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Economic Expectations of the Belt and Road Initiative for the South Caucasus, with Emphasis on Georgia

Georgia, a post-soviet country, located in the South Caucasus at a crossroads of Europe and Asia, presents Europe’s natural gateway towards Asia. The Belt and Road Initiative, also known as the One Belt One Road, is 21st century Silk Road encompassing transportation and communication systems connecting China to Europe. Since the Initiative is at its beginning stage, it is essential to study its economic influence on the South Caucasus region it traverses, and particularly, upon Georgia. In this respect, to facilitate sustainable growth in the region, advanced technology, industrial and infrastructural modernization is crucial. Under the Initiative, Baku-Tbilisi-Kars railway is completed, which can significantly shorten the time of shipment from China to Europe, and Georgia's Anaklia Deep Sea Port on the Black Sea with a huge capacity of cargo transportation is under construction. The infrastructure investments under the Initiative can encourage economic development and hence, reduce poverty.