(Read the full article on civil.ge)

The U.S. State Department’s 2021 Investment Climate Statement on Georgia positively assesses Georgia’s business, trade and investment-related regulatory framework and legislation, but highlights shortcomings in the judiciary, CIVIL.GE reported.

The report, published on July 21, says indications of “interference in judicial impartiality” remain, while justices are vulnerable to political pressure from within and outside the court system.

“There is an increasing lack of confidence in the judicial sector’s ability to adjudicate commercial cases or in a timely, competent manner,” the document highlights, noting some disputes are languishing for years in courts.

The report says companies complain about inefficient municipal-level decision-making, shortcomings in enforcing intellectual property rights, lack of effective anti-trust policies, selective enforcement of laws, alleged political meddling.

The State Department cites the case of Anaklia Development Consortium, consisting of international investors including a U.S. company, which was awarded a contract in 2016 to develop a deep-sea port in Anaklia town. Noting the authorities terminated the deal with the ADC in 2020, the report says “the investor group alleges government actions against the project let to financial difficulties and eventual contract termination.”