Georgia has become a haven for investors and entrepreneurs, thanks to its ultra-liberal legal reforms.
Lasha Gogiberidze, partner with BGI Legal, one of Georgia’s eminent legal firms, believes that the great turnaround in the country’s economic status owes to the government’s visionary reforms.
In the World Bank rankings published in late-2009, Georgia was placed at an impressive 11th position, and some of the sub-categories in the said ranking reveal an even more impressive picture: 5th in starting a business, 7th in dealing with construction permits, 9th in employing workers and a staggering 2nd in registering property. In fact, a limited liability company can now be opened in the country in just one hour!
These rankings tell a story of concerted change, especially in the legal machinery. Drastic reforms have been introduced in entrepreneurial laws, allowing almost full freedom of contract. Crucially, the number of licences and permits has been reduced from over 900 to approximately 95 under a single law. The law currently provides for automatic issuance of licence/permits in case the issuing agency delays the process beyond the statutory timeframe.