered significant interest.
Situated at the crossroads of
Europe and Asia, Georgia enjoys a
prime location that positions it as
a natural gateway for trade and
commerce between the two con-
tinents. The country’s modern in-
frastructure, including highways,
railways, ports, and airports, has
been developed to facilitate the
smooth and efficient transport
of goods to and from Georgia.
Furthermore, Georgia’s free-tra-
de agreements with China, Ukra-
ine, Turkey, the Commonwealth
“The best time to invest in
Georgia is before its
EU candidacy at the end
of 2023.”
of Independent States (CIS), the European
Free Trade Association (EFTA) countries,
and the Deep and Comprehensive Free Tra-
de Areas (DCFTA) with the European Union
(EU) offer customs duty-free access to a 2.3
billion cumulated market, providing compa-
nies with unparalleled access to a vast range
of new customers.
To further encourage investment and tra-
de, Georgia’s three Free Industrial Zones - Poti
FIZ, Tbilisi FIZ, and Hualing FIZ, provide tax be-
nefits and strategic locations for foreign com-
panies interested in establishing a presence in
the country. With all these factors combined,
Georgia has become a desirable destination
BUSINESS
ENVIRONMENT
#7 on the Ease of Doing Business
Index - World Bank.
#35 on Economic Freedom -
Heritage Foundation.
#41 on the Corruption Perception
Index - Transparency International.
for companies seeking to capitalize on the re-
gion’s economic opportunities.
In addition to these factors, Georgia offers
a range of investment opportunities that have
piqued the interest of investors. Real estate, in
particular, has been an area of focus for UAE
investors due to the steady growth of Geor-
gia’s property market in recent years. The go-
vernment has implemented many measures to
foster the sector’s expansion, such as develo-
per tax incentives and a streamlined construc-
tion permit process. Furthermore, Georgia’s
burgeoning tourism industry has created pros-
pects for UAE investors to invest in hospitality,
resorts, and other tourism-related businesses.
Apart from real estate, Georgia’s ener-
gy sector has also caught the attention of
investors. The country boasts considerable
hydroelectric power potential, and its govern-
ment has been actively promoting renewable
energy projects. To encourage companies to
invest in such projects, the government has
introduced a range of incentives, including tax
breaks and guaranteed purchase agreements
for the energy generated by these projects.
Mikheil Khidureli highlights the thriving bu-
siness process outsourcing industry as one of
Georgia’s fastest-growing sectors. The coun-
try’s IT and communications sector experien-
ced a 102% increase in gross value from 2016
to 2021. Notably, Majorel, a company with a cu-
rrent workforce of over 3,500 employees, has
expanded its operations exponentially in just six
years from a modest 100 employees.
A young, dynamic, and skilled workforce
awaits in Georgia, boasting proficiency in mul-
tiple languages, particularly in the IT, enginee-
ring, and finance fields. Moreover, the average
monthly salary for these talented individuals
amounts to $635.
Mikheil Khidureli concludes that
“the best time to invest in Georgia is
before its EU candidacy at the end
of 2023. Very high yields are avai-
lable in the real estate, energy and
logistics sector for UAE investors”.
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
Highlights
STRATEGIC LOCATION
• Heart of the middle corridor, the fastest
and most economic trade route linking
China to Europe.
• Entry gate to the Caucasus and Central Asia.
FREE TRADE
• Recently signed CEPA with the UAE.
• Customs duty-free access to 2.3 billion
market: FTAs with -China, Ukraine, Turkey, CIS
and EFTA countries and DCFTA with EU.
• FTA’s negotiation with India, Israel and South Korea.
TAXES
• 6 flat taxes.
• #3 least tax burden country, with 9.9% total
tax rate - World Bank.
• 0% tax on reinvested profit.
• No social security tax.
• Special Favorable tax regimes.
FREE ZONES
• 3 free industrial zones: Poti FIZ, Hualing FIZ, Tbilisi FIZ.
• Internal processing customs regime.
WORKFORCE
• Young, skilled, competitive, highly
motivated, multi-lingual and well-educated.
• USD 635 - Average monthly salary (Geostat 2022).
• Flexible labour code.
• Working permits are not required in Georgia.
UTILITIES
• Low operating costs in electricity, water, gas
and internet.
ENERGY
• Green energy potential, specially hydropower.
• Growing domestic demand.
• Liberalized and deregulated market.
• Low prices of energy.
NATURAL RESOURCES
• Highly diversified agriculture.
• Rich metals & minerals.
• Biodiversity.
• Fresh drinking water.
TOURISTIC ATTRACTIVITY
• Welcoming and hospitable population.
• 5.4millionestimatedtouristsin2022,182.5%over2021.
• Revenues of $3.5 billion, $3.3 billion in 2019.
• Visafreeaccesstocitizensof95countriesduring1year.
BANKING
• Highly developed banking system.
• Disruptive tech practices.
TECH
• Georgia’s ICT sector grew 102% between
2016 and 2021.
• 61% increase in tech export services in 2022.
CURRENCY
• One of the few emerging market currencies
to appreciate in 2022 against the US dollar.
4 Finance
ARCHIL
MESTVIRISHVILI
ACTING
GOVERNOR AND
VICE GOVERNOR
OF NBG
W
ith the recent implementa-
tion of bold reforms and
liberalizations, Georgia de-
veloped a dynamic and
innovative financial sector.
Georgia’s growing economic potential re-
flects in its improved global financial rating.
Fitch Ratings upgraded the country’s financial
outlook from “stable” to “positive” in January,
confirming its BB credit rating. Furthermore,
in December, the International Monetary Fund
commended Georgia’s strong performance
in 2022, attributed to increased financial in-
flows, transit trade, and tourism revenue.
The banking sector in Georgia is recog-
nized for its well-managed and highly capita-
lized nature, as well as its liquidity and resi-
lience to various shocks. The country’s two
largest banks, Bank of Georgia and TBC Bank,
are listed on the London Stock Exchange and
comply with European Union (EU) standards.
“This profitable sector is helping to support
economic growth in Georgia and is characte-
rized by a concentration of players but with a
high level of competition, thanks to initiatives
MG Law:
A leading
international
law firm in
Georgia
MG Law is the first full-service
law firm in Georgia founded
by international partners and
recognized by Legal 500 as a Top
Tier Band 1 Firm
B
ased in Tbilisi since 2018, MG Law
forms part of Andersen Global, a glo-
bal network comprising legally distinct
and independent member firms. This extensive
Georgia’s dynamic and innovative
financial sector: A key driver of
economic growth
With its stable and profitable banking sector, Georgia attracts international investors and bolsters its
global standing
like open banking and the law for microfinan-
ce institutions to become micro-banks”, no-
tes Archil Mestvirishvili, Acting Governor and
Vice Governor of the National Bank of Geor-
gia (NBG). The NBG has been recognized for
its prudent regulation and has received mul-
tiple international awards.
The sector is also healthy in terms of
profits. Vakhtang Butskhrikidze, CEO of TBC
Bank, which also operates in Uzbekistan and
Azerbaijan, states that “TBC’s profitability is
more than 20%”.
“The banking sector is also one of the
most developed in the region, with increasing
digitalization efforts being made by the banks”,
The TBC Bank Head Office will be operational in 2024 (render)
“The UAE is one of
the leading investors
in Georgia, and trade
volumes will increase
even further. I see special
interest in renewables,
tourism, logistics and
transportation”
alliance spans over 13,000 professionals across
the world, ensuring a truly international reach
and support for clients. The firm advises leading
Georgian and international companies, financial
institutions, investment funds, governmental
entities, and public enterprises. MG Law has
worked in several jurisdictions, including the
United Arab Emirates, one of their main clients
being Dhabi Group Georgia.
says Archil Gachechiladze, CEO of Bank of Geor-
gia. Leading banks such as Bank of Georgia and
TBC Bank have prioritized digital practices and
technology in their banking services. Bank of
Georgia, with 1.1 million active users, provides
services on par with leading online banks such
as N26 or Revolut. Similarly, TBC Bank has in-
tegrated digital practices into its services, with
99% of its clients’ transactions completed online.
TBC Group offers non-financial services to its
customers through its digital ecosystem TNET
(including TNET Su-
per App), which has
1.5 million monthly acti-
ve users, offering easy
Nicola Mariani, the Chairman and Founder
of MG Law, points out that the comprehensive
e conomic partnership agreement (CEPA) be-
tween Georgia and the UAE will not only bring in
financial investments, but also modern approa-
ches that will contribute to the development of
best corporate practices: “Georgia will greatly
benefit from the type of investments that the
UAE will carry out, as representatives from the
UAE usually come in with a long-term vision”.
According to Archil Giorgadze, Founder and
Managing partner of MG Law, “The UAE is one of
the leading investors in Georgia, and trade volumes
will increase even further. I see special interest in
renewables, tourism, logistics and transportation”.
MG Law brings a wealth of expertise to the
table when it comes to cross-border transac-
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
and fast digital inputs to its customers in e-com-
merce, housing, auto and lifestyle.
Perhaps the best evidence of the sector’s
efficiency and stability is that “there have been
no banking bankruptcy cases for many years”, as
observed by Thea Lortkipanidze, CEO of Tera-
bank. The Georgian banking sector is vital to the
country’s economic growth and a notable player
in the regional financial landscape. Thea Lortki-
panidze also states, “The CEPA between Georgia
and the UAE will provide a range of benefits, in-
cluding promoting financial
cooperation between the
two countries, facilitating
cross-border payments and
settlement, and enhancing
access to new markets for
businesses in both nations.”
With Georgia’s positi-
ve prospects and increased
access to inter-
national markets,
the importance of
the banking sec-
tor is set to grow,
further enhancing
its appeal.
MGLAW.GE
tions, providing comprehensive guidance on a
variety of matters such as mergers and acqui-
sitions, infrastructure, project finance, capital
markets, international arbitration and dispute
resolution. The firm ensures that their interna-
tional clients receive top-notch support for their
diverse needs, including, accounting, tax and
advisory in addition to legal services.
5 Tech
Incentives and programs: Attracting
global tech companies to Georgia
Georgia emerges as a top destination for tech firms: Tax incentives and access to finance fuel growth
G
eorgia is fast emerging as a te-
chnology hub in the region. With
a range of incentives and pro-
grams aimed at attracting in-
ternational tech companies,
coupled with the construction of several
technology parks, Georgia is steadily
building a reputation as a destination
for tech startups and established firms.
One of the most significant
developments in recent years has
been the tax code amendment for
global IT companies. This context
has brought consequent tax bene-
fits for such companies, including
no property or VAT tax, a 5% cor-
porate profit tax (compared to the
general rate of 15%), and only a
5% income tax (compared to the
usual 20%). Furthermore, these
companies are not obliged to em-
ploy Georgian citizens, making it
easier for them to relocate their sta-
ff. Such incentives have made Geor-
gia attractive for tech firms seeking
to establish a regional presence.
The access to finance for startups has
also increased significantly in Georgia. The
Georgian Innovation and Technology Agency
(GITA) now grants programs up to $60,000
per startup, financing 40 local startups each
year, chosen by international players, mainly
from Silicon Valley. GITA has also partnered
with “500 Global”, one of the world’s most
“Georgia has good talents,
and our competitive
workforce is making the
country more and more
attractive for venture
investments”
Zoom on Georgia’s
fintech sector
G
eorgia’s fintech sector has been actively
developing since the early 2000s, with
commercial banks’ introduction of digital
services and products. Today, the field is repre-
sented by various companies, including 40 pay-
ment service provider organizations and diversified
payment solutions. According to David Kikvidze,
chairman of the Georgian Fintech Association, “the
Georgian government initiated the implementation
of Open Banking in 2020, which presents great
opportunities for commercial banks and fintech
AVTANDIL
KASRADZE
CHAIRMAN
OF GITA
recognized accelerators, and with Bank of
Georgia to run an accelerator program. $2 mi-
llion have already been invested by Bank of
Georgia in the past two years, with an addi-
tional $5 million to be invested in the next four
years. This program has attracted applica-
tions from several countries, making Georgia
a regional innovation hub.
Georgia has also established a techno-
logy transfer program with the European
Union, with GITA as a tech transfer office.
Since 2018, GITA has invested $12 million in
