ჟურნალი ეკონომისტი

Journal number 3 ∘ Tengiz Verulava ∘ Khatia Silakadze ∘

Rehabilitation for Rare Neurological Diseases in Georgia: An Analysis of Access, Financing, and Policy

Extended Summary Rare neurological diseases comprise a heterogeneous group of genetic, degenerative, autoimmune, and neuromuscular disorders that frequently result in progressive limitations in mobility, balance, communication, swallowing, cognition, self-care, and participation in everyday life. Although each condition affects a relatively small number of people, patients often require long-term, continuous, and multidisciplinary rehabilitation. Depending on the disease and the individual’s functional status, rehabilitation may include physical therapy, occupational therapy, speech and swallowing therapy, psychological and neuropsychological support, assistive technologies, patient and caregiver education, and social support. In progressive neurological conditions, the purpose of rehabilitation is not always the complete restoration of lost function. Clinically meaningful outcomes may include maintaining existing abilities, slowing functional decline, preventing
2026-08-21

Journal number 3 ∘ Aytakin Gasan Akhundova ∘

TRENDS IN THE DEVELOPMENT OF BUSINESS TOURISM IN THE REPUBLIC OF AZERBAIJAN

Expanded Summary Business tourism remains one of the most significant and economically efficient segments of the global tourism industry. Although its share in the total volume of tourist trips is considerably lower than that of leisure travel, business travelers generate a significant proportion of the revenues of hotels, airlines, exhibition centers, and other participants in the tourism market. Following the sharp decline caused by the COVID-19 pandemic, the global business travel market has demonstrated steady recovery. According to the Global Business Travel Association (GBTA), global business travel spending reached approximately USD 1.48 trillion in 2024, exceeding the pre-pandemic level of 2019. According to the associations forecasts, if current trends continue, global business travel spending may exceed USD 2 trillion by 2028. Today, major international organizations spend more than USD 1 million annually on business incentive travel for their employees. Business travel
2026-08-21

Journal number 3 ∘ Otar Anguridze ∘

Internal Audit of Pension Funds: The Case of Georgias Funded Pension Scheme

Annotation. Funded pension schemes in emerging economies are growing rapidly and accumulating substantial assets on behalf of millions of participants, placing exceptional demands on governance, risk management, and the internal audit function. This paper examines the extent to which Georgia’s funded pension scheme’s institutional, governance, and control framework conforms to international internal audit standards and the best practices of leading jurisdictions. The study employs a qualitative-analytical design, whose methodological foundation comprises the Internal Audit Capability Model (IA-CM) for the public sector, developed by the IIA Research Foundation and the World Bank; the Ambition Model of the Netherlands chapter of the Institute of Internal Auditors (the edition aligned with the Global Internal Audit Standards 2024 and effective from 9 January 2025); and the quality-assessment framework of the OECD/SIGMA Principles of Public Administration (2023). The study
2026-08-21

Journal number 3 ∘ Tengiz Verulava ∘

Medical Staff Turnover in Healthcare Organizations: Organizational Factors and Strategies for Reduction

Expanded Summary Human resources are among the most important determinants of organizational effectiveness, service quality, and patient safety in modern healthcare systems. Healthcare organizations depend heavily on the professionalism, motivation, stability, and commitment of their medical personnel. For this reason, staff turnover in the healthcare sector should not be viewed merely as an administrative or human resource problem. It represents a broader organizational and economic challenge that directly affects institutional sustainability, continuity of care, and the quality of medical services. Turnover among medical personnel has become a serious concern for healthcare systems worldwide. The problem became particularly visible after the COVID-19 pandemic, when healthcare workers experienced increased workload, psychological pressure, professional burnout, and uncertainty. High staff turnover creates significant direct and indirect costs for healthcare institutions. Direct
2026-08-21

Journal number 3 ∘ Javanshir Burhanzadeh ∘

Economic recovery in post-conflict areas of Azerbaijan: investment potential and management strategies

