In connection with the planned reform, Prime Minister Irakli Kobakhidze and Minister of Infrastructure Revaz Sokhadze met with representatives of construction companies and commercial banks. The working meeting was also attended by the heads of the Procurement Agency, the Government Administration and the Samkharauli Expertise Bureau.By decision of the government, amendments will be made to the Technical Regulations approved by Resolution No. 55 and the Law of Georgia “On State Procurement”. As part of the reform, the limit on overheads and unforeseen expenses will be increased, market prices for construction materials and machinery will be updated, and a rule for partial adjustment (indexation) of prices will be introduced.“The reform aims to strengthen the construction sector, increase the financial sustainability of state projects, and establish higher standards of responsibility and transparency in the state procurement system,” the government’s official statement says.In order to support small and medium-sized businesses, the new rules will make it possible to combine the experience of a bidder and its subcontractor in state tenders, which will make it easier for companies to participate in large projects.At the same time, the state is tightening control mechanisms: participation in tenders with unrealistically low prices (dumping) is being restricted, and the so-called “black list” mechanism is being expanded. As a result, companies of individuals involved in financial or corruption crimes will be disqualified from state tenders.The government assesses the aforementioned legislative package as one of the most important systemic reforms of recent times, which should ensure timely and high-quality implementation of infrastructure projects.

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The personnel change comes after SOCAR completed the process of acquiring a 99.82% stake in Italiana Petroli from API Holding. According to the Italian oil company, Davitashvili will directly manage IP’s operations in Italy.His main priorities will be to ensure business continuity, strengthen the company’s position in the local energy market, and oversee the large-scale integration of Italiana Petroli into the SOCAR Group.Levan Davitashvili held the position of Minister of Economy and Sustainable Development of Georgia from 2022 to 2025, and since 2025 he has continued his activities as an advisor to the President of SOCAR.

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According to Deputy Minister of Environmental Protection and Agriculture Zurab Ezugbaia, the law introduces a new term - “labeling of alcoholic beverages”. This refers to the placement of a QR code issued by the National Wine Agency on the label, container or packaging of the beverage.The changes cover several areas: Production quotas: The definition of a “small-sized cellar” is changing - the upper limit of annual production is reduced from 40,000 liters to 25,000 liters. Quality control: Organoleptic (taste) testing of all categories of wine becomes mandatory, whether it is intended for the local market or for export (this requirement will not apply only to natural wines produced in small wineries). Labeling obligation: The National Wine Agency will carry out the labeling of all certified alcoholic beverages intended for sale. Specific deadlines for the implementation of the reform have already been set. The Minister of Environmental Protection and Agriculture must approve the rules and form of labeling by November 1, 2026, and the Government of Georgia must determine the fee for this service by February 1, 2027.According to the authors of the initiative, this step will help protect Georgian alcoholic beverages from counterfeiting and strengthen trust in local products in both domestic and international markets.

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Economic Dynamics and ConsumptionAccording to the document, electricity consumption in the country generally follows the growth rate of GDP, although there are exceptions: 2025: Against the backdrop of 7.5% economic growth, consumption increased by only 3.5% 2024: With a GDP growth of 9.7%, energy consumption growth amounted to 6% State support and investmentsThe study draws attention to the fact that 94% of power plants built in Georgia in recent years were implemented through state incentive mechanisms. According to analysts, the introduction of the Contract for Difference (CFD) mechanism has significantly increased investor interest in the sector.Despite the new mechanisms, the largest capacity, 36 MW, was built in the country under the terms of a Power Purchase Agreement (PPA).Generation structureAs of today, the total installed capacity of the Georgian power system is approximately 4,800 MW. The generation sources are distributed as follows: Hydroelectric power plants (HPPs): 3,500 MW Thermal power plants: 1,200 MW Renewable energy (solar and wind): up to 50 MW According to Galt & Taggart, the share of solar and wind power plants in the overall portfolio is still critically low, indicating untapped potential in this area in the context of regional energy security.

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The value of export increased by 21.1 percent reaching USD 2,44 billion, while the import decreased by 4.9 percent and amounted to USD 5.69 billion.The trade deficit equaled USD 3,25 billion and its share in trade turnover constituted 40%.

