Georgia’s Innovation and Technology Agency (GITA) has marked a momentous occasion as it celebrated its tenth anniversary earlier this year. At a special event, GITA showcased its growth over the past decade and unveiled new initiatives and plans for the future. One of the most thrilling new ventures introduced is a 12-month start-up incubation program, which will be rolled out in three stages.
The first stage, Founder Market Fit, will involve active coaching and mentoring for forty start-ups over a two-month period. Subsequently, the MVP Stage will provide mentorship to twenty start-ups for four months to create minimal cost products, conduct market testing, and secure initial clients. These start-ups will also receive 50,000 GEL to cover the costs of creating their minimal viable products. The final stage, Market Entry, will offer six months of mentoring and a grant of 150,000 GEL to help start-ups achieve market traction.
Additionally, GITA has co-financed over 200 innovative start-ups with global potential, providing a total of 38 million GEL in grant funding. This has led to significant private financial benefits, generating approximately half a billion GEL and creating around 3,000 new jobs.
Looking ahead, Georgia has identified three key technological focus areas to enhance its global competitiveness and scientific potential. These areas include the establishment of a scientific group for the implementation of artificial intelligence across various sectors, bacteriophage research to meet the growing global demand driven by antibiotic resistance, and the development of new scientific and technological products to boost productivity in agriculture.
In addition, GITA has played a pivotal role in attracting global venture capital firm 500 Global to the country, leading to the establishment of Georgia’s first venture capital fund with assets of 20 million dollars. This demonstrates Georgia’s growing reputation as a regional innovation hub. The country has also established nine technoparks to help its citizens commercialize innovative ideas. Through a regional program, 80 innovative projects have been financed, with successful applicants receiving up to 25,000 GEL in grants. Thanks to government incentives, 120 international IT companies have entered Georgia, contributing a billion GEL in salaries and creating over 10,000 jobs in 2023.
To further promote innovation, Georgia has implemented new regulations to define the status of innovative start-ups. Companies granted this status will enjoy a three-year exemption from income and profit taxes. Moreover, companies engaged in R&D activities will receive the same status as international companies, reducing their profit and income taxes to 5%.
Overall, GITA’s new initiatives and ventures promise to propel Georgia’s innovation and technology sector to greater heights, solidifying its position as a leading player in the global innovation landscape.