Key Takeaways
- Georgia's ICT exports reached US$842 million in 2024 (10.9% of total services exports) and surged 52.3% year-over-year to US$898 million in the first nine months of 2025, making IT the country's fourth-largest sector at 8.2% of nominal GDP (Galt & Taggart, 2024/2025)
- Georgia's Virtual Zone Person status grants a 0% corporate income tax rate on IT services and software exported abroad, while International Company status caps corporate income tax at 5% and personal income tax at 5%, compared with the standard 20% wage tax (Andersen in Georgia; Forbes Georgia 2025)
- BPO and IT outsourcing employ roughly 46,000 people across about 130 BPO companies, with BPO service exports rising from US$110 million in 2020 to nearly US$700 million in 2024 (Enterprise Georgia, reported by Georgia Today)
- Georgia scored 541 on the EF English Proficiency Index 2025, ranking 35th of more than 100 countries and regions, with the capital Tbilisi scoring 550 (EF EPI 2025)
- The number of Georgia-based developers on GitHub rose 22% year-over-year to 138,300 in 2024, and the IT workforce grew from about 5,000 people in 2021 to an estimated 30,200 by 2023 (Galt & Taggart, 2024)
Georgia BPO statistics for 2026 describe one of the fastest-growing services economies in the Caucasus, built on aggressive tax incentives, a young and increasingly English-capable workforce, and a time zone that bridges European and Middle Eastern business hours. The country sits between Armenia and the Black Sea, and it has spent the past four years converting a small technology base into a genuine outsourcing destination for US, UK, and European buyers.
Georgia is not a high-volume market on the scale of India or the Philippines. What it offers is a concentrated talent pool, a 0% corporate tax path for exported IT services, and wage rates that run well below Western Europe. Between 2020 and 2024, services exports from its BPO and IT sectors climbed roughly sevenfold, and the government has treated the sector as a strategic priority rather than an afterthought.
For broader market context, see BPO industry statistics 2026.
Georgia BPO and IT sector market size
Georgia's technology exports are tracked mainly as ICT (information and communication technology) services, which cover software development, IT services, and business process outsourcing together. The headline figures come from Galt & Taggart, the research arm of Bank of Georgia, whose May 2024 IT sector report and 2025 updates are the most cited source for the market.
ICT exports reached US$842 million in 2024, equal to 10.9% of Georgia's total services exports. Growth then accelerated: in the first nine months of 2025, ICT exports rose 52.3% year-over-year to US$898 million, lifting the sector's share of total services exports to 14.0%. IT sector turnover reached GEL 4.5 billion in the first nine months of 2025, more than double the prior-year figure, and the sector became the fourth-largest part of the economy at 8.2% of nominal GDP (Galt & Taggart, 2024/2025).
The business process outsourcing sub-segment is tracked separately by Enterprise Georgia, the state investment agency. Its figures, reported through Georgia Today, put BPO service exports at nearly US$700 million in 2024, up from US$110 million in 2020. The agency counts about 130 BPO companies operating in the country and estimates that BPO and IT outsourcing together employ around 46,000 people.
| Metric | Figure | Source |
|---|---|---|
| ICT services exports (2024) | US$842 million | Galt & Taggart, 2024 |
| ICT exports as % of services exports (2024) | 10.9% | Galt & Taggart, 2024 |
| ICT exports (9M 2025) | US$898 million (+52.3% y/y) | Galt & Taggart, 2025 |
| IT sector turnover (9M 2025) | GEL 4.5 billion (+2.1x y/y) | Galt & Taggart, 2025 |
| IT sector share of GDP (9M 2025) | 8.2% | Galt & Taggart, 2025 |
| BPO service exports (2024) | ~US$700 million | Enterprise Georgia / Georgia Today |
| BPO service exports (2020) | ~US$110 million | Enterprise Georgia / Georgia Today |
| Registered BPO companies | ~130 | Enterprise Georgia / Georgia Today |
| Employment across BPO and IT outsourcing | ~46,000 | Enterprise Georgia / Georgia Today |
The gap between the two export figures reflects scope. The Galt & Taggart number counts ICT services narrowly, while the Enterprise Georgia figures fold in a wider set of outsourced back-office and support functions. Both point in the same direction: a sector that has grown far faster than the rest of the Georgian economy since 2022.
