Posted: 5 months ago

Georgian Capital Flourishes in Kazakhstan: 248 Legal Entities and Counting

Georgia and Kazakhstan have been steadily increasing their economic ties in recent years, with 248 legal entities, branches, and representative offices operating in Kazakhstan with Georgian capital. The Kazakh-Georgian Economic Union, founded in March 2021 by the joint initiative of Kazakh-Georgian businesses, has been instrumental in strengthening these ties and promoting trade between the two countries.

According to Giorgi Jakhutashvili, Chairman of the Board of the Kazakh-Georgian Economic Union, the Georgian private sector is particularly active in the Kazakh market in terms of production and industry, although there is interest from their side in other sectors as well, including in the development direction.

Jakhutashvili notes that the number of Georgian companies operating in Kazakhstan is increasing year by year, with significant room for growth in the economic potential that exists in the cooperation between the two countries. The trade turnover between the Republic of Kazakhstan and Georgia in 2022 amounted to over 600 million US dollars, which is 7 times more than the figure in 2021.

In the first quarter of this year alone, Georgia exported goods worth 122 million 195 thousand dollars to Kazakhstan. The top 10 goods exported to Kazakhstan include light vehicles, cigars, cigarillos and cigarettes, telephone devices, mineral and fresh waters, new rubber pneumatic tires and tires, natural grape wines, and beer.

As a joint initiative of Kazakh-Georgian businesses, the Kazakh-Georgian Economic Union aims to facilitate and promote cooperation and economic ties between the two countries. Founders of the union include companies with Kazakh capital in Georgia, such as Silk Road Group, Khalik Bank Georgia, Capitol Group, Batumi Oil Terminal, and GK Logistics, as well as the Embassy of the Republic of Kazakhstan in Georgia, Air Astana airline, and Rompetrol Georgia.

Overall, the Kazakh-Georgian Economic Union has played a crucial role in boosting bilateral trade and investment between the two countries, with both sides looking to capitalize on the vast economic potential that remains untapped.