TBILISI/KUWAIT: Georgia is accelerating its renewable energy shift as it positions itself as a key player in regional energy security and Europe’s green transition, said Inga Pkhaladze, Deputy Minister of Economy and Sustainable Development of Georgia. Strategically located on the East-West crossroads, the country aims to evolve from an energy-deficit nation into a clean-power exporter.
“Eighty percent of our generation today comes from hydropower,” she told Kuwait Times on the sidelines of the Tbilisi Silk Road Forum 2025. “We are rapidly developing wind and solar capacity to ensure self-sufficiency and strengthen our export potential.”
The fifth edition of the Tbilisi Silk Road Forum — held October 22-23 at the Georgian Opera and Ballet Theatre — marked one of the largest international economic gatherings hosted in the nation. Held under the patronage of Prime Minister Irakli Kobakhidze, the two-day event has drawn more than 2,300 participants from over 70 countries. The opening session featured a high-level dialogue between the leaders of Georgia, Armenia and Azerbaijan.
A major highlight is the Black Sea underwater cable project, which will connect Georgia’s power grid directly to Europe in partnership with Romania, Azerbaijan and Hungary. “The decisions we make today will shape the region’s entire energy future,” Pkhaladze noted. Expanding renewables will also support the fast-growing Middle Corridor — the trade route linking Central Asia to Europe — reinforcing Georgia’s reliability in electricity, gas and oil transit. “We aim to be an energy hub for the region,” she affirmed.
Inga Pkhaladze
Natia Turnava
Tornike Sulaberidze
Fintech-driven transformation
Georgia is similarly seeking leadership in financial innovation. Its first international financial and technology summit, hosted in Tbilisi, reflects ambitions to attract global fintech players and strengthen investor confidence, said Natia Turnava, President of the National Bank of Georgia. “We are very glad to host this summit — it’s the first time Tbilisi has welcomed an international financial event of this scale together with our partners from the Global Financial and Technology Network (GFTN) in Singapore,” she said. “It attracted strong interest from more than 20 major international investment and venture funds. Georgia has now captured their attention — exactly what we wanted.”
Turnava said Georgia’s policies are pragmatic and open to innovation, especially in digital finance. “We welcome initiatives related to digital currencies, payment systems and financial technologies. Our goal is to create an ecosystem where global fintech companies can establish a base in Georgia and expand regionally and beyond.”
With strong demand driven by tourism, remittances and trade, the shift toward digital payments is accelerating. “We are witnessing increasing use of cryptocurrencies and digital assets for cross-border payments,” she said. “We will support what helps our economy — through sound regulation.”
On the role of traditional banks in this shift, she highlighted their strength: “Our banks are well capitalized and among the most digitally advanced in the region — even by European standards. They are not lagging behind, but collaborating strongly with fintech firms.”
This balance, she said, is boosting overall profitability and attracting foreign investment. “We have maintained macroeconomic stability despite geopolitical challenges. Over the past four to five years, our economy has grown at an average of 9.7 percent annually while keeping inflation low. Our financial system is resilient and capable of sustaining growth amid uncertainty.”
Regional connectivity gains momentum
“The Forum was a great platform to discuss connectivity between Central Asia and Europe — and the role digital transformation plays in that process,” said Tornike Sulaberidze, chairman of the ICT Association of Georgia (ICTA).
He said the tech sector has surged since 2022, supported by strategic reforms. “In the first half of 2025 alone, tech services exports reached around $500 million — up 55 percent year-on-year. The International Company Status allows tech firms relocating here to pay only 5 percent income tax. And the new IT residency program aims to bring global talent to Georgia to work and export services from here.” Sulaberidze said results are clear: since the reforms were introduced, about 170 international firms have moved to Georgia. “Among our association’s members alone, nearly 50,000 people are employed in the sector, and the number is growing.”
Technology now accounts for 6 percent of Georgia’s GDP, compared to less than 1 percent five years ago. Major international players are already here. “EPAM Systems, for example, has development centers in Tbilisi, Batumi and Kutaisi. Their engineers support world-class clients like Google, Microsoft and Meta — work being done right here in Georgia,” he said. The ambition, he added, is global. “We want to export Georgian fintech innovations to the world and transform Georgia into a globally recognized technology hub.”
ADB’s ‘Triple-A’ strategy
Speaking to the media on the sidelines of the forum, Asian Development Bank (ADB) Vice-President for South, Central and West Asia Yingming Yang highlighted the bank’s comprehensive strategy to boost the Middle Corridor’s effectiveness and impact. “I would describe it as a ‘Triple-A Approach’,” he said. “Firstly, we aim to advance physical connectivity by increasing and improving infrastructure. Between 2025 and 2028, ADB will invest about $3 billion in the Middle Corridor — roughly $750 million annually, compared with an average of $150 million per year between 2001 and 2024.”
The second pillar focuses on accelerating soft connectivity — harmonizing policies and streamlining cross-border procedures. “Thirdly, we seek to adopt new technologies proactively — including digital tools and AI — to improve logistics efficiency, boost trade and strengthen digital commerce.”
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