Georgia developer and BPO agent wage rates vs. the US and Central Europe
Wage data for Georgia varies by methodology, so it is worth separating the two kinds of sources. Market salary aggregators that report what employers actually pay tend to show lower figures, while cost-of-living models tend to run higher.
Qubit Labs, a recruiter that places Georgian engineers, reports base annual salaries of roughly US$7,800 for front-end developers, US$8,000 for back-end developers, US$10,000 for full-stack developers, and US$7,000 for Python engineers. SalaryExpert, which models gross pay using cost-of-living regression, places the average Tbilisi software engineer higher at 172,963 GEL per year (about US$64,000 at 2.7 GEL to the dollar), with entry-level roles near 123,451 GEL (about US$45,700) and senior roles near 200,783 GEL (about US$74,400).
In practice, experienced Georgian developers commonly cost between US$15,000 and US$35,000 per year fully loaded, depending on seniority and specialization, against US$110,000 to US$140,000 for comparable mid-level US engineers. Enterprise Georgia summarizes the broader picture more simply: average monthly salaries across professions run 30% to 40% below Central Europe.
| Role | Georgia annual pay | US / Western equivalent | Source |
|---|---|---|---|
| Front-end developer | ~US$7,800 | US$95,000-US$120,000 | Qubit Labs |
| Back-end developer | ~US$8,000 | US$100,000-US$130,000 | Qubit Labs |
| Full-stack developer | ~US$10,000 | US$110,000-US$140,000 | Qubit Labs |
| Software engineer (avg, modeled) | ~US$64,000 gross | US$120,000+ | SalaryExpert |
| All professions (avg) | 30-40% below Central Europe | - | Enterprise Georgia |
Support and back-office BPO agents sit below developer rates, which keeps blended team costs attractive for customer service, data entry, and finance-and-accounting work. For a wider salary comparison across the region, see eastern Europe outsourcing statistics 2026.
Georgia BPO time-zone fit for US and European buyers
Georgia runs on Georgia Standard Time, UTC+4, with no daylight saving changes. That places it three hours ahead of London for most of the year and eight to nine hours ahead of US Eastern Time.
For European buyers, the overlap is strong: a Tbilisi team working standard local hours covers the full European business day and the Middle East. For US buyers, the fit works best for follow-the-sun models, overnight processing, and morning-handoff support, where a Georgian team completes work before the US East Coast opens. US firms that need real-time daytime coverage typically ask Georgian teams to shift later in the day, which is common practice among the country's export-focused providers.
Georgia talent pool and language capacity
Georgia's technology workforce expanded quickly. Galt & Taggart estimates the IT sector employed about 30,200 people in 2023, up from roughly 5,000 in 2021. Developer activity tracks the same trend: the number of Georgia-based developers on GitHub rose 22% year-over-year to 138,300 in 2024.
The government has backed the growth with training programs. A state-supported effort trained 3,000 IT specialists by 2022, and a follow-up program targets upskilling 5,000 more by 2026 (Enterprise Georgia). These programs feed the three main service hubs and keep the junior talent pipeline supplied.
On language, Georgia scored 541 on the EF English Proficiency Index 2025, ranking 35th of more than 100 countries and regions and placing it in the upper proficiency bands. The capital Tbilisi scored 550. The sub-scores were 563 for reading, 537 for listening, 523 for writing, and 507 for speaking (EF EPI 2025). That profile suits written support, documentation, and back-office roles particularly well, and it is competitive with other emerging Caucasus and Eastern European destinations.
Government incentives: Virtual Zone and International Company status
Georgia's tax regime is the single biggest reason foreign IT and BPO firms establish local entities. The country uses an Estonian-style system that taxes distributed profit rather than accrued profit, and it layers two special statuses on top.
Virtual Zone Person (VZP) status grants a 0% corporate income tax rate on profit earned from IT services and software products exported to clients abroad. Companies still pay a 5% dividend tax when profits are distributed to shareholders, but Georgia's network of double-taxation treaties across 58 jurisdictions can reduce that rate to 0% in many cases. The exemption applies only to income from non-resident clients for services delivered from Georgia, so companies must maintain genuine local presence and staff (Andersen in Georgia).
