Page 21 - FDI Alliance International Magazine. Winter 2020 Digital Interactive Issue.

will be reimbursed. Together with FDI grant,
Average Monthly Salary of manufacturing projects can acquire state owned
Skilled Production Operative (including social security) property (land or building) free of charge.
As for IT and marine companies, looking to
409$ 435$ 539$ 609$ 878$ 934$ 981$
service clients from Georgia, corporate profit
and personal tax will be both reduced to 5%.
Additionally, for manufacturing or hospitality
EGY GEO TUR SRB MAR ROU HUN projects, subsidizing loan interest payment or
COUNTRY OF GEORGIA Source: fDi Benchmark from the Financial Times Ltd 2020 loan collateral is available.

If we tally up all the above-mentioned Georgia’s
INVESTMENT DESTINATION 6.4¢ Electricity (per kWh) 9.7¢ 10.7¢ 12.4¢ 18¢ value proposition looks pretty strong. And yet,
there’s still more.
8.9¢
6.6¢
9.2¢
YOU WERE LOOKING FOR What makes Georgia truly unbeatable
destination is its welcoming culture and
GEO TUR ROU EGY SRB MAR HUN amazing nature
Source: fDi Benchmark from the Financial Times Ltd 2020
Distinctive with its biodiversity, Georgia boasts
rich natural and cultural resources and is home
Taxation System
join other high profile universities such as Tbilisi The fact that Georgia ranks 1st in terms of least to more than 12,000 historical and cultural
state University, Tbilisi Technical university and need to interact with government while doing monuments, four of which are included in the
Tbilisi Ilia University, that in collaboration with San business according to Trace International Matrix list of UNESCO World Heritage Sites. Georgia
18 %
Select Items
Diego State University offer ABET, ASC, WASC 2020, is one more proof of the low bureaucracy has something for everyone, the mountains, the
0%0% Tax on Retained Profit
Value
15%
Excise Tax
Added Tax
Corporate Profit Tax
accredited courses in STEM fields. Coupled and pro-business environment that Georgia sea, ancient cities, protected areas, more than
with multi lingual capabilities, well reflected in has created. 500 varieties of unique wines and one of the best
booming international business services sector, cuisines in the world. Anyone, either with family
0%, 5%, or 12%
Georgia, that sits in the foothills of Greater Belarus, Moldova, Kazakhstan, Kyrgyzstan, give investors all the opportunities to capitalize on Georgia is ready to offer investors skilled To show our commitment to making Georgia or on their own can find their type of activity, be
<1%
20 %
Import Tax
Caucasus mountains, between Black and Russia, Tajikistan, Ukraine, Uzbekistan and opportunities arising from free trade agreement workforce and highly motivated talent pool that most attractive location, we will throw in some it hiking, skiing, sun bathing on the beach or
Property
(depending on
Personal Income Tax
Caspian Seas, is country with great history Turkmenistan, as well as all its neighbors and and trade flows passing through Georgia. are ready to help companies reach their goals incentives too goods imported) raving until early morning, Georgia will leave
Tax
and rich culture. Georgia is home to first ever strategic partners, Turkey, Azerbaijan and and achieve success. you wanting more and fortunately, you can find
hominids (Homo Erecturs Georgicus) to settle Armenia. As a result, Georgia provides customs If you are thinking that access to markets is To make new Investors welcome in Georgia, we that “more” also in Georgia.
in Europe 1,8 million years ago, making duty-free access to 2.3 billion market. good but you want more, Georgia has you What if we told you that this is not all and have different incentives on offer. Companies In
Georgians the first Europeans. With its unique covered there is more following sectors, Production of electrical and If you are looking to find place with great
language and alphabet, Georgia stands out General Schemes of Preference for Georgia electronic engineering products; Manufacturing access to global markets, talented people, cost
even today, but there is one thing that everybody with the US, Canada, and Japan have also There are 62 Higher education and 66 One of the lowest utility costs in the Europe, very of aircraft parts and components; Manufacture competitiveness, ease of doing business or
should be thanking Georgia for (well, at least been applied for, with the result being lower Vocational education centers produce steady competitive salaries and one of the lowest taxes, of vehicles and equipment, as well as their parts; maybe all of the above than Georgia is right
almost everybody). Georgia is birthplace of wine, tariffs on 3,400 goods exported from Georgia. supply of fresh professionals, with over 150 make Georgia one of the most cost effective Export of business services/ business process place for you.
as first evidence of wine-making from 8,000 thousand students graduating over last 5 years. location in Europe and wider region. Over 75 outsourcing (BPO); Developing Warehouses
years ago was found in modern day Georgia. Furthermore, a proposed series of FTAs, Georgia is about to strengthen its position as % of electricity is generated from hydro and and logistic centers; Aircraft repair and If its sound too good to be true, than we would