over 200 startups. Some of these startups
have raised up to $140 million in additional
private capital. Examples of successful Geor-
gian startups include Pulsar AI, Payze, and
companies alike”. The full imple-
mentation of open banking is ex-
pected to create new business
models, contribute to market ex-
pansion and innovation, and crea-
te additional opportunities for tap-
ping into new business segments.
“The Georgian
government
initiated the
implementation
of open banking
in 2020”
TECH INSIGHTS
Internet freedom:
7th out of 70 countries
Freedom House 2022 report.
Georgia’s ICT sector grew
102% between 2016
and 2021.
Theneo, which have all gained significant re-
cognition for their innovative solutions.
Furthermore, the ICT sector in Georgia
has experienced significant growth in recent
The emergence of Kernel,
a local platform providing in-
telligent financial tools to busi-
nesses, illustrates the notable
achievements of the Georgian
fintech landscape. The startup
has successfully expanded into
the Indian market. Furthermo-
re, international investors like
Binance have established a
blockchain hub in the country
to boost talent recruitment,
advance blockchain education,
and expedite cryptocurrency
adoption within the region.
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
Aionrise, Kutaisi factory
“The UAE is also
emerging as a
potential market for
Georgian startups to
sell their products,
particularly for
hardware startups
thanks to free trade”
years, with a gross value added,
which grew by 102% between
2016 and 2021. Export ser-
vices from this sector also
increased by 61% in 2021,
thanks in part to the arrival
of overseas IT and business
process outsourcing companies
such as Combined Radio Solutions
and Lineate.
As for foreign investors, Lineate, a global
software consultancy based in New York,
established its Georgia office in 2022, for
example. The company will invest $700,000
in Georgia thanks to the local FDI grant
agreement. Also, Girteka, the largest as-
set-based transport company in Europe, has
chosen Georgia as the location for its Global
Business Services hub and aims to create
300 jobs there by the end of 2023.
The technology sector in Georgia is un-
dergoing rapid development, with the cons-
truction of several technology parks, the
amendment of tax laws, and the establish-
ment of programs to attract and support
tech startups. Avtandil Kasradze, chairman
of Georgia’s Technology and Innovations
Agency (GITA), notes that “Georgia has good
talents, and our competitive workforce is
making the country more and more attrac-
tive for venture investments” before adding
that “the UAE is also emerging as a poten-
tial market for Georgian startups to sell their
products, particularly for hardware startups
thanks to free trade. Moreover, the possibi-
lity of joint ventures between Georgian and
UAE startups presents an exciting opportu-
nity for future growth and co-
llaboration”. With these factors
in play, Georgia’s technology
sector is poised to continue its
upward trajectory and establi-
sh itself as a regional leader.
6 Agriculture and Agro-Industry
Georgia’s agricultural sector: A small
country with big potential for growth
and already top-quality products
Georgia’s potential in agro-food production offers attractive trade and investment opportunities for the UAE
W
ith its fertile soils, ample
water resources, and 12
climate zones, Georgia
boasts a highly favora-
ble natural landscape
for agriculture. Indeed, cultivating an array of
agro-food products has been a longstanding
tradition in this land, with a history stretching
back centuries. Notably, agriculture is a pri-
mary source of income for many of the coun-
try’s rural residents, with a significant 47% of
the population employed in this vital sector.
Georgia’s thriving agricultural indus-
try’s growth and success hinge partly on its
economic relationship with the United Arab
Emirates. As such, the recently signed CEPA
between the two countries holds significant
promise for bolstering the export of agro-
food products. Notably, Georgian goods are
increasingly in demand in the UAE, which bo-
des well for agricultural producers. To further
advance the sector’s growth, the Georgian
government has been actively promoting
modern technologies and techniques, and
training local farmers to meet international
market demands.
Encouragingly, recent years have seen re-
markable progress in the rate of agribusiness
production, the industry’s added value, and a pressive 112% over the past decade, with a
reduction in rural unemployment. Specifically, further 14% increase recorded in 2022 alone.
agribusiness production has surged by an im- The industry’s added value has similarly ex-
perienced a significant uptick, amounting to
$1.75 billion, marking a 13% rise from 2021.
Investments in Georgia’s agricultural in-
dustry reached a substantial $6.2 billion in
2022, with the state providing $1.2 billion
in co-financing. Impressively, the country
achieved a record-breaking level of agro-
food product exports in 2022, amounting to
OTAR
SHAMUGIA $1.3 billion and spanning 96 countries. The
MINISTER OF government is investing $6 million in promo-
ENVIRONMENTAL
ting Georgian products in key foreign mar-
PROTECTION &
AGRICULTURE kets in 2023, focusing on strategic regions
OF GEORGIA such as the United States, Europe, and the
UAE to expand the industry’s reach further.
In 2021, Georgia’s agricultural exports to the
“We have the resources UAE totaled $1.1 million, indicating significant
to increase our export potential for future growth.
Given that increasing agro-food exports
potential further. is one of Georgia’s top priorities, the coun-
Government-supported try’s Minister of Environmental Protection
projects work in this and Agriculture of Georgia believes that free
trade with the United Arab Emirates opens
direction, and we will
a new door of opportunities for the country.
continue to invest in this In GCC countries, Otar Shamugia conveys
field in the coming years” that Georgia mainly exports lamb meat, na-
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
Collage by Maricruz Rojas
AGRICULTURE
FACTS
47% of the population is
employed in the agricultural sector.
Agro-food product exports in 2022:
$1.3 billion and in 96 countries.
Total Investment in Georgia’s
agricultural sector (2022):
$6.2 billion.
Gulfood 2023 Dubai:
25 Georgian participants.
tural juices, non-alcoholic beverages, nuts,
and fruits. The volumes increase annually,
proving the concluded agreement (CEPA)
will be favorable and valuable for both par-
ties. “We have the resources to increase our
export potential further. Government-su-
pported projects work in this direction, and
we will continue to invest in this field in the
coming years. Our resources in terms of mi-
neral waters and non-alcoholic beverages
are quite large because we have enterprises
in the country that meet modern standards”,
7 Agriculture and Agro-Industry
NINO
ZAMBAKHIDZE
CHAIRWOMAN
OF THE GFA
“Those who have tasted
Georgia’s local products
note that it possesses an
authentic flavor, with
tomatoes tasting like
tomatoes and cucumbers
like cucumbers”
says the minister, adding that the agricultu-
ral sector of Georgia is one of the attractive
ones for foreign investors. “The government
creates all the conditions for investors to
make investments in agriculture easy and
profitable for them. For instance, the govern-
ment offers preferential agro-credit projects
for local and foreign investors. In Georgia,
conditions are quite good regarding this as-
pect, and our tax system also proves this”,
says the minister. Moreover, the Ministry of
Environment Protection and Agriculture of
Georgia is launching a $150 million project
with the Government and the World Bank
to renovate and modernize infrastructure in
prime locations of the country. Irrigated agri-
cultural land area will increase while capacity
for land management will be enhanced at the
national level.
Nino Zambakhidze, the chairwoman of the
Georgian Farmers’ Association (GFA), the lar-
gest union of local farmers boasting over 6,000
members, notes that the UAE market is parti-
cularly drawn to Georgian natural organic pro-
ducts for several compelling reasons. “Those
who have tasted Georgia’s local products note
that it possesses an authentic flavor, with to-
matoes tasting like tomatoes and cucumbers
like cucumbers,” explains Nino Zambakhidze,
citing the high quality and eco-friendliness of
Georgia’s small-scale, high-standard produc-
tion as a significant factor.
Nino Zambakhidze further highlights the
ample opportunities for growth and develo-
pment in Georgia’s agricultural sector, which
remains at an early stage of development.
The GFA offers numerous resources for lo-
cal and foreign farmers, including retraining
programs, access to new technologies, and
assistance with sales via foreign donor or-
ganizations. Additionally, the association
prioritizes the digitization
of sales processes and pro-
vides farmers access to cut-
ting-edge agricultural practi-
ces and technologies. Overall, the
GFA is crucial in empowering
farmers and enhancing the
quality of Georgian agricultu-
ral products, making them at-
tractive to buyers in the UAE
and beyond.
In terms of organic pro-
ducts, it is especially notewor- «The UAE
thy to mention blueberries. demands
Georgia has a real potential to
high-quality
become a new significant glo-
bal player with almost 1,000 products. We
hectares planted, generating a have taken the
minimum of 2,500 tons of fresh
blueberries each year. Honey,
first steps and
hazelnuts, and almonds are plan to make
other top export products from improvements,
Georgia. The country produced
33,200 tons of hazelnuts in
especially
2022 and became the fifth pla- after the free
yer worldwide. Georgian sheep trade regime is
meat and dry fruits are already
found in the UAE market. activated»
The director of the Geor-
gia Franchise Office at Gateway & Partners
and Board Member of the Export Develop-
ment Association, Gvantsa Meladze, con-
siders that the comprehensive economic
partnership agreement with the UAE will
boost export potential and give the farmers
the possibility to diversify markets. She adds
that the main challenge for Georgia nowa-
days is its awareness in the global markets
and logistics to deliver fresh products. “The
Gulf countries have been interested in this
region for a long time. We have a free tra-
de agreement with one-third of the world.
Georgia is a great gateway to the European
market. When the free trade agreement with
the UAE will come into force, it will attract
investments not only in agriculture but in
various directions, as Georgia is among the
shortest routes to reach the European mar-
ket”, she adds.
Some Georgian companies already have
experience in cooperation with the UAE. Among
them is the company Kula, one of the largest
producers in the country that exports pro-
ducts to 26 countries worldwide. The
director of Kula, Vano Goglidze,
states that at this stage,
the enterprise is in the
process of finding new
partners in UAE, and
the main focus is on
organic,
natural,
sugar-free
products. “Kula produ-
ces fresh products, 99% of
them are bought from farmers.
We processed 70,000 tons of
fruits and vegetables last year
and cooperated with more than
4,000 farmers.”
Another example of suc-
cess is Margebeli Holding. The
company produces more than
200 products. Its main asset
is the production of mineral
sparkling water. The company’s
director, Mikheil Svimonishvili,
declares that one of their fa-
mous brands - “Nabeglavi” -
mineral water is already sold in
the UAE. The company cooperates with the su-
permarket chain LuLu and has even rebranded
its water’s name to “Goodness” specifically for
this market. He specifies that “the UAE demands
high-quality products. We have taken the first
steps and plan to make improvements, especia-
lly after the free trade regime is activated”.
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
Meama is a Georgian
coffee capsules producer
introducing new
innovative approaches
The recently held Gulfood exhibition
in Dubai showcased 25 Georgian compa-
nies looking to establish trade partner-
ships in the UAE. Some already reached
export agreements, such as Gorge apple
producer or Agritouch, a fruits and blue-
berry producer. Strengthening economic
relations between Georgia and the United
Arab Emirates will be a crucial factor in the
future development of the rapidly growing
agricultural sector. The increasing demand
for Georgian agricultural products in the
UAE presents significant opportunities for
Georgian farmers and exporters to expand
their operations and increase their reve-
nue. The business communities of both
countries have already established coo-
perative ties, and government officials and
private sector representatives anticipate
a significant increase in trade volume be-
tween the two nations. Although Georgia is
a small country, it has yet to fully realize its
agricultural potential, which offers poten-
tial investors and trade partners a range of
opportunities in agro-food production, li-
vestock breeding, and related fields. This
potential is evidenced by the
growing interest in agricul-
ture, mainly because many
government assistance pro-
grams are directed toward
agricultural development.
8 Energy KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES

