Page 52 - GEORptDec21

Georgian tourism at 50% of 2019 levels
EU states reportedly discussing suspending visa-free travel with Georgia
30mn lari of tourism projects announced for Georgia’s Adjara region
COVID-19 pandemic. The country’s National Tourism Administration reported in October that tourism earnings from the first nine months of 2021 were one-third of those from the same period in 2019.
Tourism in Georgia recovered to just over half of its 2019 levels, while imports and exports remained steady, brokerage Galt & Taggart reports. The recovery in tourism strengthened in September 2021, with tourist arrivals (overnight stays) recovering to 39% of the September 2019 level, up from an average 33% recovery during June-August 2021. Notably, tourism revenues recovered faster than arrivals in September like in previous months, hitting 50.8% of September 2019 level, as in visitor mix tourists are prevailing, spending more than same-day arrivals (note that since recovery started from April 2021, tourists numbers recovered at an average 30% of 2019 level, while in the same period same-day arrivals accounted for only 5% of the 2019 level and therefore revenues are recovering faster). That said, 226,700 international visitors (up 348.8% y/y, tourists and same-day arrivals combined) travelled to Georgia in September 2021, with most visitors from Russia (14.6% of total), followed by Turkey (14.2% of total), and Ukraine (10.1% of total). Most visitors traveled to Georgia via land (58.1% of total), followed by air (40.8% of total). Overall, in 9M21, international arrivals stood at 1.2mn persons (-13.2% y/y, 19.9% of 2019 level) and tourism revenues reached $865.8mn (+73.5% y/y, 33.5% of 2019 level).
Brussels-based online news outlet EUobserver reported on September 29 that it has seen an internal EU document about dissatisfaction on unlawful residency and unfounded asylum claims of citizens of Georgia, Ukraine, Moldova as well as of some western Balkan states.
Germany reportedly led the objections in reference to Georgia, Moldova and Ukraine. The document seen by the Brussels-based outlet pointed to a 51% increase in Georgian asylum claims over the past three months, compared to the same period in 2019. The media outlet said France was also unhappy with Georgia.
The EU Member States are reportedly actively discussing possibly threatening a Visa Suspension Mechanism, which allows for reintroducing visas in case of a rise of more than 50% in illegal stays or asylum applications with low approval rates.
Georgia was granted visa-free travel with the EU in 2017, allowing its citizens to travel to the Schengen area for up to 90 days for business, tourist, or family purposes. The EU-Georgia Visa Liberalization Dialogue was launched in 2012. The European Commission’s assessment of the fulfillment of visa liberalisation requirements, published on August 4, 2021, said Georgia was taking actions to address the issue of unfounded applications for international protection.
But the Commission called on Georgia for further efforts on addressing the asylum applications, as well as in the areas of combatting money laundering, corruption and organised crime.
Georgian Prime Minister Irakli Gharibashvili and Adjara government chairman Tornike Rizhvadze announced on August 18 five new tourism projects for Adjara’s Shuakhevi municipality, with a total investment value of around GEL 30mn ($9.6mn).
One of the projects involves the construction of a dual zipline in Chikhuri. GEL10mn will be spent on the zipline, envisaged as the longest in Europe. Another project is the Chvani Gorge Tourism Development Plan, which includes new trails, visitor centres, scenic view spots and a demonstration village showcasing authentic mills. The project's value is estimated at
52 GEORGIA Country Report December 2021 www.intellinews.com