War Profits
Georgia’s Economic Relations with Russia
Deutsche Fassung
Abstract
Georgia’s economy has developed dynamically since 2022. GDP has grown strongly, and wages have risen significantly. Russia’s invasion of Ukraine and the sanctions imposed on the aggressor have turned Georgia into a hub for economic relations with Russia. Tbilisi does not participate in the sanctions, while some companies deliberately circumvent them. This business model is driving Georgia into dependence on Russia and hindering the development of an economy based on genuine value creation. If the EU adopts more rigorous sanctions against Russia, this model will collapse.
(Osteuropa 7/2026, pp. 121–154)