BAKU, Azerbaijan, Oct. 7
By Maryana Akhmedova – Trend:
The fact that Georgia’s BPO (business process outsourcing) sector has developed within the past decade offers further evidence of the region’s vibrancy and capacity to reinvent itself against global competition, Trend reports, referring to an “Invest in Georgia” research paper of the Ryan Strategic Advisory.
“Georgia has come onto the outsourcing scene with a tight, targeted business services offering that is attracting the attention of executives across western demand markets,” the paper said.
The research reads that the GDP growth has been strong to the start of 2020, and inflation has been relatively consistent through this same period. Thus, Georgian government has established a stable economy in which BPOs can operate.
Georgian taxation policy is inherently favorable to investors. The most important provisions to encourage BPO investment include no taxes on retained profits, low personal income taxes are currently 20 percent and a flat corporate income tax accounted for 15 percent, the research said.
According to the research, from a regulatory standpoint, Georgia is among the easiest for new investors to navigate due to low levels of red tape.
Georgia has established several measures that help reduce different expenses, including grants of up to $230,000 for new BPO projects, said the report.
The research also pointed out Georgian linguistic capabilities, noting that Georgia can provide the basis for a niche multilingual hub, with nearly 600,000 foreign language speakers in the country’s major cities.
Georgia’s skill sets are very diversified, with those leaving university with degrees in technology/engineering (23 percent), social science/commerce and law (43 percent) and health-related disciplines (17 percent), the research reads.
“Georgia can provide an outsource with a sizable number of urban areas in which to operate. This means that human resources and commercial property are not under the same pressure that it would be if centralized in one location. This ensures a more stable BPO delivery operating environment,” said the report.
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