Minister of Economy and Sustainable Development explains that Georgia’s government places great emphasis on attracting both domestic and international investment. According to Minister Mariam Kvrivishvili, this year has been particularly successful, as collaborative efforts have resulted in a historic influx of USD 6.6 billion in investment into the country. She discussed this achievement during a session organised as part of the Conference of Ambassadors on “Trade, Investment, Sustainable Development in the Face of Global Challenges”.

“We all know that the very well-known group, the company Eagle Hills, is commencing implementation of a project at two main locations, Gonio and the capital, where, in effect, two new destination multi-complex sites will be developed, which will combine accommodation facilities, restaurant spaces, hotels, as well as residential areas,” Mariam Kvrivishvili noted.

The Minister of Economy reiterated that this is a very important project for the country and there are no risks whatsoever, despite frequent speculation.

“Much speculation surrounds this project and, regrettably, it is often the case when good work is being done that attempts are made to obscure it as much as possible. Therefore, up to a certain point, we have had to explain that this is a good thing and that there are no risks whatsoever in this project.

The first point to clarify is that the state has not assumed any financial obligations in any form, nor has it provided any financial guarantees to the investor, even though they are making an unprecedented investment. It is important to emphasise that, in several countries where the same company invests, the state is burdened with extensive obligations; however, the Georgian project is genuinely different in that the state has not entered into any financial or other commitments with the investor,” noted Mariam Kvrivishvili.

The Minister also emphasised that the state will be a partner in the joint venture with a 33 per cent stake, which represents an additional opportunity for our country’s budget to receive even more revenue.

“The positive impacts of the project are numerous. Among them, the most significant and worth emphasising is that our country is projected to gain approximately 11 billion lari in economic benefits. Additionally, around 25,000 new jobs will be created from the outset of construction, with about 8,000 of these jobs in Gonio and the capital once the project becomes operational. The annual tax revenue to the government will be at least 500 million lari after construction commences. Furthermore, once the project is fully operational, the state’s proportional share from its 33 per cent stake is expected to amount to 200 million lari each year,” explained Mariam Kvrivishvili.

The Minister of Economy also responded to speculation about the so-called “Arabisation”.

“Much speculation is heard about this, and I note once again, the investment has no connection whatsoever to increased migration, nor will there be any connection between the sale of flats or apartments and the granting of residence rights; this is a clear position. Nothing of this sort is written in the existing contract,” the Minister of Economy and Sustainable Development stated.