THE IMPACT OF THE COVID PANDEMIC ON THE BUSINESS ENVIRONMENT OF GEORGIA AND THE STRATEGIES TO FIGHT AGAINST THE PANDEMIC

Besik Kvachantiradze

E-mail: b.kvatchantiradze@gmail.com

PhD Students,Batumi Shota Rustaveli state University

Batumi, Georgia

https://orcid.org/0000-0003-2833-1007

Abstract: The COVID-19 pandemic has significantly changed the business landscape around the whole world. Georgia was no exception. Against the challenges caused by the COVID-19 pandemic, the business environment of Georgia has undergone significant transformations. The country has recognized the vital role of economic development in the well-being of society, and the government has focused on promoting the growth of innovation while overcoming the obstacles caused by the pandemic. The COVID-19 pandemic has disrupted global trade and tourism, which has had a huge impact on Georgia's economy. With a heavy reliance on tourism, border closures and travel restrictions have led to a sharp drop in tourist arrivals, leading to job losses and reduced business revenue. Small and medium enterprises (SMEs), which are the backbone of Georgia's economy, have faced enormous challenges during the pandemic. Many businesses, particularly in the retail, hospitality and entertainment sectors, have been forced to close due to financial constraints and lack of government support. Addressing these obstacles required coordinated efforts by government authorities and international organizations to mitigate the negative effects of the pandemic and implement recovery efforts. Georgia has been trying to adapt to global economic trends for years;  and the pandemic has highlighted the need for acceleration of innovation and adaptation to international business norms and standards.

Keywords: Business environment, small and medium business

JEL classification: O1, G2, E4