FATF status

Georgia is not on the FATF List of Countries that have been identified as having strategic AML deficiencies

Compliance with FATF Recommendations

The last follow-up Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Georgia was undertaken in October 2024. According to the follow-up Evaluation, Georgia was deemed Compliant for 7 and Largely Compliant for 24 of the FATF 40 Recommendations. It remains Highly effective for 0 and Substantially Effective for 2 of the Effectiveness ratings.

Georgia has established a legal framework to combat corruption, including criminalizing bribery and requiring public officials to disclose their financial assets. Despite some progress, such as the creation of the Anti-Corruption Bureau and improvements in asset declaration regulations, challenges remain, particularly regarding high-level corruption and the independence of law enforcement agencies. Transparency International ranked Georgia 49th out of 180 countries in its 2023 Corruption Perception Index, indicating ongoing issues despite the country's efforts to enhance transparency and reduce corruption.

Georgia has developed a relatively stable market economy since gaining independence in 1991, benefiting from international trade, tourism, and transportation. The country has experienced significant economic growth, with an average growth rate exceeding five percent from 2005 to 2023, and a rebound of 10.4 percent in 2021 following the COVID-19 pandemic. Despite challenges such as judicial inefficiencies and political interference, Georgia maintains a favorable business climate and ranks high in transparency and economic freedom.

Georgia has established a favorable investment climate characterized by a stable market economy and a commitment to transparency and competitiveness, often ranking high in international assessments. Despite some challenges, such as concerns over judicial independence and bureaucratic inefficiencies, the government actively promotes foreign investment through various incentives and protections, including a Bilateral Investment Treaty with the United States. The country's economy has shown resilience and growth, with significant contributions from sectors like tourism and transit trade.