The “AYFB” : the development of tourism face significant challenges in Georgia

The “Association of Young Financiers and Businessmen – “AYFB” had analyzed an annual report of the World Economic Forum of 2015 on the travel and tourism competitiveness. The report outlines basic messages regarding weak and strong sides of Georgian tourism.
The report considers assessment of all the components, related to tourism from 1 to 7 points for all 141 countries.
In respect of the tourism competitiveness index, in 2015, Georgia holds 71th place among 141 countries with 3,68 points (out of the maximum 7 points). This is a slight regress, compared with the data, observed in report of 2013.
The “AYFB” represents main components of tourism, in which the Government should put maximum emphasis.
International openness to the foreign visitors: visa requirements are evaluated by 100 points maximum; Georgia hold 3rd place with 80 points among 141 countries. Therefore, reduction in the visitor’s inflow cannot be connected to the new visa regulations, but other, much more important factors prevent foreign visitors’ inflow in the country.
Human resources and labor market: customer relation quality is the main component here, where Georgia is on the 120th place with 3,8 points , which means that Georgian tourist companies have a lot to do in this direction.
As for the labor market, finding qualified workforce is still one of the most problematic issues. Georgia gained 2,9 points for this component and accordingly is on the 132th place. However, Georgia was granted by quite a good score in record of hiring foreign workers and holds 2nd place with 5,3 points among 141 countries. This reinforces a fact, that integration of the foreigners is not limited in Georgia and interference in case of the foreigners employment is just a fabrication of the politically motivated persons.
Prioritization of the tourism: the fact, that tourism development is one of the priorities of the Government, is obvious even from this brief report represented here, according to which, our country holds 32th place with 5,9 points in record of the prioritization of the tourism.
Protection and safety: expenditures against crime and violence in Georgia is evaluated with quite a high score, and the country holds 29th place with 5,3 points. Confidence towards the police service is also increased and Georgia holds 28th place with 5,4 points in this respect. Expenditures against terrorism is also highly evaluated – holding 35th place among 141 countries.
Another very important aspect is the business environment evaluation in the country. According to the report, Georgia holds 32th place with 4,9 points. Following issues are considered under this component: violation of property rights (85); impact of the legislation on the foreign direct investments (28); construction activities permits (11); simplicity of starting business (2); promotion of works by tax encouragements (20).
According to the 2015 report of the World Economic Forum, the Government of Georgia should conduct important works in such fields as: tightening environmental regulations (113); air transport infrastructure improvement (94); Natural resources (125); Information and Communication Technologies (79) and etc…