Keti Kvartskhava, managing partner of BLC Law, says Georgia’s recent economic growth is not the result of domestic reforms or external economic trends, but rather temporary external political factors. Speaking on BMGTV, Kvartskhava emphasized that the country’s growth has largely been fueled by geopolitical shocks.
“I would really like to say that the economy has grown thanks to us, but it is not so; it is not due to external economic factors either; it is due to external political factors,” she said.
According to her, Georgia’s uncertain political environment fails to create an attractive climate for either foreign investors or local businesses, which is clearly reflected in the economy. Kvartskhava argued that the lack of clear reforms and sectoral priorities prevents Georgia from sending the “positive signals” necessary to stimulate sustainable investment.
Drawing comparisons, she highlighted Uzbekistan’s example, where the government has identified priority sectors and implemented reforms to attract investors. “We also need to identify leading directions and say that these sectors will receive state support, reforms will be implemented, etc. In this case, we will send a positive signal to economic actors, which is necessary for the economy to get going. Unfortunately, this signal is not visible,” Kvartskhava noted.
She pointed out that Georgia’s growth in recent years was primarily driven by its geographic location amid sanctions against Russia, which forced regional players to seek alternative trade routes, with Georgia becoming one of them. Many experts, including Kvartskhava, view this as a “positive shock” triggered by the Russia-Ukraine war rather than the result of domestic policy.
On the outlook for her own law firm, Kvartskhava admitted that BLC is slightly behind its 2025–2026 targets, though the firm remains active. “We are not in a desperate situation. Things are moving forward, there are movements in the market, and I expect that the third quarter will not be as bad as the second and first quarters,” she added.