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GeoStat also reports that Georgian residents made a total of 328,800 tourist visits abroad, a 1.7 per cent increase compared to the first quarter of the previous year.The largest share of visits, 46.7 per cent, was made by residents aged 31 to 50, with women accounting for 45.6 per cent of all visits.The agency’s report reveals that the most common purpose for visits in the first quarter of 2026 was to visit friends or relatives, accounting for 35.3 per cent of trips. The most popular destinations were Turkey and the Russian Federation, with 172,400 and 89,300 visits, respectively.Additionally, GeoStat notes that the average duration of visits was 6.8 nights, a 1.4 per cent increase compared to the first quarter of 2025 (6.7 nights). Remarkably, 99.1 per cent of these visits were repeat trips.Expenditure during these visits reached 629.1 million GEL, a significant 30.7 per cent rise from the same period in 2025. The average spend per visit also increased by 26.9 per cent, amounting to 1,267.7 GEL.

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In detail: The residential segment index increased by 0.4 percent compared to the previous month and by 0.2 percent compared to the same month of the previous year The non-residential segment index increased by 2.1 percent compared to the previous month and by 3.2 percent compared to the same month of the previous year The civil segment index increased by 3.2 percent compared to the previous month and by 3.3 percent compared to the same month of the previous year In March 2026 the Construction Cost Index (CCI) increased by 1.9 percent compared to the previous month. The change was mainly due to a 7.7 percent increase in the transportation, fuel and electricity cost category, which contributed 0.94 percentage points to the total index change.Compared to March 2025 the CCI increased by 2.0 percent. The latter was largely caused by the 2.7 percent increase in average monthly nominal wages of employees in the construction sector and by the 4.3 percent increase in the cost category of transportation, fuel and electricity, which contributed 1.35 and 0.62 percentage points to the total index change, respectively.Along with this, the Construction Cost Index posted a 26 percent increase compared to February 2022.

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As of project director Eric Bates, the main parameters of the work are as follows: Extraction: A total of almost 6 million cubic meters of soil is planned to be removed, which is a large-scale task for the company. Breakwater construction: Preparations are underway to install a 1,380-meter-long breakwater. The construction should be completed by the end of next year. Operational efficiency: The completed infrastructure will ensure 95% of the port’s annual openness, which will allow the port to receive and service large ships. According to Eric Bates, the Anaklia project will be a significant stimulus for the Georgian economy. The entire maritime infrastructure project should be completed by the end of next year.Belgian Jan De Nul N.V. is a member of the European so-called “Big Four” company, which is carrying out the design and construction of the harbor deepening and breakwater in Anaklia.

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Current status of the project and main technical characteristics: Marine works: The seabed in the port’s water area will be deepened to 17.5 meters. Breakwater: A 1,380-meter-long breakwater will be constructed, ensuring 95% annual port operability. Mobilization: A concrete plant has already been installed on site and the production of special protective structures - “X-blocks” is underway. Infrastructure development is part of a multimodal transport system. In the near future, the following are planned: Construction of a highway connecting the port. Construction of an 18-kilometer railway line, which will be integrated into the 10-year modernization plan of the Georgian Railways. A press release issued by the Ministry of Economy states that the strategic goal of the project is to increase the throughput capacity of the “Middle Corridor” and establish Georgia as a regional logistics hub. A company that is a member of the European so-called “Big Four” is involved in the construction process, which is a guarantee of compliance with international standards.According to the Ministry of Economy, the emphasis within the project is on employment of the local population.Heads of the Ministries of Economy and Defense, as well as directors of the Georgian Railways and Anaklia Sea Port, got acquainted with the progress of the construction on site.

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The company’s General Director, Lasha Abashidze, presented the annual report at an event held at the Paragraph Hotel. According to him, the total savings as a result of strategic changes exceeded 230 million GEL.Financial sustainability and growth in marginsAccording to the report, the operating profit margin of Georgian Railway has improved significantly and reached 36% (in the first half of 2025 this indicator was 25%). The dynamics of revenue growth is also stable: in the first four months of 2026, a 15% increase was recorded compared to the same period in 2025.“We reduced operating and administrative expenses, optimized personnel and reviewed contracts. We had a fairly productive year for the company,” noted Lasha Abashidze.Strategic optimization and digital transformationThe increase in the company’s efficiency was driven by several key factors: Lease optimization: the lease on 400 units of wagons was canceled. Infrastructure savings: The amount saved on tunnel works amounted to approximately 13 million GEL. Direct communication: A direct connection was established with container cargo owners. Special attention was paid to regional cooperation. As a result of negotiations with China, Kazakhstan and Azerbaijan, the digitalization of services reduced the time of border procedures by 7.5 times - from 15 hours to 2 hours.

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