Annotation. The post-conflict areas of Azerbaijan (especially Karabakh and East Zangezur) have significant investment potential in terms of economic, social and infrastructure development. The article discusses the rehabilitation and reconstruction work carried out in Karabakh and East Zangezur and analyzes the investments directed to the post-conflict areas of Azerbaijan. The need for specific approaches, investment management strategies and efficient use of resources for the economic rehabilitation of these areas is emphasized. Keywords: post-conflict areas, Karabakh, East Zangezur, rehabilitation and reconstruction, investment activity, investment management strategies. İntroduction Economic recovery in our post-conflict areas is of paramount importance for the long-term development of Azerbaijan after its independence. The economic security of the Karabakh and East Zangezur regions is directly linked to the diversification of the non-oil sector. Post-war recovery
2026-08-21

Journal number 3 ∘ Vakhtang Berulava ∘

Marketing–Sales Alignment and Its Link to Sales Growth in Georgian B2B Distributor SMEs

(Extended Abstract) The two main income-generating functions in most companies are marketing and sales. Yet for a long time these two functions operate as separate units both structurally and culturally, having different time horizons, performance metrics and professional outlooks. The academic literature suggests that the marketing sales alignment (MSA), which reflects the degree to which these functions share their goals, technology, processes, communications data and accountability for results, is directly related to shorter sales cycles, higher lead conversion rates and greater sales growth. However, these findings come mainly from developed Western markets. The evidence of the relationship between MSA and firm’s sales performance is relatively scarce for emerging economies. In Georgia, characterized by a rapidly developing private sector, uneven digital infrastructure and a relationship-based business culture, this relationship has not been studied previously. Yet
2026-08-21

Journal number 3 ∘ Ayan Ibragimovna Mirzayeva ∘

Sustainable Tourism in the Context of the SDGs: Challenges and Opportunities

Annotation:In recent years, tourism has become one of the fastest-growing sectors of the global economy, playing a significant role in sustainable development through its economic, social, and environmental impacts. The concept of sustainable tourism emphasizes the implementation of tourism activities based on the principles of economic efficiency, environmental protection, and social well-being. This article examines the key challenges and opportunities of sustainable tourism within the framework of the Sustainable Development Goals (SDGs). The study explores the contribution of tourism to economic growth, employment generation, responsible consumption, and environmental sustainability. In addition, challenges such as climate change, inefficient resource use, and overtourism are critically assessed. The findings suggest that the development of sustainable tourism can significantly contribute to the achievement of the SDGs while ensuring the long-term sustainability of the tourism
2026-08-21

Journal number 3 ∘ Azar Amirov Azad ∘

Optimizing State-Directed Innovation Finance in a Fragmented Global Economy

Abstract State-directed credit expansions often trigger severe productivity losses through capital misallocation, a risk intensified by geoeconomic fragmentation. This study formulates a dual-pillar screening framework for state innovation finance: the first pillar disqualifies firms whose Altman Z-score falls in the intermediate Grey Zone; the second tests operational viability via a strict Free Cash Flow to Equity calculation. In a simulation of 500 industrial enterprises, the framework disqualified 207 conditionally approved firms, reallocating 64.7% of state credit from structurally weak incumbents toward productive entrepreneurial firms that drive total factor productivity and genuine R&D. Key Words: Capital misallocation, State-directed finance, Altman Z-score, Free Cash Flow to Equity, Zombie firms. Introduction Rising geopolitical tensions and the dismantling of integrated supply chains severely restrict cross-border technology diffusion, threatening global
2026-08-21

Journal number 3 ∘ Avaz Jeyhun Safarli ∘

ASSESSMENT OF THE RELATIONSHIP BETWEEN THE LEVEL OF DIGITAL TRANSFORMATION AND EMPLOYMENT INDICATORS (THE CASE OF AZERBAIJAN)

