One of the important factors to consider in migration is the economic status of the destination country. Georgia has not had a good economic situation for a long time due to events such as civil wars, political instability, high inflation and disruption of supply and demand trading networks. For the past few decades, Georgia has been a poor country in the face of economic crises.
Structural reforms as well as government support to improve its economy have made Georgia economically better off today than its neighbors, such as Armenia and the Republic of Azerbaijan. According to research carried out with the implementation of these reforms, the economic growth of this land has been better than in previous years.
Georgian officials, with the help of the people, have been able to control inflation and reduce it to the desired level. Inflation control, of course, should be done to prevent the formation of a sick economy, since inflation is too high or too low indicates a sick economy. Inflation should be at a desirable interval to provide the best feedback on a country’s economy. This is an issue that Georgian authorities are focusing on and are trying to keep inflation under principal control.
The Impact of the Agricultural Industry on the Georgian Economy
In 2012, inflation was -2.25% in Georgia, which was not considered favorable because the purchasing power of the people was stripped; but now Georgia’s inflation is around 7% which is in the range of favorable inflation. So it can be concluded that Georgia has a healthy economy today, after going through all the events of the past.
Georgia enjoys good agricultural conditions due to its favorable climate and fertile lands. Agricultural employment is very common in the country and the agricultural industry accounts for about one-third of the country’s total income. Growing all kinds of fruits and seeds, tobacco and sugar beet have the largest share in Georgian agriculture. That’s not all, of course. Breeding cows, goats, fish, bees, sheep and pigs are other activities that are common on Georgian farms.
Since the Georgian government attaches great importance to those foreigners who invest in the country’s agriculture and livestock industry, investing in this sector is a successful investment. One of the most important reasons for migrating to Georgia, which has also increased the number of immigrants, is the attractiveness of investing in agriculture.
It should be noted that the government’s attention to the agricultural and livestock industry is so high that it has declared this part tax exempt. For this reason, agriculture and animal husbandry are one of the most important industries for foreign investors. The reason is that it offers good profit and returns to investors and brings them closer to their citizenship goals.
Other industries in Georgia and its impact on the economy
In general, the largest share of Georgia’s economy is in the food processing and production process. Of course, because of the large number of mines, another part of the country’s economy is extracting coal and manganese. In addition to coal, other minerals such as refractory soil, agate, marble, barite, iron ore, arsenic, molybdenum, tungsten and mercury are other mining industry in the country. The largest number of mines is coal and manganese.
It is interesting to know that one of the largest manganese mines in the world is located in Chiatura, Georgia, with an area of 140 square kilometers, its estimated manganese reserves amount to 250 million tons. Due to the high cost of Georgian manganese, many Asian countries such as Iran import manganese for the steel industries from India and China. The reason for the high cost of Georgian manganese is its high quality. This manganese has its own fixed customers in the world.
Georgia’s tourism industry and its impact on the economy
In 2017, Georgia faced a massive flood of visitors. According to information, the number of visitors is estimated at about 7 million. That was 2 million more than the total population of Georgia, generating incredible revenue. That is why the tourism sector in Georgia is considered to be one of the most important sectors of the Georgian economy.
According to the survey, most Georgia’s tourists are from Iran, Turkey, Azerbaijan, Russia, Ukraine and EU member states.Since the number of Georgian tourists in 2018 reached 8 million and grew by 1 million compared to last year, it can be concluded that the rate of tourist attraction is growing. For this reason, the Georgian tourism industry is currently a significant part of the Georgian economy.
Georgian exports and their impact on the economy
Research shows that Georgia’s transportation and exports, especially oil and its products, have increased. Therefore, Georgia is expected to achieve a high position in the important ports sector in the region. Ports like Putti and Batumi are the pulse of Georgia’s exports. Especially Poti, which, besides having a great impact on the export and import sector, is also considered a free trade port. Since export and import by sea is less costly and the port of Poti is connected to international free water via the Black Sea, it plays a large role in Georgia’s export and import. The most important export items in Georgia are iron, citrus, liquor, chemicals and tea. Georgia’s most important imported goods include fuel and energy, machinery and components, transportation equipment, medicine, grain and other foodstuffs.
EU assistance to Georgia and its impact on the economy of this country
In 1992 Georgia was in a state of disarray. So, by joining the IMF, it was able to get money from the World Bank and European Banks under the name of a construction country and using it to reform. For this reason, EU assistance has not been withheld from Georgia at this time, and continues to be sought after Georgia joins the European Union.Of course, as you know, Georgia has not yet joined the EU; but it is expected in the not too distant future and Georgia will use this development to secure a bright future for itself, its people and immigrants.
