Georgia’s role as a regional auto hub could weaken without stronger government support, according to Aleksi Noniadze, head of the Association of Auto Importers and Vehicle Owners. Speaking to BMGTV, he said auto importers are facing increasing difficulties obtaining bank financing, with lenders often reluctant to issue loans for vehicle imports.
Noniadze noted that lending to the sector has declined by 13%, warning that if the National Bank confirms this trend, it would indicate deeper problems for the industry. While some banks may be reacting to poor credit histories of individual dealers, he believes the sector as a whole is being viewed as higher risk.
He also argued that recent policy changes have reduced Georgia’s competitiveness against regional rivals such as Kazakhstan and Kyrgyzstan. According to Noniadze, higher customs clearance costs introduced in April have shifted part of the re-export business to neighboring countries, creating what he described as an uneven competitive environment.
Noniadze stressed that Georgia’s auto hub status was built through years of liberal policies and investment, benefiting not only vehicle traders but also repair shops, parts suppliers, and tourism. Without supportive government policies, he warned, the country risks losing both business activity and the broader economic benefits generated by the sector.