Exploring Georgia’s renewable energy

potential: A promising future ahead
Georgia is among the top countries in the world by water resource per capita, with more than 26,000 rivers, of which 300 provide
opportunities for hydropower

I
n the early 2000s, Georgia had a sche-
duled electricity supply due to inadequa-
te energy generation and infrastructure.
However, with energy independence be-
coming a top priority, Georgia now exports
electricity at certain times of the year, thanks
to the abundance of renewable energy sources
within the country. These sources include hy-
droelectric plants, solar power, and wind power.
Notably, Georgia has tailored regulations and
tax systems to attract investors.
Last year, the electricity sector in Georgia
had an outstanding year with record-high ex-
port revenues of $84.3 million and a positive
trade balance of $43.2 million. The country ma-
naged to maintain low electricity prices on the
local market and was not affected by the global
energy crisis and price hikes. Over 70% of the
supply comes from hydro generation meaning
its cost does not depend on external factors.
Amid rising local and international demand,
the country seeks to start new energy projects Kartli Wind Farm

and revive old ones. The government expects

about $3 billion in investments for new energy
generation projects in the next three years.
At the end of 2022, Georgia’s installed ca-
pacity was 4.5 GW. Within this figure, hydro-
power plants contribute 3.4 GW, wind power
plants represent 0.02 GW, and thermal power
plants account for 1.1 GW. By introducing a con-
tract for differences (CFD) as a new support
mechanism for renewable energy, the govern-
ment anticipates an increase in investor interest
and an acceleration of capacity additions in the
coming years. According to the scheme, the
ENERGY
state commits to purchase electricity from the
private sector with the price set at the public
auction for 15 years, thereby promoting the de-
velopment of local generations. As a result, the
scheme ensures stability for
contracting parties amid ener-
gy price fluctuations.
“Within the framework of
the new mechanism supporting
the sector, auctions will be an-
nounced for 1,500 MW of elec- «Within the
tricity in the next three years.
950 MW will be hydro gene- framework
rated, 500 MW will come from of the new
solar and wind stations, and 50
mechanism
to September, favorable weather conditions ena-
ble the country to export electricity, but for the
rest of the year, it depends on imports. As a re-
sult, constructing new power generation facilities
in the country is a crucial priority,
particularly given that the do- ROMEO
MIKAUTADZE
mestic consumption has been FIRST DEPUTY
increasing yearly in line with MINISTER OF
ECONOMY AND
economic growth. Currently, only SUSTAINABLE
30% of the hydro resources are DEVELOPMENT
OF GEORGIA
utilized, making the sector parti-
cularly enticing for investors.
Apart from production, Geor-
gia uses its geographical location a power cable estimated to have a total length
and adopts the role of an energy of about 1,195 km, with 95 km being on land and

HIGHLIGHTS MW will come from other types

$84.3 million: Record-high
export revenues in 2022.
$3 billion: Expected
investments for new energy
generation projects in the next
three years.
4.5GW: Overall installed capacity.
1,195 km: Length of the Black
Sea submarine cable.
Auctions will be announced for
1,500 MW of electricity in the
next three years.
Masdar: Leading Emirati
investor in the renewable
energy sector of Georgia.
of generation. The first capacity supporting
auction of 300 megawatts was the sector,
completed a few weeks ago.
We have received 78 proposals
auctions will
for 900 MW in total. As a result be announced
of the review and evaluation, for 1,500 MW
24 companies have been iden-
tified as winners. The projects
of electricity in
cover hydropower, wind and the next three
solar power plants. The gover- years.»
nment of Georgia believes that
this scheme will contribute to
the emergence of new invest-
ments in the field”, says Romeo Mikautadze, First
Deputy Minister of Economy and Sustainable
Development of Georgia.
One of the primary obstacles facing Georgia’s
electric energy sector is its seasonality. From May
transit country. The “Akhaltsi-
khe-Borchka” transmission line,
which links Georgia’s electricity
grid to Turkey, operates at full
capacity. As a result, Turkey re-
ceived 4.02 TWh of electricity
from Georgia in 2022, from which
0.86 TWh was exported from
Georgian producers (+290.9%
y/y), and 3.16 TWh was transited
through Georgia from surroun-
ding nations (up by 3.03 times).
In the near future, Georgia’s
energy sector will witness the
launch of its most substantial historical project,
which will enhance the country’s transit role in the
region: the Black Sea underwater power trans-
mission cable. The project will link the South Cau-
casus region with South-Eastern Europe through
1,100 km underwater. The transmission cable will
facilitate electricity export from Georgia, Azerbai-
jan, and Armenia to the European Union. The esti-
mated cost of the project is $3 billion.
“The Black Sea submarine cable is a regional
project. It is an opportunity not only for Georgia
but also for our neighboring countries. All countries
involved in the project will have the opportunity to
import and export electricity from and to Europe.
The price of electricity is higher in the EU market
than in the region, creating an affordable environ-
ment for investment”, says Romeo Mikautadze.
The project has a target completion date
of 2029. The World Bank is heavily involved in
the construction process, conducting techni-
cal and economic feasibility studies. The Euro-
pean Union also supports the project and has
highlighted its considerable importance.
As a member of the EU Energy Community,
9 Energy KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES

THE BLACK SEA

SUBMARINE CABLE UKRAINE The Energy Mix in Georgia is relatively
PROJECT diverse compared with other countries in
the region:
HUNGARY
MOLDOVA
ROMANIA
CROATIA RUSSIA

BOSNIA AND
HERZEGOVINA SERBIA Black Sea
MONTENEGRO
BULGARIA

NORTH MACEDONIA GEORGIA

ARMENIA
AZERBAIJAN

GREECE
TURKEY «I recommend
all investors
interested in
Georgia to visit
the country first,
IRAN
SYRIA so that they can
LEBANON see with their
IRAQ own eyes the
potential that
Black Sea
JORDAN submarine exists in the
cable project country today»

tor of Peri, Lasha Iordanishvili, notes that foreign

Gardabani station 500
“The Black Sea submarine
cable is a regional project.
It is an opportunity not only
for Georgia but also for our
neighboring countries.”
Georgia must comply with European legis-
lation, which includes the liberalization of its
energy market. An energy exchange stock
will be launched soon, enabling companies to
participate in daily trading.
In addition to local investors, there is great
interest from foreign investors. For instance, the
Georgian Energy Development Fund (GEDF) in-
tends to build Georgia’s largest solar power station
in collaboration with Abu Dhabi-based company
Masdar, a global leader in renewable energy and
Enguri hydropower project
sustainable development. The solar power station
will have an installed capacity of up to 100 MW.
“Solar power projects will significantly redu-
ce Georgia’s dependence on energy imports. It
will also help the country meet its commitments
under the association agreement with the EU
and achieve its goals related to renewable ener-
gy action plans and addressing climate chan-
ge”, says Jaba Khmaladze, director of GEDF.
In Georgia, 1.53TWh of electricity was impor-
ted in 2022, accounting for 10.3% of the total de-
mand. Of the total imports, 82.5% came from Rus-
sia, 8.4% from Azerbaijan, and 9.0% from Armenia.
The first European company to enter the
Georgian energy sector in 2006 was Energo-Pro
Georgia. Owned by the Czech company Ener-
go-Pro, it is the largest electricity distribution
company in the region. It operates 15 hydropower
plants with a total installed capacity of up to 500
MW and one gas turbine power plant with a 110
MW capacity. The country can count on its “vast
potential in hydro generation, its clear regulations
and its open market”, says Givi Jgarkava, member
of the board of directors at Energo-Pro Georgia,
before adding that “full and precise implementa-
tion of EU practices will positively affect transpa-
rency and fairness of prices in the market. This
liberalization process is currently ongoing”.
The fact that Georgia is attractive to foreign
investors is confirmed by Peri, one of the coun-
try’s first and leading construction companies
of energy generation facilities. Peri aims to de-
velop a power facility with an installed capacity
of around 500 MW within 3-4 years, including
a 206 MW wind power plant set for comple-
tion in 2024, a 50 MW solar installation in the
Kakheti region, and an expected 200 MW of
hydroelectric generation. The executive direc-
partners from the United States of America, the
European Union, and Japan are represented in
multiple of their projects. “We have a positive
evaluation of the new energy support scheme
developed by the Georgian government, as we
believe it is one way to reduce the country’s
dependence on imports. Hydro, solar and wind
energy have the potential to contribute signi-
ficantly to the nation’s energy mix, fostering a
sustainable and self-sufficient energy landsca-
pe”, says Lasha Iordanishvili.
The Georgian Industrial Group (GIG), which
owns and operates thermal and hydropower
plants with a total installed capacity of 662 MW,
is also planning and developing around 70 MW of
hydro and wind energy facilities. GIG and its sub-
sidiaries hold a significant market share in elec-
tricity generation in Georgia and are the largest
electricity trader in the country. “I recommend all
investors interested in Georgia to visit the country
first so that they can see with their own eyes the
potential that exists in the country today”, says
Lasha Mikava, CEO of Georgian Industrial Group.
The energy sector’s representatives belie-
ve that enhanced economic ties with diverse
nations, such as the United Arab Emirates, can
enable the country to allure a greater number of
investors to its most promising area of growth,
which happens to be the energy
sector. With ambitious plans of
regional significance in this field,
the country aims to tap into the
abundant opportunities availa-
ble for development.
10 Infrastructure & Logistics
Why Georgia is
a game-changer
for international
logistics
Due to its strategic location at the crossroads of Europe and
Asia, Georgia is making significant investments in renewing its
infrastructure while becoming a crucial transit hub
G
iven its strategic location at
the intersection of Europe and
Asia, Georgia possesses consi-
derable potential to emerge as
a crucial transit hub. The coun-
try’s location between the Black Sea and the
Caspian Sea and its proximity to the Cauca-
sus Mountains make it a natural gateway be-
tween East and West. Centuries ago, Georgia
was a pivotal point along the renowned Silk
Road, which connected China and Europe.
Georgia’s role as a transit hub gained sig-
nificant prominence amid the ongoing conflict
between Russia and Ukraine. Recently, the “Nor-
thern Corridor,” which ran through Russia and
was considered the most favorable route for
connecting China and Europe, has lost its appeal.
As a result, interest in the Georgian Corridor, also
known as the middle corridor,
has doubled. As a result, a sha-
rp rise in cargo flows was re-
corded in the country last year,
and it is presumed that this
volume will grow further in the
coming years. The government «There is
of Georgia intends to invest bi-
a strong
llions of dollars in the renewal
of the necessary infrastructure expectation
so that the country can fulfill its that the cargo
geographic and historical role.
The Minister of Infras-
turnover will
tructure and Regional Deve- continue to
lopment Irakli Karseladze de- increase in
clares that up to $1.08 billion
will be invested in infrastruc-
the upcoming
ture development nationwide years»
in 2023. Five thousand six
hundred projects will be an-
nounced, including the development of hi-
ghways; the provision of 24-hour clean wa-
ter supply; the construction and renovation
of kindergartens, schools, and sports infras-
tructure across the country.
Georgia is currently in the process of exe-
cuting major projects, such as the construc-
tion of a high-speed highway linking the eas-
tern and western extremities of the country.
The government’s infrastructural development
plans are extensive, and as a result, a new hub
IRAKLI
KARSELADZE
MINISTER OF
REGIONAL
DEVELOPMENT
AND
INFRASTRUCTURE
for investors is expected to emerge through
state tenders in the forthcoming years.
Georgia is modernizing its railways, buil-
ding new highways, and expanding its airports
to better connect with other parts of the world.
The country’s main international airport, Tbilisi
International Airport, has seen
a significant increase in passen-
ger traffic in recent years, while
several smaller airports could
potentially be used for cargo or
passenger transportation.
Georgia is already an impor-
tant transit country for oil and gas
pipelines transporting resources
from the Caspian Sea region to
Europe. The Baku-Tbilisi-Ceyhan
(BTC) pipeline and the South Cau-
casus Pipeline (SCP) run through
Georgia, making it a crucial link in
the energy supply chain.
The minister urges inves-
tors “to act promptly and seize
the opportunities presented by
Georgia’s rapid development”.
He advises them “not to delay
and instead invest as soon as possible to pre-
pare for the imminent growth. Various pros-
pects are available, and a quick jump over can
be expected in the upcoming years”.
The Roads Department of Georgia over-
sees 1455 km of international roads and 6943
km of secondary roads. The department’s
chairperson, Giorgi Tsereteli, highlights that
the most significant project under its supervi-
sion is the East-West Highway, Rikoti Section,
which involves the construction of 97 brid-
Poti Port - APM Terminals
ges and 51 tunnels. “Georgia is positioned as
a transit hub, and fulfilling this role requires
proper road connections”, he says.
The Black Sea ports play a vital role in
Georgia’s logistics infrastructure. Last year,
there was a notable 20% increase in sea shi-
pments. Given the escalating demand, the go-
vernment is actively exploring the possibility of
constructing the Anaklia deep-sea-water port.
The state will hold majority ownership of 51%
in the country’s largest port and is currently
seeking a 49% share-owner. The project holds
significant regional importance, making it an at-
tractive opportunity for international investors.
“The deep-sea-water port of Anaklia will
allow us to receive large ships. Our goal is
for the port to start operating in 2026. The
government’s involvement in the project will
create special conditions for interested in-
vestors”, says David Javakhadze, Director of
Anaklia Deep Sea Port Development Agency.
Poti Port is the largest seaport in Georgia,
handling liquids, dry bulk, and 80% of Geor-
gia’s container traffic. Since purchasing the
port in 2011, APM Terminals has invested over
130 million. “The significance of the middle
corridor is increasing rapidly, and Georgia’s lo-
cation is ideal in this regard. There is a strong
expectation that cargo turnover will continue
to increase in the upcoming years. Therefore,
modernization of the port infrastructure is un-
derway to double the capacity of Poti port”,
explains Julián Fernández, managing director
at APM Terminals Poti, Georgia.
Railway serves as a strong link between sea
infrastructure and land transportation. Last year,
the state-owned enterprise Georgian Railway
handled 14.7 million tons of cargo. The company
Rikoti Pass
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
can transport up to 27 million tonnes of freight
annually. However, this number is expected to
increase to 48 million tonnes by the end of 2024
after the completion of its modernization project.
“In 2022, Georgian Railways observed a remar-
kable increase of 22% in the volume of transpor-
ted goods. Given the current geopolitical situa-
tion in the region, there is a strong expectation
for the cargo volume to continue growing subs-
tantially. Aiming to increase Georgia’s competiti-
veness, the modernization project is planned to
be completed as soon as possible”, says David
Peradze, general director of Georgian Railway.
The Baku-Tbilisi-Kars (BTK) railway project
is another critical regional initiative that enables
transporting passengers and goods between
Azerbaijan, Turkey and Georgia. BTK will beco-
me fully operational by next year, with 87% of
the project already completed. Once operatio-
nal, the route will have a total capacity of 5 mi-
llion tonnes of cargo, significantly contributing
to the region’s transportation infrastructure.
The private sector has confirmed the sig-
nificant increase in Georgia’s transport and lo-
gistics load. Gianti Logistics, a company that
transports various types of cargo, has identi-
fied Central Asian and Caucasian countries as
their primary focus. The company’s CEO, Gior-
gi Makhatadze, suggested that investors from
the UAE could establish branches in Georgia
to facilitate exports to Central Asian countries,
given the vast transit potential in the region.
Georgia’s role as a logis-
tics and transit hub is on the
rise, and several large-scale
infrastructure projects are
underway in the country, with
some just commencing.
Train on the Black Sea Coast - Georgian Railway
11 Infrastructure & Logistics KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES

