KUALA LUMPUR: Strengthening economic ties with ASEAN countries and particularly with Malaysia is one of the main priorities of Georgia’s foreign policy agenda, said Georgia’s ambassador to Malaysia Nikoloz Apkhazava (pix).
In an interview with Bernama, Apkhazava said the potential for economic cooperation between Georgia and Malaysia is vast and diverse.
The ambassador pointed out that the level of investment between the two countries has been steadily increasing, but still low.
“However, the cooperation between our countries has been increasing steadily. Over the past five years, mutually beneficial cooperation between the two countries in various fields has achieved impressive results. The ties have entered into a new stage of development; the economic cooperation and trade turnover have been steadily growing. Next year we will celebrate the 30th anniversary of our diplomatic ties,“ he said.
Apkhazava also pointed out that the global pandemic had a significant negative impact on further development of relations between the two countries during the last two years.
He explained that in order to attract more investment from Malaysia, the embassy is actively cooperating with the National Chamber of Commerce and Industry of Malaysia (NCCIM) and SME Corporation Malaysia (SME Corp Malaysia), to organise some business tours for Malaysian investors to Georgia, during which the Malaysians will have an opportunity to get more detailed information about developed infrastructure and favourable business environment, major ongoing projects and investment opportunities in Georgia.
Apkhazava said Georgia offers unique investment opportunities and a business-friendly environment. It is located on the crossroads of Europe and Asia and aims at becoming a transport and logistics hub for doing business in the region.
“Georgia is also a very active participant in the Belt and Road Initiative. As we know, Malaysia has recently shown increased interest in this initiative, which opens yet another channel for cooperation between our countries,“ he said.
According to the ambassador, Georgia is the leader in the region in terms of stable and attractive investment climate and reforms have established a liberal, stable, secure and corruption free business environment, which along with strategic geographic location, turned Georgia into an attractive country for investing.
Apkhazava further said that tourism is another most dynamically developing sector of the country’s economy and has significant potential for further growth where with its unique culture, traditions and hospitality, Georgia is attracting more visitors every year.
“This is another sector where Georgia and Malaysia can benefit from closer cooperation. Considering Malaysia’s rich experience in the tourism sector, Georgia will gladly welcome Malaysian investors willing to invest in tourism infrastructure in Georgia,“ he said.
Georgia's exports to Malaysia include wines from fresh grapes, undenatured ethyl alcohol, spirits, liqueurs, manganese oxides, medical instruments and appliances and personal items.
Georgia imports from Malaysia, apparel, footwear and clothing accessories, printed materials, furniture, calculating and accounting machines, palm oil, coconut oil, soap, automatic data processing machines, rubber, electrical appliances, telephone sets, cables and organo-sulphur compounds.
According to data of the National Statistics Service of Georgia, the trade turnover between Georgia and Malaysia have been steadily increasing and in 2021 reached around US$15 million.
“The reason for the relatively small trade turnover is mainly linked to a lack awareness of business circles about business and investment opportunities of our countries,“ he explained.
In order to raise awareness and further strengthen trade-economic relations between the two countries, the first virtual Georgian-Malaysian Business Forum - “Promising Market for SMEs in Malaysia and Georgia” organised by the embassy of Georgia and SME Corp Malaysia was held in June, 2021. Over 100 representatives from the private sector took part in the webinar.
Georgia and Malaysia established diplomatic relations in 1993. Since then, according to the ambassador, in terms of diplomatic relations between Tbilisi-Kuala Lumpur, both sides have enjoyed friendly and cordial ties.
“There was very little exchange between the two countries up until the Georgian embassy was opened in Kuala Lumpur in 2013. The embassy became fully fledged only in 2017 with the appointment of the first ambassador to Malaysia and there is still no Malaysian embassy in Tbilisi,“ he further said.
On the Memorandum of Understandings (MoUs) and Agreements, during the last five years, four MoUs were signed.
In 2018 the MoU on Cooperation between Georgian Chamber of Commerce and Industry and Malaysian National Chamber of Commerce and Industry, in 2019 the MoU on Cooperation between SME Corp Malaysia and Enterprise Georgia, in 2020 the MoU on Cooperation in the Field of Protected Management and Wildlife Conservation and in 2022 the MoU between the Government of Georgia and the Government of Malaysia on Cooperation in the Field of Higher Education.
There are several agreements between the two governments in the pipeline, namely agreements related to visa exemptions, avoidance of double taxation and mutual recognition of certificates for seafarers.
Apkhazava explained that cooperation in the energy sector can be beneficial to Georgia and Malaysia as there is a huge untapped potential to be exploited.
In this context, Apkhazava said that Georgia is rapidly developing its energy sector and that considering the fact that Georgia is aiming toestablish itself as the energy transit hub, the government actively supports the development of different projects enabling alternative energy corridors.
“The Government of Georgia has developed a 10-Year Network Development Plan (2018-2028) to increase its export potential. We are also developing and modernising internal network system and transmission lines with all neighbouring countries,“ he said.
Apkhazava pointed out that during the last five years, both sides have made very significant efforts to strengthen their bilateral relationship.
For instance in 2018 the first round of bilateral consultations were held between the Foreign Ministries of Georgia and Malaysia in Putrajaya, which coincided with the 25th anniversary of establishment of diplomatic relations between the two countries.
The second round of bilateral consultations is slated to be held in Tbilisi.
The Deputy Foreign Minister of Georgia also visited Malaysia. In 2020, a Malaysian parliamentary delegation headed by the Speaker visited Tbilisi.
In 2021 Kuala Lumpur handed the UNESCO World Book Capital title over to Tbilisi. The delegation from Kuala Lumpur City Hall also participated in the opening ceremony of Tbilisi – World Book Capital 2021 held in Tbilisi in April 2021. In April, 2022 Kuala Lumpur City Hall delegation travelled to Tbilisi in order to participate in the ceremony when Tbilisi handed over the title of UNESCO World Book Capital to the Mexican city of Guadalajara.
-- Bernama
