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Economics
Education Ministry allows universities to introduce 3-year BA programs...

The Ministry reported that European countries have such 180-credit programs and practice them in the best interests of students.“The 3-year programs will contribute to the implementation of more joint international programs in Georgia. The Ministry actively works in this direction. As a result, with the involvement of all universities, other programs may gradually be amended,” the Ministry said.The Ministry further stated that legislative regulations would be adopted shortly to permit universities to carry out 1-year MA programs.

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66% Of Higher Educational Institutions Are Located In Tbilisi

As of the document, at the beginning of the 2023/2024 academic year, 54.3 thousand students were enrolled in Georgian higher education institutions, out of them 32.4 thousand in state universities and 21.9 thousand in private universities. Student admissions increased by 8.4 percent compared to the same period of the previous year.

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The number of foreign students up by 22,5%

According to the document, the number of professors in higher education institutions is 11.2 thousand, which is 5.9 percent more compared to the same indicator of the previous year.The chart below shows the number of professors in higher education institutions in 2023/2024 academic year.

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Geostat: GDP grew by 5.8% in January

In January 2024, compared to the same period of the previous year, the estimated real growth in following activities contributed significantly: Construction, Financial and insurance activities, Information and communication.Declines were registered in Trade, Real estate activities and Manufacturing.

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Deputy Economy Minister denies allegations Gov’t prevented Air Georgia...

Kodua on Tuesday said he had been in a meeting “months ago” at the Ministry of Economy, with the involvement of “several employees” from the US Embassy, where he alleged the Georgian side had expressed its “readiness” for launching flights to the country.“I raised the issue and involved the US Embassy, I brought representatives to the Minister of Economy. At the meeting, the Ministry [officials] said they welcomed this [initiative], but when the meeting was over, they told me that if possible, I should refrain from organising these flights”, – Kodua said.In her response, Kvrivishvili said Air Georgia's certificates for aircraft operation, transport and carriage had been cancelled by the Civil Aviation Agency in December 2022 due to removal of the only aircraft operated by the company - an Airbus 330-343 - from the State Registration of Civil Aircraft upon the request of its owner.“According to the requirements of the legislation, absence of an aircraft in the operation of an airline is one of the direct grounds for cancellation of aircraft operator's certificate and transportation and carriage certificate”, Kvrivishvili said..She further added the three-year business plan submitted by Air Georgia to the Civil Aviation Agency had not included the launch of air traffic with the United States.

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WB Practice Manager: Middle Corridor to create jobs for people in Cauc...

According to the WB Practice Manager, there are infrastructure needs and a range of operational issues that should be addressed “urgently.”“Today’s event I’m very excited to say, is about our report, the World Bank’s report on the Middle Corridor, and what it will take to unleash its potential. The Middle Corridor, of course, has been around, and it has served the countries of the Caucasus, it’s served Kazakhstan, and helped Kazakhstan export a lot of its goods towards Europe, and also towards China. But what has changed, of course, in the last two years, is that for all kinds of geopolitical reasons, this has become a place where people look for the potential land bridge. And that has increased both the intensity with which consumers have looked at this and the possibility that the middle corridor has. And that’s why there has been a course of studies, EBRD did a study and we have done a study that looks at what it’ll take to make this middle corridor a competitive corridor for land bridge traffic.Now, what we have found is that while they are, of course, infrastructure needs, and they always are, what is needed perhaps quite urgently are a range of operational issues. So, to think about digitalization, to think about border management and reducing the amount of processes that have to go through, and to think about having one service. At the moment, the middle corridor is like a series of pipes of different capacities that are very loosely joined together. You want one service, you want one pipe so that containers that have to travel from one end to the other can think of the corridor as a viable alternative. And then what you want to do is remember that it’s not only about taking containers from one end to the other.This corridor has the potential to create jobs for people in the Caucasus, in Kazakhstan. So when we say to turn it into an economic corridor, we are talking about how to make use of the fact that you’ve got a big transport corridor in your neighborhood to create jobs, maybe distribution center jobs. This is not easy, but this is what the potential is,” he said.