INFRASTRUCTURAL
NETWORK OF
GEORGIA

RUSSIA
MESTIA

AMBROLAURI
ANAKLIA

KUTAISI
Black Sea NATAKHTARI
POTI TELAVI

Main Road Network

Railway BATUMI
TBILISI
Baku-Tbilisi-Kars
Railway (Project)
Pipelines (oil)

TURKEY
International Airports

Anaklia Deep Sea Port AZERBAIJAN

Domestic Airports
(Project) ARMENIA BAKU

Sea Ports Free Industrial Zone

KARS 50 km

“Georgia is the shortest

Free trade route to Europe, and
zones: The the tax benefits offered
center of tax by the country create
attraction for additional opportunities
for investors”
production in
Georgia turing, services, and logistics. “Free In-
dustrial Zones are particularly attractive
Georgia’s Free Industrial for Central Asian countries. Georgia is the
Zones are boosting economic shortest route to Europe, and the tax be-
nefits offered by the country create ad-
growth and attracting foreign ditional opportunities for investors,” says
direct investment Soso Nibladze, managing partner of Tbi-

T
o attract foreign investment, boost
exports, and promote economic
growth, the Georgian government
has established Free Industrial Zones (FIZs).
These zones, which are now privately ow-
ned, provide various benefits to investors,
such as tax incentives, simplified customs
procedures, and streamlined regulations. In-
vestors producing goods for export in these
zones are exempt from VAT and property
tax. They also benefit from simplified cus-
Poti FIZ
toms procedures and taxes on imported equi-
pment, machinery, and raw materials.
Poti Free Industrial Zone is the oldest
and largest free zone in Georgia and covers
an area of 300 hectares. The particular
zone specializes in manufacturing, logis-
tics, and trading activities. “We provide our
investors cost-effective business set-up
packages, a range of licenses and modern
facilities as well as first-class handling and
support services”, says Tamar Sakheishvili,
chief investment officer of Poti FIZ.
The Tbilisi Free Industrial Zone, loca-
ted in the capital city of Tbilisi, covers an
area of 135 hectares and has direct access
to the main cargo transportation highway,
Tbilisi International Airport, and the city
center. The zone specializes in manufac-
lisi Free Zone.
The Hualing Free Industrial Zone, ano-
ther FIZ situated in Kutaisi , covers an area
of 110 hectares and is home to several Chi-
nese companies engaged in manufactu-
ring, trade, and logistics activities.
The establishment of FIZs in Georgia
has played a crucial role in attracting fo-
reign investment and boosting its economic
growth. These zones have become essen-
tial regional trade and commerce hubs, hel-
ping Georgia diversify its economy.
12 Infrastructure & Logistics
Pace Group: Leading the way in
the Georgian logistics industry
For more than three decades, Pace Group has played a key role in the strategic process of connecting
Asia to Europe
I
n the Black Sea, Poti port is the main ga-
teway for the Transport Corridor Europe
Caucasus Asia (TRACECA), the shortest
route between Europe, the Caucasus,
and Central Asian countries. Pace Group
is the largest Georgian-American transpor-
tation company with the port and logistics
infrastructure, covering maritime agencies,
brokerage, logistics, container services, port,
and terminal operator companies. The group
started operating in Georgia in 1992, impor-
ting American humanitarian aid cargo. Over the
years, the company has
become a regional pla-
yer with more than
1,000 employees,
IRAKLI
KERVALISHVILI
PACE GROUP
CO-FOUNDER
Batumi fertilizer terminal: The largest
American investment in Adjara
In 2021, the new multimodal terminal of mineral fertilizers run by Wondernet Express Investment
Group opened on the premises of the Black Sea port of Batumi
WEIG terminal in Batumi port
T
he Batumi Fertilizer Terminal
connects Central Asian fertili-
zers to the markets of the rest
of the world. It was developed
by American and Georgian in-
Poti Port - Pace Terminal
owning and operating the Poti New Sea Port as
well as operating eight berths of Poti Port.
Last year was particularly vital for the com-
pany as one of the most significant projects in
vestors, comprising a $25 million foreign
direct investment in the Adjara region. Won-
dernet Express Investment Group carries out
the operations of the terminal. The company
was founded in April 2017 by ADIA, Cova-
the Georgian maritime sector, the New Poti
Sea Port, was unveiled. The project, with a to-
tal value estimated at $120 million, is expec-
ted to process an additional 2.5 million tonnes
lent and Trammo Inc. and counts more than
150 employees.
The terminal, covering an area of 1.5 hec-
tares and consisting of three closed ware-
houses, is fully automated and equipped with
conveyor belt systems and a ship loader. It
features the latest filtration technology, suc-
cessfully handling a consequent volume of
mineral fertilizers. With the ability to process
up to 2 million tons of fertilizers annually, the
terminal creates the shortest and most effec-
tive route for cargo from Central Asia to the
Black Sea and onward to the rest of the world.
The Batumi fertilizers terminal is linked
via railway to the port of Azerbaijan on the
shores of the Caspian Sea and, thereon, to
Turkmenistan, Uzbekistan, and Kazakhstan.
“The middle corridor became crucial and
the best route for Central Asian cargo. There
is room for improvement and the opportuni-
ty for us to become an even bigger player in
the region. We plan to increase the annual
throughput to 7 million tons”, explains Ma-
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
“Pace Group manages
to attract more and
more traders. Georgia
is already a transit hub,
and opportunities in the
region are growing at a
rapid pace”
of freight annually, almost doubling the com-
pany’s current annual cargo turnover of three
million tonnes. The U.S. federal government
supported the project financially through a
$50 million loan issued by its International De-
velopment Finance Corporation.
“We are proud to be the largest and oldest
private company in the supply chain sector of
the region. Along with the country’s develo-
pment, Pace Group manages to attract more
and more traders. Georgia is already a tran-
sit hub, and opportunities in the region are
growing at a rapid pace”, says Irakli Kervalish-
vili, Pace Group co-founder.
“Now that the role of the Middle Corridor
has become crucial for regional cooperation,
Pace Group is keeping up and plans to build a
new berth in the harbour of Poti New Port. The
company believes that the growth rate of car-
go turnover in the Georgian corridor will con-
tinue increasing, partly because of Georgia’s
rapidly developing relationship with the United
Arab Emirates and other Gulf countries.”
MAMUKA
MURJIKNELI
GENERAL
DIRECTOR & CEO
“The middle corridor
became crucial and the
best route for Central
Asian cargo. There is
room for improvement
and the opportunity for us
to become an even bigger
player in the region.”
muka Murjikneli, CEO & general director of
Wondernet Express Investment Group.
Since trade flows are constantly increa-
sing in the middle corridor, Wondernet Ex-
press Investment Group has large-scale plans
for the future. The company is interested in
the deep-sea port of Anaklia, referred to as
the project of the century. The construction
of the port is set to begin this year, and it will
become a new center of attraction in the pro-
cess of connecting East and West.
13 Infrastructure & Logistics
Connecting the country: Georgia’s
strategic aviation hub
Georgia’s aviation sector is rapidly expanding, with the country emerging as a regional strategic hub
W
ith three international and
five domestic airports,
Georgia is investing heavi-
ly in expanding its airport
infrastructure to enhance
connectivity and improve cargo infrastructure.
TAV Georgia, a subsidiary of TAV Air-
ports and a member of group ADP, has in-
vested $220 million in the construction and
expansion of passenger terminals at Tbilisi
and Batumi International Airports, and plans
to invest an additional $9 million on internal
infrastructural works and equipment renewal
in 2023.
According to Tea Zakaradze, general ma-
nager at TAV Georgia, the company is focused
on developing the infrastructure of its airports
in order to offer top-quality services to trave-
lers. The airport currently hosts 45 airlines and
is expected to welcome 3.7 million passengers
in 2023. Batumi International Airport was ex-
tended with a new arrival terminal in 2021. It
aims to host 750,000 passengers this year and
to double its capacity in the near future.
25 YEARS OF TAILOR-MADE SERVICES
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
Georgian cargo airlines such as CAMEX and
Geosky are emerging, and TAV Georgia is
working to improve its cargo infrastructure
at Tbilisi International Airport.
Irakli Karkashadze, director at United
Airports of Georgia, which manages three
airports, believes that attracting more air-
lines is crucial for the country’s economic
development. Kutaisi International Airport,
built in 2012 to serve low-cost airlines such
as Wizz Air, is being expanded with a new
3.5-kilometer runway to accommodate all
passenger and cargo aircrafts. The airport
plans to open a business lounge and is in-
vesting $17.87 million in infrastructure.
United Airports of Georgia
also manages Mestia Air-
port, one of Europe’s top
5 highest airports. De-
mand is growing, and the
airport is looking for ex-
pansion opportunities.
As Irakli Karkashadze
says, “More direct flights
mean more tourists, which
is one of the main contri-
butors to the development
of our country’s economy.”
Georgia is eager to welcome
Tbilisi International Airport - TAV Airports Georgia more airlines and travelers
alike, and its airports are
In addition to passenger flights, cargo poised to meet the needs of
operations are also growing in Georgia. New Kutaisi International Airport - United Airports of Georgia its growing economy.
14 Construction & Real Estate
Lisi Garden House in Tbilisi - Lisi Development (render)
T
he Georgian real estate industry
has emerged as a veritable growth
powerhouse, taking pole position
among the country’s fastest-expan-
ding sectors. Demand for residential
property, including apartments, private homes, and
tourist infrastructure, has continued upward momen-
tum, particularly in high-growth urban centers like
Tbilisi and Batumi. The market outlook is buoyed by
