CHINA’S ONE BELT AND ONE ROAD INITIATIVE AND ITS PROSPECTS FOR GEORGIA
CHINA’S ONE BELT AND ONE ROAD INITIATIVE AND ITS PROSPECTS FOR GEORGIA

Summary/Abstract: Since the first announcement in 2013, Beijing backed “One belt and one road” initiative seems as a new global economic policy of China. No doubt it may have huge influence on tens of countries, which are the part of mega initiative and located on the belt and road. The one belt and one road initiative seems more unique within the connection of the land and the sea components, and gives the basis to discuss its future prospects and scale as an economic doctrine that allows its author to create the greatest sphere of economic influence. The one belt and one road initiative is an ambitious economic vision based on strong economic cooperation between the initiative member countries. It aims to establish an open market system in Eurasian Heartland. This creates the basis for the setting up of a new geo-economic disposition in this area. At the same time, political context of the new Silk Road initiative announced by China may change significantly in the long term, which is a challenge for the other powers. The South Caucasus is a part of Chinese economic initiative, while it linked Europe to Asia and includes important transit corridors for the cargo transportations both on sea and railway. Taking into consideration geopolitical and geo-economic role of the South Caucasus region, which also includes the setting up of a transport corridor connecting Europe and Asia, the role of Georgia and Azerbaijan in the region has significantly increased. It should be noted that Georgia and Azerbaijan were discussed in the context of transport corridor within the "silk road" project from the beginning of the 90s. Georgia was one of the first which signed a cooperation agreement with China, and become part of the "one belt and one road" initiative. Meanwhile, Georgia is one and only country in the South Caucasus and Central Asia region which has a free trade regime with China. After the signing Free Trade Agreement with China, Georgia became the only country in the region that has free trade agreement with both China and the EU. Which create prospects for boosting trade and economic relations through the mentioned transportation corridor. In determining the role of Georgia in the one belt and one road initiative, we should take into account the recent dynamic of trade and economic relations between Georgia and China, which seems growing tendency in the last years and includes various sectors. In this framework, the paper discusses upcoming prospects of One belt and one road initiative in the South Caucasus and especially in the east coast of the Black Sea region. The paper also analyzes trade flow and economic cooperation between Georgia and China, whereas in the research there are used quantitative and qualitative methods and concludes geopolitical and geo economic landscape in terms of prospects one belt and one road initiative.

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