In Q3 of 2023, the number of international visits to Georgia reached 2.3 million, which is significantly higher (21%) compared to Q3 of 2022. However, the number of international visits remained below the pre-pandemic figure, reaching 83% of the total for the corresponding quarter of 2019.
In Q3 of 2023, in terms of country of origin, the highest number of visitors to Georgia came from Russia, amounting to 571,421 visits, marking an 11% rise compared to Q3 of 2019. Russia was followed by Turkey with 498,892 visits, reflecting a 22% increase compared to the pre-pandemic number. Among the top 10 countries of origin for international visitor trips, the number of visits increased most from Belarus (77% higher compared to Q3 of 2019), and Kazakhstan (74%), similar to the first half of 2023. Meanwhile, visits from Armenia, Ukraine, and Azerbaijan stayed well below the pre-pandemic number.
Notably, in Q3 of 2023, the visits from Iran, Israel, and Saudi Arabia were similar to the pre-pandemic figures. However, considering ongoing geo-political instability in Israel and the consequent suspension of flights, in Q4 of 2023 the number of visits from Israel is expected to decline significantly. On the other hand, due to the introduction of a visa-free regime, the visits from China are expected to increase gradually, continuing the trend of surpassing the pre-pandemic level (in Q3 of 2023, the number of visits from China was 19% higher compared to Q3 of 2019). Similarly, India, another high-priority tourism market, recorded a 46% YoY increase in Q3 of 2023 and an 84% increase compared to Q3 of 2019, despite challenges of border crossing for some visitors noted by tourism sector representatives.
INCOME FROM INCOME FROM INTERNATIONAL TRAVEL IN Q3 of 2023
In Q3 of 2023, income from international travel reached USD 1.4 billion, which significantly exceeds the pre-pandemic number by 28%, and represents a modest 5% rise compared to Q3 of 2022.
In terms of nationality, income from Russian travelers was highest in Q3 of 2023 (20% of total income from international travel) and amounted to USD 285.3 million, which is 38% higher compared to the corresponding quarter of 2019, but 17% lower compared to Q3 of 2022, showing a declining trend in income from Russian visitors. Russia was followed by Turkey, which recorded a significant YoY rise of 75% and a 47% increase compared to Q3 of 2019.
Among the top 10 countries of origin, compared to pre-pandemic figures, the recovery in this regard was lowest for Azerbaijan (46% lower compared to Q3 of 2019) and Ukraine (37% lower), respectively. Meanwhile, a significant increase compared to the pre-pandemic numbers was reported for income from visitors from Iran, Israel, and Saudi Arabia. Notably, the highest YoY increases were reported for Turkey (74%) and the EU (52%). Meanwhile, the highest YoY declines were recorded for Belarus (-58%), Ukraine (-52%), and Saudi Arabia (-40%).
*According to the National Bank of Georgia, as of 30 September 2023, 42.5% of Russian citizens, 45.1% of Belarusian citizens, and 30.1% of Ukrainian citizens residing in Georgia were estimated to have been living in the country for one year or intending to stay for more than one year. According to IMF methodology, such people are treated as Georgian residents, and their spending is not included in the calculations of income from international travel.
HOTEL PRICE INDEX IN GEORGIA
In October 2023, in Georgia the hotel price index decreased by 11.3% compared to September 2023. The 3-star, 4-star, and 5-star hotel price index decreased by 13.2%, while for guesthouses, the price index decreased by 10.9%.
The monthly HPI was the highest in Samegrelo-Zemo Svaneti (-2.6%) and lowest in Adjara (-25.0%)
In October 2023, compared to October 2022, hotel prices in Georgia decreased by 11.1%. The prices of 3*, 4*, 5* hotels decreased by 10.9% and the prices of guesthouses decreased by 18.7%.
The yearly HPI was the highest in Kvemo Kartli (26.0%) and lowest in Tbilisi (-18.3%).
THE AVERAGE HOTEL PRICES IN GEORGIA
In Georgia, the average cost of a room2 in a 3-star hotel was 152 GEL per night in October 2023, while the average cost of a room in a 4-star hotel in Georgia was 237 GEL per night and the average cost of a room in a guesthouse3 was 118 GEL per night.
The average cost of a room in a 5-star hotel in Georgia in October 2023 was 411 GEL per night. In Tbilisi, the average price was 562 GEL, followed by Guria – 530, Kakheti – 517, and Adjara – 319.
BASIC ECONOMIC INDICATORS IN GEORGIA
