A SUPPLEMENT TO EUROMONEY - GEORGIAThe implications of peace Not long ago it was dangerous to venture onto the streets of Tbilisi, the capital of Georgia. Gangs of armed men, back from the front line, roamed the streets at night. Things were little better during the day and a crime wave made it almost impossible to run any sort of business. But since presidential and parliamentary elections in November 1995, this mountainous Caucasus republic has enjoyed a dramatic recovery after a civil war and two separatist wars that produced a refugee crisis and economic collapse. The changes are most visible on Rustaveli Prospect, Tbilisi's central avenue. New shops, restaurants and cafés jostle for space and customers. Georgia, with a population of 5.5 million, still faces many structural problems. But analysts are surprised how quickly hyperinflation has given way to economic growth and political stability. The country has good prospects as a transit corridor for trade especially in oil (see page 96). For many Georgians, Rustaveli Prospect is the most vivid symbol of the turbulence of the five years since the country declared independence from the Soviet Union. |