Information and communication technology sector (ICT) has been the fastest-growing industry in Georgia since 2022, driven primarily by the IT sub-sector. The sector is focused on exports, which amounted to US$ 892mn in 2023.
Turnover of the IT sector increased to GEL 2.4bn in 2023, of which GEL 2.1bn was generated by services export. The largest share of exports (26%) was directed to the USA, followed by UK (15%) and Malta (11%).
The growth of the sector was initially boosted by tax incentives introduced in 2020. While, from 2022, the growth of the sector accelerated as a result of the relocation of international companies and IT specialists to Georgia. Other supporting factors include low internet prices, competitive co-working desk price and low living costs compared to other globally attractive locations.
IT sector employed 30.2 thousand people in 2023, according to our estimate, compared to c.5,000 people in 2021. The average salary in this sector is GEL 6,940, which has doubled since 2021.
A total of 24,117 companies operate in the IT sector, with 72 companies classified as large and medium-sized enterprises. The majority of the remaining companies consist of foreign sole proprietors.