robust long-term demand drivers, with the urbaniza-
tion rate having swelled by 2.3 percentage points sin-
ce 2015 and forecasted to crest 60% in 2023. Nota-
bly, despite a declining trend in average household
size, currently hovering at 3.3, which is above the
European average of 2.3, the pressing need to repla-
ce outdated structures is spurring demand. Moreover,
the expanding hospitality sector is opening a window
of opportunities for Emirati investors to participate in
hotel, resort, and other tourism-related ventures.
Recent regional migrations profoundly affec-
ted the local real estate market in 2022, and the
impact carried on in 2023. The demand from
migrants was mainly concentrated on the rental
market and pushed rent prices to unprecedented
levels. In March 2023, according to TBC Capital,
rents in Tbilisi increased by 101% YoY and pushed
the yield to as high as 12.1%. The growth in sale
prices was also considerable. The total size of the
real estate market in Georgia values at around 3.6
billion dollars. Tbilisi accounts for approximately
71% of the market, and Batumi takes a 19% share.
Tbilisi has been experiencing double-digit grow-
th with regard to transactions and real estate prices
for several years. Due to growing demand, prices
have risen by almost 15% in the past year, with an
anticipated growth rate of 20% projected for 2023.
Consequently, competition in the development and
construction markets is considerably high. Irakli Bur-
Old City Panorama II in Old Tbilisi - Apart Development (render)
Georgia’s booming real estate
market: Opportunities for
local and foreign investors
The confluence of surging demand for apartments, private residences, and tourist amenities,
coupled with the disruptive effect of heightened migration on pricing dynamics, has engendered a
substantial upswing in the potential for investment in the real estate sector
Next Collection in Batumi - Next Group (render)
diladze, CEO of the construction and housing deve-
loper company BK Holding, notes that in the last ten
years, the annual volume of real estate sold in the
country has tripled in the housing market.
The real estate market is one of the prominent
areas of interest for Arab investors. The significant
attraction has pushed several Georgian companies
to launch sales branches in Dubai. One such firm is
York Towers, a developer with a concept of resi-
dential properties inspired by the UAE. One more
enterprise that intends to open a branch office
in Dubai by the end of the year is Mardi Holding,
which will open the first Novotel Living in Georgia
in 2024 in collaboration with Accor Group. Further-
more, Apart Development, a key player specializing
in contemporary buildings in the historic precinct of
Old Tbilisi, will also open a shop in the UAE.
Notably, Georgian development compa-
nies have made significant inroads into the UAE
market. A case in point is Next Group, an invest-
ment-development firm renowned for crafting
opulent 5-star complexes in collaboration with
premier global hotel brands. Currently, the com-
pany is undertaking a landmark project in partner-
ship with Nakheel, a preeminent master develo-
Meama Coffee Plant in Tbilisi
per, as part of the development of Dubai Island.
In recent years, the burgeoning appetite for fa-
mily-friendly settings replete with lush greenery has
surged in Tbilisi. To cater to this discerning clientele,
CEO Nodar Adeishvili of LISI Development has set in
motion an ambitious project to construct a residen-
tial enclave in the city’s heart, close to Lisi Lake.
Along with the expansion of the real estate
market, architecture also plays a pivotal role in
the country. Khmaladze Architects is one of the
companies modernizing the landscape of real
estate throughout the country. Major company
projects, such as McDonald’s in Batumi and the
Meama coffee plant in Tbilisi, have earned nu-
merous prizes in the A+ Awards. Another such
example is Spectrum Architecture, a Georgian
Centropolis - Alliance Group in Batumi (render)
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
annual return on
investment in the
Real Estate sector
company with a global footprint; half of its pro-
jects are situated across diverse locations in the
Middle East, the US, Asia, Africa, and Europe.
The Batumi real estate sector became a mag-
net for foreign investors, with a marked proclivity
for this idyllic coastal city also observed in the Uni-
ted Arab Emirates. A critical factor in augmenting
the market’s allure is the investment facet, with
many developers crafting upscale hotel complexes
featuring rooms for sale. Notably, Alliance Group is
one such entity, with its towering 230-meter-hi-
gh edifice set to become the tallest in Georgia.
Meanwhile, adjacent regions near Batumi are also
witnessing rapid development, as exemplified by
the ongoing construction of the Mziuri Gardens re-
sidential complex. Gumbati Group and Tourinvest
are also historical and trustworthy players in the
Adjarian construction and real estate landscape.
Georgia’s real estate and construction mar-
ket has emerged as an enticing
avenue for investment, with both
local and foreign investors keenly
scouting for opportunities to ca-
pitalize on its high-profit margins
and stable growth prospects.
15 Construction & Real Estate
Quality and efficiency:
The story of Anagi
Anagi was established in 1989 and quickly became the leading
construction company in Georgia, counting more than 250 projects
successfully completed since its creation
Park Home Vake
F
or more than three decades, the
Georgian company Anagi has spe-
cialized in civil and industrial cons-
truction, encompassing all phases
of the building process. With a
commitment to providing comprehensive ser-
vices to its customers, Anagi offers full-ser-
vice packages, from initial design work to the
final commissioning of a site.
The company’s plans for the current and next
year are quite ambitious. Anagi has signed con-
tracts for the construction of half a million square
meters. Among them are private orders, both
from local and foreign clients, as well as state
Grand Maison’s
Calligraphy Towers:
A blend of luxury living
and profitable investing
Calligraphy Towers is a dwelling complex in Batumi with unique
infrastructure and investment potential
C
alligraphy Towers is an elite-class
residential complex located on
Heroes’ Alley in Batumi, one of
the city’s most rapidly developing
areas. The investment potential of
the apartments and the unique infrastructure
attract clients from both Georgia and abroad
who have the opportunity to purchase annua-
lly growing and profitable real estate on the
Georgian black sea coast. The project’s author
is the construction company Grand Maison,
founded in 2020 as a joint initiative of three
founders with years of experience in construc-
tion and real estate locally since 2009.
Grand Maison has already built and imple-
mented several high-rise buildings in the center
of Batumi and operates in different sectors, in-
cluding the construction of urban infrastructure,
buildings. The construction of the Marriott brand
hotel on Mount Tabori in Tbilisi is particularly no-
teworthy, as it will be a seven-star hotel, making
it the most outstanding project of the world-fa-
mous brand in the region. For the next two years,
Anagi plans to complete the construction of we-
ll-known brand hotels such as Ibis and Tribe.
The vision of Anagi relies on three main fac-
tors when interacting with customers: quality,
time, and price. “The standards of real estate
construction in Georgia are getting closer to the
European ones, and the prices remain competiti-
ve, which creates a favorable environment for bu-
siness,” says Irakli Gogolishvili, CEO of Anagi. He
notes that western Georgia is particularly attracti-
ve to foreign investors interested in construction.
He believes that the CEPA agreement signed with
the UAE will benefit the private sectors of both
countries and sees a unique prospect for enterpri-
ses specialized in real estate to provide services
outside the country. “Currently, 60-70% of real
estate on the Black Sea coast of Georgia is bou-
ght by foreigners. Possibilities are growing along
with the quick evolution of these western regions.
Several foreign businesses are already benefiting
from such opportunities”, he adds.
With its 3000+ employees and ISO
9001:2015 and ISO 45001:2018 certifications,
Anagi is dedicated to meeting the demand of
highly competitive markets and providing excep-
tional services while staying up-to-date with the
most modern and technical advancements and
changes in the construction sector.
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
IRAKLI
GOGOLISHVILI
CEO OF ANAGI
“The standards of real
estate construction in
Georgia are getting closer
to the European ones,
and the prices remain
competitive”
ATC
ATC
the production and selling of building materials,
as well as the arrangement and rehabilitation
of tunnels and bridges. 10% of the company’s
clients are from the UAE, so Grand Maison be-
lieves that the comprehensive economic part-
nership agreement (CEPA) signed between
both sides will increase this number even more.
According to Levan Dolidze, the founder of
Grand Maison Calligraphy Towers, “Investing in
Georgia is made attractive by high returns on in-
vestments in a rapidly growing real estate market.
In addition, prices in Georgia are quite affordable,
and the tax system is friendly to the private sector.”
“Investing in Georgia is
made attractive by high
returns on investments
in a rapidly growing real
estate market”
“Calligraphy Towers” apartments are desig-
ned for permanent living, seasonal recreational
purposes, and profitable investing. The company
rents out its real estate, generating passive inco-
me for the clients. The unique infrastructure of the
complex includes a cinema, co-working space,
conference hall, 290 m2 indoor swimming pool,
and electric cars. The Hampton by Hilton Hotel
will be on the complex’s 10th floor. It is part of the
international hotel chain Hilton Worldwide. The
values of Calligraphy Towers are maximum priva-
cy, comfort, and high-level service.
16 Construction & Real Estate KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES

Building a better future

for the last four decades
GOGI
GULORDAVA With 500 completed projects and 2000+ employees, Dagi Construction rises along Georgia’s
FOUNDER
OF DAGI
sustained development

