Newly revitalised and promising direction best describes Georgia’s economy. Indeed, the country has come a long way since the turmoil shortly after gaining independence and following the Rose Revolution of 2003. The new government promises to continue to combat corruption, stabilise the economy, bring order to the budget, diversify and reorient toward privatisation and free markets. Today, the economy continues to grow, with major foreign and domestic investments, infrastructure developments and a strong focus on tourism.“Georgia has a very rich heritage and culture with excellent opportunities for tourism. As infrastructure improves so will tourism prospects, but to get the full benefit, relationships with neighbours need to improve. We have a very positive outlook for Georgia,” comments Senior Director Business Development, The Rezidor Hotel Group Representative Office, Darren Blanchard. In 2000, turnover in all hotels and similar establishments totalled €9.6 million. In 2010, this figure reached €51.1 million, a staggering increase of over 435%. Number of person employed in the industry also of course rose significantly. Other positive signs for the hotel industry are that room demand has grown over 10% annually between 2006 and 2010 and fixed assets have increased by over 45% since 2007. Meanwhile, whilst the global hotel industry experienced a 4.7% contraction in revenue base during the downturn, Georgia’s industry expanded by 0.5%. “Emerging markets (such as Georgia) took considerable downturns during the crisis, however their performances beforehand were very strong so largely they were just corrections and recovery is already looking very strong in most markets,” continues Blanchard. “As with most emerging markets, overall demand for rooms is much lower and much more cyclical with strong seasonal differences. Thus, the risk factors tend to be higher. However, the rewards also have a strong potential upside since supply markets tend to be much smaller and the underlying...