International Company (IC) status suits larger, established operators. It caps corporate income tax at 5% on distributed profit (versus the standard 15%), sets personal income tax on employee salaries at 5% (versus the standard 20%), and applies 0% withholding tax on dividends. Qualifying firms must show at least two years of experience in eligible IT services and maintain a physical presence with local employees (Forbes Georgia 2025; Andersen in Georgia).
| Incentive | Corporate tax | Payroll / dividend treatment | Best fit | Source |
|---|---|---|---|---|
| Virtual Zone Person | 0% on exported IT income | 5% dividend tax (often 0% via treaties) | Startups, small IT and software firms | Andersen in Georgia |
| International Company | 5% on distributed profit | 5% PIT on salaries, 0% dividend WHT | Established IT and BPO operators | Forbes Georgia 2025 |
| Standard regime | 15% on distributed profit | 20% PIT on salaries | Domestic-focused firms | Andersen in Georgia |
The 5% personal income tax under IC status matters for labor-intensive BPO work, because it lowers the total cost of employing a local support or engineering team well below the headline wage.
Top outsourcing hubs: Tbilisi, Batumi, and Kutaisi
Three cities carry most of Georgia's BPO and IT activity. Tbilisi, the capital, is the primary hub and holds the largest concentration of developers, agencies, and international companies. Batumi, on the Black Sea coast, has grown as a secondary center with a strong pull for remote and relocated tech workers. Kutaisi rounds out the trio and hosts training and back-office capacity supported by state programs (Enterprise Georgia).
The concentration in Tbilisi mirrors the pattern in neighboring markets, where a single dominant capital anchors the export sector. For a direct regional comparison, see Armenia BPO statistics 2026, where Yerevan plays the same anchoring role.
Georgia BPO cost savings benchmarks
The cost case rests on lower base wages, a 5% or lower effective payroll tax under special status, and employer burdens far below Western European levels. A US or UK buyer running a mid-level engineering or support team in Georgia typically lands 50% to 70% below the equivalent onshore cost, and 30% to 40% below Central European providers on general roles (Enterprise Georgia; Qubit Labs).
The rapid export growth is the clearest proof that the math works for buyers. Service exports would not have climbed from US$110 million to nearly US$700 million in four years without a durable price advantage backing real delivery capacity.
Georgia vs. comparable outsourcing destinations
Georgia competes most directly with other emerging Eastern European and Caucasus markets rather than with high-volume Asian hubs. Against Armenia, it offers a broadly similar wage level and a comparable tax incentive story, with Georgia's Virtual Zone matching Armenia's 1% turnover regime as one of the region's most aggressive. Against Romania and Bulgaria, Georgia is cheaper and taxes exported IT income more lightly, but it lacks EU membership, which matters for European clients with GDPR data-residency requirements.
For buyers weighing these options, Georgia fits the profile of a low-cost, incentive-driven specialist destination. It suits firms that prioritize cost efficiency and do not require EU data residency. Buyers who need EU-compliant operations tend to prefer Romania BPO statistics 2026 or Bulgaria BPO statistics 2026. For a nearshore Eastern European comparison at similar cost, see Ukraine BPO statistics 2026.
Key Georgia BPO statistics summary
- ICT exports reached US$842 million in 2024 and rose 52.3% year-over-year to US$898 million in the first nine months of 2025 (Galt & Taggart).
- IT is Georgia's fourth-largest sector at 8.2% of nominal GDP, with turnover of GEL 4.5 billion in 9M 2025 (Galt & Taggart).
- BPO service exports climbed from US$110 million in 2020 to nearly US$700 million in 2024 (Enterprise Georgia).
- About 130 BPO companies operate in Georgia, and BPO plus IT outsourcing employ roughly 46,000 people (Enterprise Georgia).
- Virtual Zone Person status delivers 0% corporate tax on exported IT income; International Company status caps tax at 5% (Andersen in Georgia).