D
agi, one of Georgia’s major
construction, renovation, and
reconstruction companies, has
accomplished over 500 pro-
jects across the country in its
20 years of development.
The company’s roots date back 35-40
years ago to the Soviet era, and its accu-
mulated knowledge and experience have
allowed it to deliver modern standards and
the highest quality to the market. After re-
branding in 2003, Dagi became one of the
most prominent players in the Georgian
market. This reputation has made it one of
the country’s leading performers, and many
significant projects implemented are asso-
ciated with this brand now. The company’s
portfolio is quite diversified and includes the
construction of stadiums, offices, residen-
tial complexes, hotels, the reconstruction of
educational institutions, and tourist and cul-
tural heritage sites.
Gogi Gulordava, the founder of the com-
pany, emphasizes that each completed pro-
ject is unique and remarkable for them. The
company’s work ethic revolves around qua-
Mikheil Meskhi Stadium’s rehabilitation
lity and standards, so Dagi always seeks to
improve in this direction. Dagi was the first
construction company in the country that ob-
tained an ISO certificate in health and safety and the use of modern materials in the cons- “When the company’s
in 2015. Dagi obtained ISO 9901:2008 certi- truction process”, says the founder of the
history began, only one
ficate in 2012. Moreover, from that year until company, who adds that last year was nota-
today, Dagi is on the “White bly productive for Dagi. Soviet standard was in
List” of the State Procure- In 2022, Dagi had the force in the country.
ment Agency, which is proof opportunity to undertake up
of quality work performed by to 60 projects, out of which
Since then, we have
the company. 20 facilities were completed implemented new
The company keeps hand- within the year, spanning 16 benchmarks and innovative
ling an increasing amount of «We have cities in Georgia. Most of the-
practices in Georgia”
construction sites, especially worked for se ventures were undertaken
now, with many rising oppor- as part of the governmental
tunities along with the coun- the most project ‘Renovated Regions,’
try’s progress. strategically which enabled the company part of it”, - says Gogi Gulordava. The com-
Dagi has been at the fo- to expand its business across pany’s plans for the current year continue.
important Mikheil Meskhi Stadium’s rehabilitation
refront of Georgia’s construc- the eastern and western re- The list includes the construction of educatio-
tion industry for more than sites in the gions of the country. nal colleges in several regions, the construc-
two decades. “During these country and Amongst its most recent tion of a cable car in Tbilisi, the construction
years, we have gained broad projects, the founder of Dagi der-21 Championship, which opened up new of a residential building for 680 eco-migrants
experience. Despite a couple
have always highlighted the construction of opportunities for the company to construct in the city of Batumi, and many more.
of challenges, I can say that kept evolving» a Vocational School in Khas- and reconstruct football stadiums. In parti- The company takes great pride in its
nowadays, Dagi is the lea- huri, the rehabilitation of the cular, Dagi carried out the rehabilitation and portfolio of construction and reconstruction
ding construction company Tbilisi State Medical University reconstruction of the two football stadiums projects for educational institutions, which
in Georgia. We have worked building, and the restoration in Tbilisi. The firm also constructed a brand- creates a special responsibility for Dagi to
for the most strategically important sites in of Tbilisi State University - the latter is a mo- new stadium in Kutaisi, featuring modern contribute to the education and progress
the country and have always kept evolving. nument of cultural heritage. amenities and standards. of the younger generation. The enterprise
The company regularly strives to follow te- As for the current year, Georgia is the “The whole country is preparing for this recognizes the importance of education in
chnological developments and innovations host country of the UEFA European Un- championship, and it is an honor for us to be the country’s development and is committed
17 Construction & Real Estate
Hotel Museum
to playing a significant role in this process.
Their ultimate desire is to contribute even
more to the construction of educational ins-
titutions and to continue playing an active
role in shaping the country’s future.
The company’s founder emphasizes the
importance of establishing pioneering cons-
truction approaches in the country. “When
the company’s history began, only one
Soviet standard was in force in the coun-
try. Since then, we have implemented new
benchmarks and innovative
practices in Georgia. Within
this mission of modernizing
the construction industry,
we welcome students of the
construction faculty to train
in our company. In addition «It is very easy
to the fact that the students
learn about the specifics of
to do business
the work on the spot, they in Georgia. The
are given the opportunity to country is free
continue their employment from excessive
at Dagi. Furthermore, emplo-
yees of Dagi constantly im-
bureaucracy,
prove their qualifications in which creates
Western countries. As a re- a special
sult, representatives of cons-
truction companies from the
attractiveness
neighboring countries come for investors»
to us to improve their qua-
lifications and knowledge”,
says Gogi Gulordava.
As a developing country in various
fields, Georgia offers numerous opportuni-
ties for international investors. The coun-
try’s strategic location, business-friendly
environment, and strong economic growth
potential have attracted significant fo-
reign investment in recent years. Efforts to
modernize the infrastructure have created
a favorable context for investors looking
to establish or expand their operations in
the country.
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
Varketili Park
“It is very easy to do business in Georgia. “Today there are As the development of the above-men-
The country is free from excessive bureau- mass opportunities for tioned sectors relies heavily on construc-
cracy, which creates a special attractiveness tion, companies such as Dagi are vital to
for investors. We have had the pleasure of investors, starting with the country’s overall development. In the
working on numerous projects with interna- airports or the development coming years, Dagi plans to continue its
tional partners, and such collaborations will
of hotels and resorts, in commitment to progress and growth, as it
only continue growing.” has done in the past decades. The com-
The recently signed comprehensive eco- which investors can count pany remains focused on its core values
nomic partnership agreement (CEPA) be- on state support” of ensuring the highest quality, modern
tween Georgia and the United Arab Emirates standards, and safety in all its projects. By
represents a remarkable opportunity for in- adhering to these principles, Dagi aims to
ternational cooperation. This sector is being activated in parallel with the remain at the forefront of the construction
agreement has the potential transition to new standards.” industry in Georgia.
to significantly boost trade
and investment flows be-
tween the two countries, pro-
viding a range of new oppor-
tunities for businesses in both
nations. The agreement crea-
tes a more favorable environ-
ment for businesses to ope-
rate and grow by eliminating
trade barriers and streamli-
ning economic relations.
“Georgia is on the deve-
lopment path; it is a bright
time to sign this agreement.
I would single out tourism,
agriculture, and construction
as attractive sectors for in-
vestors. In terms of tourism,
Georgia is a unique country
where one can visit both
the mountainous regions and the seaside
in one day. The rich history of the country
also contributes to the development of the
sector.” Gogi Gulordava adds that “Today
there are mass opportunities for investors,
starting with airports or the development
of hotels and resorts, in which investors
can count on state support. With regard to
the development of the agriculture sector,
the construction of cold storage farms is
Renewed regions of Georgia, rehabilitated
on the agenda, and the waste processing
18 Construction & Real Estate KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES

Pontus Rotana
Resort & Spa
Flagship luxury hotel
project in Georgia
Pontus Capital is developing one of Georgia’s largest hotel complexes
on Gonio resort that will be managed by the UAE brand Rotana Hotel
Management Corporation PJSC