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WB Regional Director: Georgia one of key countries in Middle Corridor

According to the WB Regional Director, Georgia is one of the key countries in the Middle Corridor.“Today we’re launching a World Bank study called Unlocking the Potential of the Middle Corridor, and there are a number of findings, but I think the key finding is that there’s an opportunity to triple trade volumes and to half travel time as compared with what the times were in 2021 and the trade volumes of 2021, which means that there is a huge potential for economic development if the middle corridor is fully developed, but this is going to take some time and it’s going to take some investments. And most importantly, it’s going to take collaboration between the various stakeholders, both public and private, in order to make it happen.In terms of challenges, as you can imagine, currently, to travel over or through a number of countries, you encounter a number of bottlenecks in relation to customs, in relation to different modes of transport, et cetera, and the study looks at this, and essentially tries to give some solutions to address these issues. Because speed and cost are going to be essential in order to ensure that there are multiple users of this. In terms of Georgia’s role, Georgia is one of the key countries that was investigated, was examined.In fact, our study looked at Georgia, Kazakhstan, and Azerbaijan as three key countries on the Middle Corridor and the roles that they will play and what will be needed from them in terms of improving operational efficiency, more and better infrastructure, developing rail, for example, and perhaps using digitalization in order to address some of the challenges that are currently being experienced by those who would want to use this middle corridor.My own view is that what we need is a shared vision among the countries and among the other stakeholders who are likely to utilize this corridor. We’re talking about commerce. We’re talking about SOEs (state-owned enterprises), we’re talking about the private sector. Once there is a shared vision and a shared commitment to developing this corridor, I think sky’s the limit.One of the key findings of the report as well is that it’s not only that this corridor can be used as a land bridge between Europe and Asia, bringing goods from Europe to Asia or vice versa, really, Asia to Europe is the typical flow of goods, rather than a lot of intra regional trade will develop or will be sufficiently, substantially increased by having this middle corridor in place. And so it’s really an opportunity for economic development for the countries of this region,” – she said.

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Macroeconomic Outlook and 5 Key Themes for 2024

The outcomes of elections have the potential to substantially alter the policies of major global nations toward the region. Therefore, it is crucial to incorporate alternative scenarios into business plans and decision-making processes.In 2024, the partial outflow of migrants will continue. Nevertheless, this is not expected to have a significant impact on economic growth or exchange rates. In the real estate sector, the impact of migration has faded away in 2023, and the demand in 2024 will be primarily influenced by natural factors such as urbanization, desire to improve living conditions, and normalized investment demand.The persistent outflow of labor and demographic trends contributes to a prolonged challenge of labor shortages. To address this issue, industries may increasingly tap into the potential of neighboring countries with relatively lower income levels.In 2024, according to the base scenario, the main macroeconomic indicators - economic growth, inflation, interest rates and the exchange rate - after significant fluctuations in recent years, will be more normalized.

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Economy Minister: visa-free travel with China will bring economic bene...

“China is a key trade and economic partner of Georgia. Many citizens from our country have travelled to China for business purposes, but it has not been an easy process. I believe the introduction of a visa-free regime will significantly simplify and facilitate this process, leading to an increase in the number of visitors from Georgia to China”, Davitashvili said.The Minister noted the “very important” decision made by the strategic partner state marked a continuation of the cooperation agreement signed with China last year.“In September last year, the Georgian side made an important gesture by cancelling short-term visa [requirements] for Chinese citizens, which was a friendly step directly related to the economic progress in our relations. This gesture has translated into increased tourism and has paved the way for more positive developments in our relationship”, Davitashvili said.He added “technical works” were underway for facilitating the enactment of the visa-free travel “soon”, enabling Georgian citizens to travel to China “without any barriers”.Georgian Deputy Economy Minister Mariam Kvrivishvili said visa-free travel would make a “direct impact” on airline market and serve as a “great incentive” to increase the number of direct flights and connections between cities and airports in both countries.“Over the last year, more than 85,000 people have travelled [between the two states]. We believe that this decision will encourage airlines to increase the frequency of flights between the two countries. This, in turn, will provide our country with an additional opportunity to attract more tourists from China, which will have a positive impact on the growth of our tourism industry”, she said.Kvrivishvili also highlighted the “liberal policy” of the Government and said it was a “key factor” in the success of the domestic tourism and airline industry.The official added talks were underway with Chinese airlines to increase flight frequency and traffic between the two countries. 

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Economy Ministry “makes every effort” to attract American airlines to...

In an interview with Imedi TV channel, Kvrivishvili noted the importance for Georgia to “further deepen” its strategic partnership with the United States, adding the establishment of air traffic between the countries would be significant to this end.“[Generally] direct flights have a great incentive for strengthening the people-to-people connection between the countries, [and] further enhancing business relations”, the Deputy Minister emphasised.She highlighted the aviation industry’s “great importance” in boosting tourism and the economy of Georgia and noted it could be “seen in numbers”, pointing out that the Georgian Government and Economy Ministry “spared no efforts” to constantly bring new airlines in the country and launch new direct routes.

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