- Georgia scored 541 on the EF English Proficiency Index 2025, ranking 35th globally, with Tbilisi at 550 (EF EPI 2025).
- Georgia-based GitHub developers reached 138,300 in 2024, up 22% year-over-year (Galt & Taggart).
- The largest share of IT exports (26%) went to the USA, followed by the UK at 15% and Malta at 11% (Galt & Taggart).
Frequently asked questions about Georgia BPO
How big is Georgia's BPO and IT outsourcing sector?
Georgia's ICT exports reached US$842 million in 2024 and grew 52.3% year-over-year to US$898 million in the first nine months of 2025, making IT the country's fourth-largest sector at 8.2% of GDP. Business process outsourcing exports specifically climbed from US$110 million in 2020 to nearly US$700 million in 2024, spread across about 130 BPO companies (Galt & Taggart, 2024/2025; Enterprise Georgia).
How much can US companies save by outsourcing to Georgia?
Georgian salaries run 30% to 40% below Central Europe on general roles, and mid-level developers commonly cost US$15,000 to US$35,000 per year fully loaded against US$110,000 to US$140,000 for US equivalents. Combined with a 0% or 5% corporate tax under special status, most buyers land 50% to 70% below onshore cost (Enterprise Georgia; Qubit Labs; Andersen in Georgia).
What tax incentives does Georgia offer BPO and IT companies?
Virtual Zone Person status grants a 0% corporate income tax rate on IT services and software exported abroad, with a 5% dividend tax that treaties can reduce to 0%. International Company status caps corporate income tax at 5% and personal income tax on salaries at 5%, versus the standard 20%, for firms with at least two years of experience and a local presence (Andersen in Georgia; Forbes Georgia 2025).
Sources
- Galt & Taggart: IT Sector in Georgia report, May 2024
- Galt & Taggart: ICT Exports Surge 52.3% Year-on-Year in 3Q25, 2025
- Enterprise Georgia, reported in Georgia Today: Business Process Outsourcing in Georgia
- National Statistics Office of Georgia (Geostat): Business Sector in Georgia
- Andersen in Georgia: Virtual Zone Person Status in Georgia (0% Corporate Tax Regime)
- Andersen in Georgia: International Company Status in Georgia
- Forbes Georgia: Virtual Zone Person vs. International IT Company in Georgia, 2025 Tax Guide
- EF English Proficiency Index 2025 (Georgia entry and full report)
- SalaryExpert / ERI: Software Engineer Salary in Tbilisi, Georgia, 2025
- Levels.fyi: Software Engineer Salary in Tbilisi, 2025
- Glassdoor: Developer and Software Engineer Salaries in Tbilisi, 2025/2026
- Qubit Labs: Hiring Software Developers in Georgia
- Site Selection Magazine: Rising Trends Converge in Georgia
- Outsource Accelerator: Top BPO Companies in Georgia
- Helpware: Top Countries for Outsourcing (BPO)
- IANA Time Zone Database 2025
For related research, see Armenia BPO Statistics 2026, Ukraine BPO Statistics 2026, and eastern Europe outsourcing statistics 2026. To hire pre-vetted Georgian and global talent without long-term contracts, visit Stealth Agents virtual assistant services.
Frequently Asked Questions
What is the size and scope of Georgia's BPO industry in 2026?
Georgia's ICT exports reached US$842 million in 2024 and grew 52.3% year-over-year to US$898 million in the first nine months of 2025, with BPO exports specifically rising from US$110 million in 2020 to nearly US$700 million in 2024 across about 130 BPO companies (Galt & Taggart; Enterprise Georgia).
What are the cost advantages of outsourcing to Georgia?
Georgian salaries run 30% to 40% below Central Europe, and a 0% corporate tax under Virtual Zone Person status or a 5% rate under International Company status lowers total employment cost further, letting most buyers save 50% to 70% versus onshore teams (Enterprise Georgia; Andersen in Georgia).
How can businesses start outsourcing to Georgia?
Businesses start outsourcing to Georgia by working with Stealth Agents, which provides pre-vetted, English-fluent virtual assistants with no long-term contracts, letting companies scale support and back-office teams up or down without recruiting overhead.