P
ontus Capital is a private equi-
ty firm that invests in the fas-
test-growing sectors of the Eas-
tern European economy. The
company manages assets worth
over $50 million. Its investment strategy offers
investors exposure to alternative asset classes
with long-term investments in resilient busines-
ses that lead to better returns.
Pontus Capital’s investment strategy
centers on identifying swift-growing sectors
and backing tenacious businesses to attain
“We believe that there are
many similarities between
the cultures of the Arab
world and Georgia when it
comes to hospitality.”
superior stakeholder returns. Pontus Deve-
lopment, Pontus Capital’s portfolio company,
primarily focuses on the real estate and tou-
rism sector. The company is developing a
5-star hotel on Gonio seaside’s first line, 14
minutes from the center of Batumi, on the
ROTANA GONIO
Georgian Black Sea coast.
BY PONTUS DEVELOPMENT:
The hotel will be built according to the Total project cost: $45 million
brand’s standards and managed by Rotana Residential area: 25,600 m2
Hotel Management Corporation PJSC, a pro-
minent hotel management company head- Number of keys: 600
quartered in Abu Dhabi, in the United Arab Average room size: 42.7 m2
Emirates. Founded in 1992, the company
Minimum investment:
has experienced substantial growth and is $100,000
now recognized as one of the leading hotel
brands in the Middle East, Africa, and Turkey.
19 Construction & Real Estate
Pontus Capital
PORTFOLIO
PONTUS DEVELOPMENT
Developing a 5-star hotel on
the first line of the seaside in
Gonio. While a large number
of serviced apartments are
offered for investment in
Georgia, Pontus Development
has decided to create a
brand-new concept – a hotel
managed by an international
hotelier, which guarantees
the best available ROI on the
investment property market of
Georgia. Project feasibility and
profitability are approved and
conducted by Cushman
& Wakefield.
PIXEL OUTDOOR
Advertising company with
over 3,000 m2 of advertising
space and full packages of
advertising services. The
company was founded in 2011
and holds up 40% of the total
market size in Adjara, Georgia.
GEVERSE CONSTRUCTION
The construction company
founded in 2016, performs
high quality construction
for comfortable and modern
housing in Georgia.
HECA BIOTECH
The pharmaceutical company
develops molecules and
formulas and invests heavily in
R&D to develop internationally
accepted and useful drugs.
Rotana currently manages a portfolio of over
100 hotels and resorts. The company has a
significant presence in the UAE, operating
43 properties, including luxurious 5-star ho-
tels, resorts, and apart-hotels.
Pontus Development is offering a uni-
que investment opportunity in the Georgian
hospitality market through the ownership
of hotel rooms managed by a renowned
international hotelier. With numerous ser-
viced apartments and branded residences
available for investment in the country, this
innovative approach provides individual
and corporate investors with the potential
for higher returns than traditional real es-
tate investments in Georgia. The Pontus
Rotana Resort & Spa Gonio, the country’s
first Middle East hotel, is the region’s lar-
gest hotel. The prestigious Rotana Hotel
Management Corporation PJSC will mana-
ge it. Cushman & Wakefield, a highly repu-
table commercial real estate services firm,
verified this project’s feasibility and profi-
tability. Investors can acquire ownership
of the project by purchasing hotel rooms,
with revenue sharing based on the owner-
ship structure of the hotel. This offering
presents a rare investment opportunity in
Georgia’s hospitality market that should
interest sophisticated investors seeking
diversified investment strategies.
Georgia has one of the most favorable in-
vestment climates in the region, making it an
attractive destination for investment. It is one
of the few countries with free trade agree-
ments with China and the EU. Significant
structural reforms have been carried out to
simplify business and construction permit pro-
cedures, cut red tape, simplify licensing and
permitting regimes, and improve tax and cus-
toms procedures. Such reforms have led to an
approximation to EU legislation and a signifi-
cant improvement in the World Bank doing bu-
siness indicators. In 2020 Georgia was ranked
number 7 in the World Bank’s most recent
Construction & Real
KAORI MEDIA COUNTRY REPORT
“Ease of Doing Business Index”. The economy
of Georgia also rates thirty fifth in the Heritage
Foundation’s Economic Freedom Index (2022)
and fifteenth in the Economic Freedom of the
World report by the Fraser Institute.
Gonio is a picturesque coastal resort re-
nowned for its stunning beaches, cleanliness,
and breathtaking sunsets. Gonio is also close
to the foothills of green mountains, providing
a stunning backdrop for visitors to enjoy. The
hotel’s private beach will offer guests a sere-
ne environment to relax and soak in the sun
while enjoying the waters of the Black Sea.
Gonio resort, the tourist suburb of Batu-
mi, also known for its famous Gonio-Apsa-
ros Fortress, is the oldest citadel in Georgia,
whose formation dates back to the Roman
Empire. Occupying 4.5 hectares (over 11
acres) near Batumi in Adjara Region, Gonio
Fortress is a rare and vital link to Georgia’s
ancient past.
Batumi international airport is only 7 mi-
nutes from Gonio, 14 minutes from Batumi
center, and a 10-minute drive to the Turkish
border near Sarfi.
Real estate is one of the key areas of fo-
cus for Pontus Capital and its development
arm, Pontus Development. The company is
meticulously scrutinizing multiple ongoing
pipeline projects within Georgia. Pontus
Capital has set its sights on the ambitious
goal of expanding and developing the highly
esteemed Rotana hotel brand and its asso-
ciated entities throughout Georgia. Notably,
the Gulf countries have shown a burgeo-
ning interest in Georgia, and Pontus Capital
is strategically leveraging this upward trend
by penetrating the market with the first-ever
Middle Eastern brand. This move is poised to
yield substantial dividends.
Estate
FOR KHALEEJ TIMES
SUPPORTING
FACILITIES
Restaurants
Indoor and outdoor
swimming pools
Relaxation and Spa
Fitness center
Rooftop
Private beach
Conference halls
Interactive play zone for kids
Parking zones
Guy Hutchinson, president & CEO of
Rotana says “We are excited to be partne-
ring with Pontus Capital to debut the first
Rotana branded five-star property in Geor-
gia. Complete with a glamourous seaside, a
variety of fine-dining venues and elevated
recreation facilities, Pontus Rotana Resort &
Spa Gonio will deliver on our singular brand
promise of ‘Treasured Time’ for guests and
visitors alike. The 600 key property marks a
momentous milestone for Rotana as we con-
tinue to expand our footprint internationally
with new regions in the pipeline and we look
forward to the successful launch in 2026”.
The company believes that the recently sig-
ned free trade agreement between Georgia and
the United Arab Emirates is poised to unlock fresh
opportunities in the tourism sector. As a result, the
Gonio project, while significant, is not the sole fo-
cus, and the entity has indicated that it will explore
alternative investment avenues in the near future.
Irakli Varshalomidze, managing director
at Pontus Capital explains “we welcome vi-
sitors to discover our country’s culture, stun-
ning landscapes, and generosity; to expe-
rience the potential of Georgia’s
rapidly growing economy and
explore the exciting investment
opportunities, including our own
flagship project in Gonio together
with Rotana.”
20 Tourism
MAYA
OMIADZE
HEAD OF
THE GNTA
T
ourism has served as a primary
source of income for the Geor-
gian economy and local popu-
lation for several years. Befo-
re the onset of the pandemic,
Georgia welcomed a record-high of 9 million
international visitors, three times the size of
its resident population. The Georgian National
Tourism Administration (GNTA), a government
entity responsible for managing the country’s
image abroad and supporting local tourism
businesses, plays a pivotal role in driving the
country’s tourism industry forward. According
to Maya Omiadze, the Head of GNTA, the ad-
ministration’s primary objective is to design
and implement national tourism policies that
drive sustainable tourism development and
generate revenue for the country.
“2023 began on a high note, as Georgia was
the host country at ITB Berlin - the world’s lar-
gest tourist exhibition - under the theme Infinite
Hospitality. The GNTA remains committed to in-
creasing inbound tourism, and special attention
is given to MICE tourism”, says Maya Omiadze.
Georgia provides visitors with a diverse
range of activities in its bustling cities and
peaceful green villages, its Caucasus moun-
tains and ski resorts, and its black sea coast
resorts and towns for leisure of all kinds. The
country has a number of UNESCO World He-
ritage sites, such as Gelati Monastery, the
historical monuments of Mtskheta, upper
Experiencing Tbilisi your own
way with Marriott International
The Marriott brand is represented in Tbilisi’s historical center by the Marriott
Tbilisi Hotel, the Courtyard by Marriott Tbilisi, and Moxy Tbilisi, three hotels with
various concepts but a shared commitment to providing excellent guest service
T
bilisi Marriott Hotel has been welcoming
visitors for more than 20 years on the
capital’s main avenue, Rustaveli, in a buil-
ding with remarkable architecture and rich his-
tory; it is over a century old. Since its inception
in 2002, the 5* Tbilisi Marriott has hosted the
delegations of the President of the United States
of America and the Prime Minister of the United
Kingdom, among other VIP guests.
The Courtyard by Marriott Tbilisi Hotel, loca-
ted in the city center on Freedom Square, is an
ideal choice for families on vacation. Additiona-
lly, this newly renovated 4-star hotel frequently
Georgian tourism: A new era of
diversified and authentic tourism
experiences with infinite hospitality
The Georgian National Tourism Administration (GNTA) ensures sustainable tourism development and
increases awareness towards Georgia as a unique tourism destination that guests tend to visit repeatedly
“Supra” scene with tourists - Georgian traditional feast
Svaneti and the Colchic Rainforests and
Wetlands. Furthermore, it is well-known for
its gastronomy and excellent dining, with po-
pular traditional dishes including Khachapuri
and Khinkali, amongst many other elabora-
ted specialities. The country is also popular
for its distinct spa culture, which includes
sulfur baths in Tbilisi and other regions.
The GNTA collaborates closely with va-
rious government entities, the private sector,
“Georgians know how to
make people happy since
they are very hospitable”
attracts business travelers, offering them all the
facilities needed for meetings and forums.
“Georgia is a diverse country where one
can enjoy the mountains, cultural heritages,
city life, and the seaside simultaneously. The
opportunities for cooperation to attract many
MICE and leisure groups are huge. Georgians
know how to make people happy since they
and international organizations to develop
and enhance tourism infrastructure, as well
as to support tourism-related projects and
initiatives. The development of sustained
relations with nearby countries, such as the
United Arab Emirates, whose share in tourist
flows to Georgia is increasing annually, is be-
ing prioritized. It opens up new opportunities
not only for the local population but also for
foreign investors.
Tbilisi Marriott Hotel
Moxy Tbilisi
are very hospitable”, says Alexander Kva-
ratskhelia, general manager of Tbilisi Marrio-
tt, Courtyard, and Moxy Tbilisi Hotels.
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
“2023 began on a high
note, as Georgia was
the host country at ITB
Berlin under the theme
Infinite Hospitality. The
GNTA remains committed
to increasing inbound
tourism, and special
attention is given to
MICE tourism”
Bagrati Cathedral - UNESCO site
Courtyard by Marriott Tbilisi
Just minutes away from Liberty Squa-
re, Moxy Tbilisi, Marriott’s newest afforda-
ble-chic brand, welcomes visitors. It is a
4-star hotel tailored for those with an active
and social lifestyle, business travel or see-
king a trendy leisure stayover.
Currently, Marriott International counts
eight hotels operating in Georgia, with four
located on the Black Sea coast. The inter-
national brand plans to open several more
hotels in the coming years, with a particular
interest in touristic resorts.
21 Tourism KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES

Tourism, a crucial economic driver of the country

Local and international tourism entrepreneurs intensively increase Georgia’s standards

G
eorgia’s tourism sector is experien-
cing a steady rise, with a growing
number of Emirati residents showing
interest in the country. This trend
led airlines such as Fly Dubai, Air
Arabia and WizzAir to operate up to 40 weekly
flights between the UAE and Georgia during the
high season. Not only is the tourism industry
focused on major cities, but it is also aiding the
economy’s growth in rural areas and villages.
Adjara Group, a local and diversified hospita-
lity firm with outstanding hotels, is one such com-
pany worth highlighting. Their first “Rooms Hotel”
was opened in Kazbegi more than ten years ago
when there was almost no tourism. Since then,
the destination has become popular, and many
tourism-related businesses now operate in the
region. The group quickly created essential esta-
blishments to the Georgian hospitality landscape
on several segments, but always with a very lo-
cal print and peculiar signature: creating cultural
hubs where locals want to go, with both mo-
Gergeti Trinity Church
twist to traditional Georgian hospitality, and a
second life to big-sized post-Soviet buildings.
Inn Group is another excellent example of a
hospitality company contributing to enhancing the
tourism offerings of cities and the development
of regional tourism. Last year, they were awarded
the prestigious Golden Brand award for their “Gu-
dauri Inn” and “Bakuriani Inn” hotels, which gained
popularity within their respective ski resorts. As in-
ternational hospitality brands continue to open ho-
tels in Tbilisi and Batumi, catering to niche tourism
markets such as luxury and MICE tourism, smaller
ple vision: “The foremost factor I considered when
establishing Bioli at an elevation of 1200m near Tbi-
lisi was air quality, which is of paramount importan-
ce”. On its 32-hectare property, Bioli accommodates
visitors from 94 countries, despite having only 13
exclusive cottages for wellness guests. A wellness
community named Bioli Residence with 21 villas will
be built soon, also. With a blend of healthy nature, lu-
xurious infrastructure, and expertise in natural treat-
ments, Dr Tamaz proudly states, “I have already in-
Georgia’s emergence
as a medical tourism
hotspot
Affordable, high-quality
healthcare services drawing
global attention
vested 40 million dollars here, but if you ask me how
much ‘Bioli’ costs, I will tell you that it has no price.”
Georgia’s booming tourism industry is a testa-
ment to the country’s natural beauty, rich history,
and thriving hospitality sector. From international
hotel chains to local operators, there are many
options for tourists seeking diverse experiences,
and the government’s commitment to promoting
tourism ensures that the industry will continue to
grow and benefit the entire economy.
Litz Resort in Batumi

G
dern and traditional designs, giving a modern operators have also made significant strides in en- eorgia is emerging as a competitive player and dental clinics, such as Blits Dental Kakhaber
hancing the country’s tourism infrastructure. in the medical tourism industry, attracting Kharebava Clinic and Rogo Dental Center, offer
For example, David Ruebush, founder and international patients seeking cost-effecti- the latest treatments at competitive prices.

TOURISM CEO of Ruebush Group, believes that “Georgia

is the country of freedom and opportunities.” He
HIGHLIGHTS accidentally discovered Batumi’s potential when
he landed in the city in 2012. Starting with sim-
Georgia is a visa-free destination.
ple investments in real estate, he soon started to
4 seasons destination. help other foreigners to invest and manage their
40 weekly flights operate properties. Subsequently, he naturally shifted to
between Georgia and the UAE. developing and managing hotels, and he is pre-
during high season. sently constructing his properties and hotels with
a burgeoning team projected to expand from 70
82% increase of inbound
to over 200 employees by the conclusion of 2024.
tourism from GCC citizens
Several other investors have taken advantage
between 2021 and 2022.
of Georgia’s natural wellness resources, a segment
Quick development of MICE on the rise in Georgia. Dr Tamaz Mchedlidze, the
tourism facilities. founder of Bioli Wellness Resort, started with a sim-
ve, high-quality healthcare. The country’s popularity
is driven by affordable treatments, advanced medical
technology, visa-friendly policies, unique therapeutic
resources, and a rich cultural landscape. Key medical
sectors attracting tourists include in vitro fertilization
(IVF), dental care, and plastic surgery, with a growing
number of patients from the Gulf countries.
Georgian clinics, such as Todua Clinic, offer
advanced diagnostic and treatment services
equivalent to leading European and American fa-
cilities. The clinic’s experienced doctors and lea-
ding-edge equipment provide a range of modern
services, including genetic research, immunothe-
rapy, or laparoscopic surgery for example. Aes-
thetic clinics, like Total Charm and Kuzanov Clinic,
Luxurious recovery environments, such as
Litz Resort in Batumi, provide patients with top-
notch medical care and a comfortable setting
for recuperation. Gagua Clinic, the country’s first
private maternity hospital, boasts ultra-modern
equipment and a cozy, family-oriented atmos-
phere. The clinic specializes in maternity servi-
ces, including IVF, leveraging its 20 years of ex-
perience and highly qualified medical personnel.
The Georgian government has recognized the po-
tential of medical tourism and is investing in the sector
to further enhance healthcare services and appeal. As
a result, Georgia is becoming an increasingly attracti-
ve destination for medical tourists seeking affordable,
high-quality care and a unique cultural experience.

