Georgia as a Transit Hub and its Increasing Potential in the Implementation of the Belt and Road Initiative

Abstract

This paper analyzes the opportunities and challenges for Georgia arising from the BRI. In particular, the authors review the possible role Georgia can play in improving the potential of TRACECA and the possibility of becoming more than a transit country. This paper outlines policy suggestions to develop a coherent, coordinated and complementary strategy to enable Georgia to benefit from the opportunities presented by the BRI. This paper is divided into four sections. The first section presents the methodology used. The second section reviews the characteristics of the BRI and provides stakeholder mapping. This section also explores expectations about the BRI from regional and global perspectives. The third section focuses on Georgia and outlines its current involvement in the BRI. By looking at the regional trade corridors, this section assesses Georgia’s potential to position itself as a transit hub. Furthermore, in this section we compare different railway corridors and explore the prospects for Georgia’s economy. The fourth section offers policy recommendations at regional and national level and draws some conclusions.