EPI Study: Competitiveness of the Air Transport Sector

This study analyzes the factors that may hinder the development of Georgia’s aviation sector and proposes a national air transport policy in order to increase the sector’s competitiveness. The first section of the report analyzes the institutional framework, the separation of functions among the different bodies and their capability to undertake defined responsibilities. The second section focuses on the country’s airport infrastructure and its capacity to accommodate sector growth. The third section is an assessment of the current market in terms of routes, destinations and frequencies. The fourth section analyzes the fees and charges levied from the airlines and passengers at the airports of Tbilisi and Batumi and benchmarks these costs with other relevant airports in the region to assess whether the country’s air transport competitiveness is affected by these costs. Finally, a proposed formulation of a national aviation policy for Georgia is presented in order to increase Georgia’s air transport competitiveness.