Annotation. The article assesses the relationship between the level of digital transformation and employment indicators in Azerbaijan for 2010-2024. The empirical basis of the study consists of official statistical yearbooks and electronic statistical tables of the State Statistical Committee of the Republic of Azerbaijan. A digital development index is constructed on the basis of internet use, mobile subscriptions, ICT output, and ICT value added. The results show that digital transformation is associated with employment growth, but its main effect is not a simple increase in the number of jobs; rather, it is the restructuring of employment, the growing importance of digital skills, and the expansion of technology-intensive work functions. Correlation and log-log estimation confirm a positive relationship between the digital development index and employment indicators, while the interpretation of the results is limited to association rather than strict causality. Keywords: digital
2026-08-21

Journal number 3 ∘ Javid P. Safarov ∘

Ensuring Macroeconomic Stability in Azerbaijan: Structural and Innovative Methods for Preventing Currency Crises

Annotation. his study examines the strategic evolution of macroeconomic management in the Republic of Azerbaijan, focusing on the protection of the national currency against exogenous shocks. The research introduces a “systemic triad” framework—comprising structural diversification, digital predictive signaling (AI/Big Data), and institutional-monetary regulation—to shift financial policy from reactive crisis management to proactive, multi-layered risk control. By analyzing the synergy between real-sector development (Agro-Industrial Complex, Middle Corridor, IT services) and advanced analytical monitoring, the paper provides a comprehensive roadmap for insulating the national economy from global volatility. The findings advocate for a robust, high-tech architectural approach that mitigates the risks of "Dutch disease," maximizes the efficiency of state reserves, and establishes a foundation for stable, long-term economic growth. Keywords: macroeconomic
2026-08-21

Journal number 3 ∘ Mikheil Koplatadze ∘

Adaptive Marketing Capabilities in Tourism: A Comparative Analysis of Public and Private Organizations in Ajara

Expanded Summary This article examines adaptive marketing capabilities in Ajara through 16 semi-structured interviews, strategic documents for 2015–2025 and official tourism statistics. The findings show a complementary asymmetry: public organizations are stronger in system-level analysis and coordination, while private firms react faster to commercial signals. The novelty is linking these differences with adaptive alignment, an information-analytics gap and market portfolio resilience. Introduction Tourism marketing in Ajara can no longer be understood only through advertising or destination image. Visitor experience is created by many actors, from destination management organizations to hotels, tour operators, transport providers and digital platforms. The important question is how quickly market signals become an available product and a reliable experience. During 2015–2025, Ajara moved beyond a model dominated by visitor growth and the seaside product. The Tourism
2026-08-21

Journal number 3 ∘ Nika Tsotsoria ∘

Green Economy Transformation in Georgia: The Economic Significance of Secondary Resource Utilization

Expanded Summary This article examines the process of green economy transformation in Georgia, with a particular focus on the economic significance of secondary resource utilization. In the context of contemporary sustainable development challenges, the shift from a linear economic model toward a circular economy has become a critical policy priority. The study situates this transition within broader theoretical and practical frameworks of sustainable development, resource efficiency, and environmental-economic integration. The research analyzes the core principles of efficient resource management and circular economy models, emphasizing their increasing relevance for modern economic systems. It argues that sustainable development cannot be achieved solely through environmental regulation, but requires a systemic transformation of production and consumption patterns, as well as the integration of secondary resource flows into the national economy. Special attention is given to the
2026-08-21

Journal number 3 ∘ Tengizi Mtchedlidze ∘ Mariam Mtchedlidze ∘

Hydropower Supply Shocks and Electricity-System Adjustment in Georgia

Expanded Summary Georgia’s electricity system depends heavily on hydropower and is exposed to seasonal and interannual variation in river discharge. Hydropower supplied about 80.5% of domestic electricity generation in 2021. Generation usually declines in winter, when demand, thermal generation, and electricity imports increase. During high-discharge periods, additional hydropower may reduce thermal generation, lower imports, or support exports. This study estimates how Georgia’s electricity system responds to an unexpected hydropower-supply shock. Previous studies have examined electricity balances, seasonal deficits, cross-border trade, renewable-energy development, and institutional reform. These descriptive relationships do not isolate unexpected hydropower changes because generation may respond simultaneously to demand, weather, reservoir management, and regional market conditions. This study addresses that identification problem using a proxy structural vector
2026-08-21