Pullman Tbilisi Axis Towers: can enjoy cozy and functional rooms, a sky bar on
the 37th floor, a classy French restaurant, an Olym-

A high-class hotel in the

pic-size swimming pool, and a wide range of fitness
and spa facilities. All this is accompanied by a 2000

business district of Tbilisi

m2 conference hall and an 800 m2 ballroom, which
makes large business forums successful in the hotel.
“Pullman is a new brand in Tbilisi currently es-
tablishing itself in the market. Tourism in the country
The premium international hotel brand is proudly standing and is slowly returning to pre-pandemic levels. This process
contributing to social, cultural, and business gatherings in the city is facilitated by the increase in the frequency of interna-

L
ocated in the first twisted skyscrapers of
Tbilisi, Pullman Tbilisi Axis Towers is a 5-star
hotel brand from Accor. It is a new cen-
ter of attraction for international travelers and the
business community in the capital of Georgia. A
premium location in Vake, the business district of
Tbilisi, enables the hotel guests to access nume-
rous places of interest at walking distance, such
as shopping centers, parks, cafes and restaurants,
surrounded by many offices and embassies.
The hotel’s minimalistic but sophisticated and
spectacular design combines all the services that
a business traveler needs: “Work hard, play hard”. That
is how the general manager of the hotel, Vincent Dujar-
din, describes the concept of the hotel, where guests
tional flights and the competitive pricing of Georgian
daily life in comparison to other tourist destinations.
Pullman is very well-oriented in terms of MICE tou-
rism, enabling us to host big events such as interna-
tional business conferences”, says Vincent Dujardin.
Pullman expects the occupancy to increase sig-
nificantly in 2023. Most of the new guests will come
from Europe and Gulf countries. In 2022, 5,426,903
international travelers visited Georgia, and the num-
ber of inbound tourists recovered by 71.9% com-
pared to 2019, which is a reliable indicator that the
country has immense potential to keep rising. Tbilisi Axis Towers
22 Tourism
Tbilisi, a charming capital city
to experience and taste
Exploring Georgia’s delights: From rich heritage to culinary delicacies
T
he mayor of Tbilisi, Kakha Kaladze
says, “anyone who visited Tbili-
si once will always come back”.
This statement is indeed well
supported, considering the rich
experiences Tbilisi can provide to its visitors.
Landing in Tbilisi, one can instantly feel a very an-
cient past colliding with vibrant modernity. The capital
of Georgia has been influenced by Persian, Ottoman,
Russian, and Soviet cultures, resulting in a unique
and eclectic blend of architecture, art, and cuisine.
One of the most fascinating aspects of
Tbilisi is its vibrant food scene. Georgian cui-
Fabrika Tbilisi
Comfortably ushering guests Into
the future – Episode Hotel in Tbilisi
Episode Hotel offers guests sleek design, cutting-edge technology, and an astonishing level of intelligent services
E
pisode Hotel entered the hospita-
lity industry with an ambitious and
revolutionary niche. As the first
tech hotel in the country, it offers
vacationers a trip to the future with
modern technologies, smart apps, and com-
fort-oriented digital solutions. The hotel’s his-
tory is traced back to the transformation of a
former Soviet Union student accommodation
sine is a feast for the senses, offering a wide
range of flavors and textures. From savory
khachapuri (cheese-filled bread) to juicy
khinkali (dumplings) or tender chashushuli
(beef stew), Georgian cuisine is a true ce-
lebration of local ingredients and traditional
cooking techniques.
However, Georgian food is more than just
a culinary experience. It reflects the country’s
way of life, deeply rooted in hospitality and
community. Georgians are known for their
love of long, leisurely meals shared with fami-
ly and friends. For them, food is not just sus-
Traditional Georgian Khachapuri
“We strive to make our
guests’ stay as seamless
and enjoyable as possible ”
into a contemporary and stylish property. With
the help of advanced technologies and a team
of talented architects and designers, the space
was reconstructed and transformed into a sta-
Georgian
Khinkalis
tenance but a way of connecting with others
and expressing their culture and heritage.
Beyond the food, Tbilisi offers a unique
glimpse into the Georgian way of life. The city
has charming old-world courtyards, hidden gar-
dens, and winding streets lined with pastel-colo-
red houses. The sounds of traditional music and
the aroma of roasting meats waft through the
air, creating a lively and welcoming atmosphere.
Modern art galleries, trendy cafes, and stylish
boutiques coexist alongside ancient churches
and traditional restaurants. For those seeking
relaxation, Tbilisi offers a variety of bathhouses
Bridge of Peace
te-of-the-art hotel with modern conveniences.
“At Episode Hotel, we strive to make our
guests’ stay as seamless and enjoyable as pos-
sible. We understand that guests may have a
variety of needs during their stay, which is why
we offer amenities and laundry services that
can be easily ordered through the app with
just a few taps,” says Nikoloz Cherkezishvili,
co-founder and CEO at Episode Tbilisi.
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
«Anyone
who
visited
Tbilisi
once will
always
come
back»
and spas, therapeutic treatments, with the city’s
famous natural hot springs. Tbilisi is a constantly
evolving city, yet always staying true to its roots.
Whether you are a foodie, a history buff,
or simply someone who loves to explore new
cultures, Tbilisi is a city that has something to
offer everyone. With its unique blend of history,
culture, and cuisine, Tbilisi is a true gem of the
Caucasus region, waiting to be discovered.
Old Tbilisi
In the coming years, Episode plans to introdu-
ce a new franchising model that offers property
owners the opportunity to invest in leading-edge
technologies while maximizing revenue options.
The hotel proposes a range of modern ame-
nities designed to meet the needs of
both leisure and business travelers.
Co-working spaces and mee-
ting rooms provide a conve-
nient and professional en-
vironment for those who
need to work on the go.
For larger events or con-
ferences, the hotel also
has conference rooms
available to accommodate
groups of various sizes. The-
se spaces are fully equipped
with the latest technology.
The growth potential of
the Georgian market reinfor-
ces the hotel management’s
ambitious development plans.
The comprehensive econo-
mic partnership agreement (CEPA) signed between
Georgia and the UAE serves as proof of this. The
co-founder of the hotel believes that CEPA could
further bolster the tourism sector by increasing
the number of UAE leisure tourists and business
travelers visiting Georgia. Additionally, the agree-
ment could lead to the creation of new tourism
products and services, such as cultural exchan-
ges, adventure tourism, and eco-tourism.
23 Tourism
Beyond Batumi: Exploring the
vibrant tourism scene of Adjara
A glimpse into the dynamic and bustling travel sector of Georgia’s coastal gem
T
he Adjara region, a picturesque
corner of southwestern Geor-
gia, is becoming an increasin-
gly popular tourist destination.
Blessed with stunning lands-
capes, diverse ecosystems, and rich cultural
heritage, Adjara is gaining international re-
cognition, awarded the titles of world’s lea-
ding emerging tourism destination 2022 and
european hidden gem 2022.
Tornike Rijvadze, Chairman of the Go-
vernment of the Autonomous Republic of
Adjara, acknowledges that “our state-wide
growth of 15% in 2022 makes the Black Sea
region a frontrunner in terms of economic
outlook”. He proudly shares that tourism is
the main revenue generator. “Adjara hosted
4 million international and domestic visitors
in 2022, and our government’s ambitious
goal is to exceed 6 million visitors by 2025.”
He also explains that Adjara boasts a
wide array of attractions, with three coas-
Shuamta Lakes
Experiencing a luxurious stay at
Le Méridien in Batumi, Georgia
Le Méridien, the 5-star world-famous hotel brand, stands in Batumi,
offering exclusive services for a comfortable vacation or business trip to
its guests on the tourism epicenter of the Georgian Black Sea coast
L
e Méridien Hotel, managed by Marriott In-
ternational, has French roots and has wel-
comed guests to Batumi’s historical quar-
ter for over three years. This area is known for its
narrow streets, cozy architecture, and its green
boulevard along the seacoast. Le Méridien Ba-
tumi boasts 105 large, elegantly designed rooms
and suites with stunning views of both the Black
Sea and the city center and a restaurant with a
marvelous outside terrace over the boulevard
offering French and local Adjarian flavors. Guests
can enjoy an indoor and an outdoor swimming
pool, a fitness center, and a spa. The hotel is
TORNIKE
RIJVADZE
CHAIRMAN
OF THE
GOVERNMENT
OF THE
AUTONOMOUS
REPUBLIC OF
ADJARA
“Adjara is becoming a
four-season destination”
tal municipalities and mountainous regions.
Three of Adjara’s National Parks - Mtirala,
Kobuleti, and Kintrishi - have recently been
recognized as UNESCO World Heritage si-
tes, highlighting the region’s commitment to
preserving its natural heritage.
“Adjara is becoming a
four-season destination, with
each season offering its own
distinct touristic products”,
emphasizes Tornike Rijvadze.
In winter, for example, the
Goderdzi ski resort is a pa-
radise for free riders, with
plans to expand its capacity.
In the warmer months, Adja-
ra’s mountains and protected
areas beckon hikers with 25
marked trails, while the re-
gion’s numerous waterfalls
KAORI MEDIA COUNTRY REPORT
FOR KHALEEJ TIMES
offer opportunities for canyoning. Birdwatching
is another growing attraction in Adjara, with 38 spe-
cies of raptors drawing enthusiasts to the region.
Moreover, Adjara’s vibrant cultural sce-
ne allows visitors to experience traditional
Georgian music, dance, and cuisine, creating
a rich and memorable tourist experience.
Batumi, Adjara’s bustling capital, is a
city that harmoniously combines its histori-
cal charm with modern architecture. As the Merisi Waterfall
host city for the finals of the under-21 UEFA
championship, Batumi showcases its capaci-
ty to cater to international events. The city
is also home to the ambitious Ambassado-
ri Batumi Island project, which features the
creation of two artificial peninsulas and an
island dedicated to wellness and recreation.
The head of the Department of Tourism
and Resorts of Adjara, Tina Zoidze, proud-
ly states that “60% of international visitors
come back,” indicating the region’s success
in enchanting its guests. The government’s
commitment to sustainable growth and in- Goderdzi Ski Resort
vestment in infrastructure will further enhan-
ce the region’s appeal to travelers.
As Adjara continues to flourish, the re-
gion remains dedicated to nurturing its na-
tural and cultural assets while embracing
modernity. With its breathtaking landscapes,
exceptional hospitality, and wealth of attrac-
tions, Adjara is poised to become an increa-
singly sought-after destination for travelers
worldwide. As more people discover the allu-
re of this hidden gem, the future of tourism in
Adjara looks as bright and promising as the
shimmering waters of the Black Sea. Ambassadori Batumi Island (render)
known for its modernist design, with restful co-
lors and artworks by renowned Georgian artists.
“Batumi is positioning
itself as a pearl of the
Located in the heart of old Batumi, Le Mé-
ridien offers a chic beachfront hotel setting, Georgian Black Sea coast”
making it an ideal place to unwind, indulge
and relax on the alluring Black Sea coast. (CEPA) between Georgia and the UAE will fur-
“With European style streets and squares, ther accelerate the interest of business and
an interesting mix of old and new architectu- leisure visitors from the UAE to Georgia.
re, a unique botanical garden, a seaside bou- Besides its tourist attractions, Batumi’s in-
levard, international brand hotels, cafes, and vestment potential is also a significant draw.
restaurants, Batumi is positioning itself as a The port city acts as a transit hub, with low ta-
pearl of the Georgian Black Sea coast and re- xes and business-friendly regulations attracting
presents the new modern Georgia”, says Toni more and more foreign investors annually.
Toshev, general manager of Le Méridien.
One of the main strategic approaches of Le
Méridien is to attract more travelers from Gulf
countries. Data supports this expectation: The
total number of international visits from GCC
citizens in 2022 was 208,341, which is an in-
crease of 82% compared to the previous year.
The hotel management expects that the com-
prehensive economic partnership agreement
 KAORI MEDIA COUNTRY REPORT
24 FOR KHALEEJ TIMES

visitbatumi.com