including Georgia-Israel, Georgia-India and educational center in the region with new Kutaisi wind, making electricity not only cheap but also maintenance (MRO) can apply for FDI grant like to invite you to Georgia, since seeing with
Over last decade, Georgia has become Georgia-U.S., are also in the works. International University, which at full capacity green. The country has four free trade zones, from “Invest in Georgia”. Costs incurred for your eyes will make you a believer in Georgia
synonymous with successful reforms and rapid will host 60 thousand students. KIU operational but the nominal land costs and government employee training and infrastructure upgrades – where it is a pleasure doing business.
development. Georgian success has been widely With its strategic location and well developed model was developed in partnership with support amount to the country nearly being one
recognized and has gained the country the name infrastructure, 4 sea ports, 3 international Technical University of Munich and will offer big free zone already. Since 2017, corporate
of a “Top Reformer” many times over the years. airports, internationally connected railway vocational, undergraduate, graduate, and post- profit tax on reinvested profit is 0% and Pension
As a result, small country on the crossroads of (connecting China and Turkey), highway from graduate degree programs as well as research Contribution is only 2%. Georgia’s stripped- One of the Lowest Taxes in The World
Europe and Asia has become one of the best border to border, Georgia is well positioned to possibilities in science and technology. KIU will down and streamlined tax scheme has produced
places to do business. the 3rd lowest overall tax rates in the world
according to World Bank Group. Paying taxes
HOW CAN YOU BENEFIT BY is simple and transparent. Companies pay taxes
CHOOSING GEORGIA?
online, through commercial banks, minimizing
procedures and bureaucracy.
How about tariff free access to markets with
2.3 billion population?
Taxation is just one of many examples of ease
of doing business. In fact, one of the first thing
The Association Agreement with EU was
signed and ratified in 2014, including Deep you notice while getting started in Georgia
and Comprehensive Free Trade Agreement is how simple and transparent everything is.
(“DCFTA”). In 2016, Georgia signed free Georgia ranks 7th in Ease of Doing Business DAVID TAVLALASHVILI
trade agreement with EFTA countries, giving 2020 ranking by World Bank and for a good DEPUTY HEAD OF INVESTMENT DEPARTMENT
Georgian products duty free access to markets of reason. This is not just a ranking, but rather
Iceland, Liechtenstein, Norway and Switzerland. something you can feel. For example, starting (995) 32 2 96 00 10 investingeorgia.org
Since then, Georgia has concluded free a business or registering a property takes only
trade agreements with the People’s Republic hours and can be done by visiting only one
of China (including Hong Kong) and most office. Same easiness and simplicity can be 18 Uznadze str. 0102 Tbilisi, Georgia
recently with UK, that will come in force after experience while dealing with any government
the Berixit. Additionally, Georgia has signed organization. Getting permits or licenses or dtavlalashvili@enterprise.gov.ge
FTAs with CIS countries that include Armenia, dealing with customs, everything is transparent,
fair and most importantly, does not take too long.
21. FDI ALLIANCE INTERNATIONAL