Manufacturing accounts for around 11% of Georgian GDP and provides 5% of employment. Georgia’s geographic location, cheap labour force, low energy costs, investor friendly climate, low tax rates and liberal regulation makes manufacturing sector very attractive for investment. The average monthly nominal salary in the manufacturing sector is US$ 400. There are two free industrial zones in Georgia, where businesses are exempt from all tax charges except personal income tax.
Goods produced in Georgia can be sold both locally and regionally. Georgia could also serve as a regional manufacturing hub, as the country has one of the most liberal economic models in the region, extensive network of free trade arrangements with the broader region, as well as the upcoming deep and comprehensive free trade agreement with the European Union.
The Fund will focus on investing in the following categories of projects: