Investor Guarantees in Georgia: rights and protections for foreign investors

Georgia welcomes foreign investment and generally treats foreign and Georgian investors equally. The legal framework has been in place since 1996 and provides a number of important protections, including equal treatment, protection against unlawful expropriation and the right to transfer investment-related funds abroad.

The law defines investment broadly. It includes not only money, but also real estate, shares and securities, movable property, intellectual property, licences, patents, know-how, rights to use land or natural resources, and other assets contributed to a business or investment project in Georgia.

In some cases, making a qualifying investment may also allow a foreign national to apply for an investment residence permit.

Equal treatment for foreign investors

One of the key principles of Georgian investment law is equal treatment. As a general rule, foreign investors enjoy the same rights and legal protections as Georgian citizens and companies when carrying out investment and business activities. Different treatment is permitted only where it is expressly provided by Georgian law.

For investment purposes, a foreign investor includes:

• a foreign citizen;
• a stateless person who is not permanently resident in Georgia;
• a Georgian citizen who permanently resides abroad; and
• a legal entity established under the laws of another country.

Banking, financing and investments

Foreign investors are free to open bank accounts in Georgia in both Georgian lari and foreign currencies, subject to the bank’s standard onboarding procedures.

They may also obtain loans from banks, financial institutions or private lenders in Georgia or abroad. In addition, foreign investors are free to buy shares, bonds, other securities and property both in Georgia and in other countries.

Transferring money abroad

Georgia allows foreign investors to freely transfer investment-related funds abroad after all applicable taxes and mandatory payments have been made.

This includes:

• profits and dividends;
• money invested in a business;
• proceeds from the sale or liquidation of an investment;
• payments received under commercial contracts;
• royalties and licence fees; and
• rent or other income from property and natural resources.

Foreign investors may also export property that they own in accordance with Georgian law.

Protection against expropriation

Georgian law provides strong protection against the unlawful expropriation of investments.

An investment may be expropriated only in exceptional circumstances provided by law, following the legally prescribed procedure, and only in exchange for fair compensation.

Compensation must reflect the market value of the investment at the time of expropriation, be paid without undue delay, and include compensation for losses caused by the delay in payment. Investors have the right to challenge both the expropriation decision and the amount of compensation before the Georgian courts.

During martial law or armed conflict, foreign investors are also entitled to compensation on terms no less favourable than those applicable to Georgian investors.

Employing foreign staff

Since 1 March 2026, most foreign employees must first obtain the right to work in Georgia before they can be employed.

Georgia does not require companies to appoint a minimum number of Georgian citizens to their management or governing bodies, allowing investors to structure their businesses freely.

Foreign employees who are not permanent residents of Georgia may also transfer their after-tax earnings abroad without restriction. In addition, they are not subject to certain social insurance, social protection and pension contribution requirements that apply to permanent residents.

Restricted business activities

Georgia is open to foreign investment across most sectors of the economy. However, some activities are prohibited, reserved to the State, or subject to special licences or permits.

For example:

• certain activities, such as the development of nuclear, biological or chemical weapons, the import of hazardous waste, human cloning research and the production of narcotic drugs, are prohibited;
• some strategic activities, including issuing currency, hallmarking precious metals, the wholesale of medicinal narcotic drugs and electricity dispatching, are reserved to the State; and
• many regulated industries require a licence or permit before operations may begin.

Separate legislation also governs the acquisition of land, agricultural land and natural resources, which may be subject to additional restrictions.

Resolving disputes

Georgia allows investment disputes to be resolved through the courts or other agreed dispute resolution mechanisms, depending on the circumstances.

Disputes between foreign investors and private parties may be resolved by agreement or through the Georgian courts. Disputes involving public authorities are also generally heard by the Georgian courts, unless an international treaty or an agreement between the parties provides for another forum, such as international arbitration.

Where the parties have agreed to arbitration or another recognised dispute resolution procedure, Georgia recognises and enforces the resulting decisions in accordance with applicable law.

Frequently asked questions

Do foreign investors have fewer rights than Georgian investors?

No. Under the Law on Promotion and Guarantees of Investment Activity, the rights and guarantees of foreign investors may not be less than those enjoyed by Georgian natural and legal persons, except in cases specifically defined by legislation.

Can I transfer my profits out of Georgia?

Yes. After paying taxes and obligatory fees, foreign investors can convert their profits, dividends, sale or liquidation proceeds and other funds at the market rate in Georgian banks and repatriate them abroad without limit.

Can the government take my investment?

Only in cases directly determined by law, by court decision and under urgency defined by organic law, and only with compensation matching the real market value of the investment at the moment of deprivation. The decision and the compensation terms can be appealed in Georgian courts.

Who counts as a foreign investor in Georgia?

Citizens of a foreign state, stateless persons who are not permanent residents of Georgia, Georgian citizens permanently living abroad, and legal persons registered abroad.

Are there sectors where foreigners cannot invest?

Yes. Some activities are prohibited for everyone (such as weapons of mass destruction or narcotic drug production), some are reserved for the State of Georgia (such as printing currency or dispatching electricity), and others require special permits or licences. Rights to land and natural resources are governed by separate laws.