RUSUDAN MAMATSASHVILI, Head of Planning and Development Department, Georgian National Tourism Administration - Tourism Development: Georgian Experience

1. Tourism Development
Georgian Experience

2. GEORGIAN NATIONAL TOURISM ADMINISTRATION

3. GEORGIAN NATIONAL TOURISM ADMINISTRATION
Georgia: International Rankings
Leading Reformer in 2005-2009 in ECA region Doing Business
“Ease of Doing Business” (Doing Business 1
Hong Kong 2
2012) – 16th place (up from 17th in 2011) 3 up from 112 in 2006
Georgia 16
Georgia is among 10 TOP countries in: 21
Estonia 24
1st place in Registering Property 27
Armrnia 55
4th place in Dealing with construction 66
Turkey 71
Permits 120
Ukraine 152
7th place in starting Business
8th place in Getting Credits Index of Economic Freedom
Source: World Bank
1
“Index of Economic Freedom 2012”
Singapore 2
3
34th place – Moderately Free Estonia 14
24
(ranked 16th out of 43 countries in the region of Georgia 34
Europe) 36
Latvia 56
Improved scores in: 67
Azerbaijan 92
Fiscal Freedom – up by 0.3 points 143
Ukraine 164
Source: Heritage Foundation

4. GEORGIAN NATIONAL TOURISM ADMINISTRATION
Key Reforms that changed Georgia forever
 Free market economy and business friendly environment
 Deregulation of businesses
 Eradication of corruption
 Decentralization of power
 Improvement of public services
 Infrastructural developments
 Energy security and efficiency
 Police reform
 Freedom of media

5. GEORGIAN NATIONAL TOURISM ADMINISTRATION
Interesting Facts
The birthplace of Europe’s first civilization
Europe’s highest mountains
Cradle of wine
One of the oldest Christian countries
Rich historical and cultural heritage
Unique alphabet
 Europe’s most diverse and unspoiled nature

6. GEORGIAN NATIONAL TOURISM ADMINISTRATION
Facts and Figures
 Share of tourism in the exports of services : 40%
 Share of tourism in total output : 7%
 Income from international tourism : USD 1 Bln
 FDI in hospitality sector: USD 20 million (17% growth)
The New York Times ranked Georgia the 6th among
41 destinations to visit
Tbilisi has become one of the safest capitals in the
Western World comparable to Lisbon or Vienna

7. GEORGIAN NATIONAL TOURISM ADMINISTRATION
Statistics
International Travelers
39% 2,822,363 Country
2012:
Change %
9 months
35% 2,031,717
1,500,049 Turkey 1 112 348 114%
Azerbaijan 32%
684 094
Armenia 24%
636 497
Russia 87%
2009 2010 2011 387 466
Iran 74 889 50%
3,229,190 Ukraine 25%
55 303
2,067,909 56 % Israel 25 991 23%
USA 22 785 21%
Germany 21 529 21%
2011: 9 months 2012: 9 months Poland 17 780 75%

8. GEORGIAN NATIONAL TOURISM ADMINISTRATION
Purpose of Travel and Expenditures
Purpose of visit Average expenditure by
purpose of visit
Leisure 40%
Visiting friends/relatives 25%
Average expenditure USD 331
Transit 9% $596
Business or Professional 8% $395
$257
Shopping 7%
Employment 2%
Education or trainings 2% Business and Leisure/recreation Visiting friends and
professional relatives
Health and Medical Care 1%
Other 6%

9. GEORGIAN NATIONAL TOURISM ADMINISTRATION
Key Directions
Supportive regulatory environment
Development of Infrastructure
Incentives for investors: Free Tourist Zones (Kobuleti and Anaklia)
Free Land
Free Hotel Master Plan
Free casino license for hotel capacity over 80 rooms
Exemption from profit and property taxes for 15 years
Fully provided engineering utility networks and corresponding outdoor infrastructure

10. GEORGIAN NATIONAL TOURISM ADMINISTRATION
Key Directions
Capacity building
Domestic tourism development
Product diversification
Active marketing campaigns in target markets
Travel facilitation
Sustainable growth

11. Thank you