Journal number 3 ∘ Giorgi Dolidze ∘

Modern Challenges of Digitalization in the Georgian Hotel Industry

Expanded Summary This paper discusses the role of digital technologies in global and local tourism and the hospitality sector, analyzing the primary challenges within the digitalization process of Georgia\\\\'s hotel sector. It outlines the current market state and digitalization trends of the Georgian hotel industry, covers the theoretical foundations and global trends of digitalization in hospitality, and evaluates the structure of the Georgian hotel market alongside existing digital divides. Keywords: Digitalization, hotel industry, challenges, markets, technologies Introduction In the contemporary global economy, the rapid development of digital technologies has fundamentally transformed the service sector, particularly the hospitality and tourism industry (Buhalis & Law, 2008). Today, digitalization is no longer merely a competitive advantage—it has become a prerequisite for survival and sustainable development within the industry (UNWTO, 2021). For Georgia, where
2026-08-21

Journal number 3 ∘ Irakli Samadalashvili ∘

Youth Policy and Democratic Governance in Georgia: Theoretical and Policy Analysis

Expanded Summary This study uses theoretical analysis and desk research to look at how youth policy frameworks, democratic governance, and institutional growth connect in Georgia. By pairing international youth participation theory with a close look at Georgia\\'s specific post-Soviet transitional background, the paper focuses on the structural and institutional issues that shape how young people integrate into civic life. It builds on democratic participation theory, social integration models, and comparative policy frameworks to review Georgia’s institutional setup for youth policy, the effects of local economic and geographic conditions, and how institutional trust influences governance. Ultimately, the paper helps explain what makes youth policy work in developing democracies and offers practical recommendations to strengthen youth integration and support lasting democratic growth. The findings show that keeping young people engaged over time requires steady, well-aligned,
2026-08-21

Journal number 3 ∘ Ilia Janiashvili ∘

Empirical Analysis of the Solar Energy Investment Environment in Georgia: Evidence from the Private Sector

Expanded Summary This article presents an empirical investigation of the financial and economic effectiveness of private photovoltaic (PV) investments in Georgia, drawing on a structured survey of thirteen organisations (twelve plant-owning companies and one commercial bank) whose combined installed capacity reaches 52.12 MW. The bank — JSC ProCredit Bank — was surveyed twice, both as a self-consuming owner of a 0.1 MW rooftop installation and as the principal financier of more than one hundred PV projects with an aggregate capacity of 32.5 MW. The mixed-methods design combines descriptive statistics, Pearson correlation, and a comparative scenario analysis based on annuity-loan financial modelling. The research tested seven hypotheses (H1–H7), all of which were empirically confirmed. The mean payback period of Georgian PV projects is 4.84 years — about 76% shorter than the European average of 8.5 years. The principal drivers of this differential are the
2026-08-21

Journal number 3 ∘ Medea Zurabishvili ∘

ESG Reporting Assurance in Georgia: Regulatory Environment, Audit Sector Readiness and Challenges

Expanded Summary Introduction. Corporate reporting is no longer judged solely on financial results. Investors, creditors and other stakeholders increasingly weigh environmental, social and governance factors when they assess a company, which raises the value of reliable ESG information and, at the same time, the risk that some of it is inflated or selectively presented, including outright greenwashing. Independent assurance addresses this risk directly: it narrows the information gap between preparers and users and increases confidence among stakeholders (Simnett et al., 2009; Cohen & Simnett, 2015). Georgia\\'s reporting and audit framework has developed steadily over the past several years, yet independent verification of ESG information is still uncommon (Pirveli & Thompson, 2022), and tightening ESG expectations in the financial sector are pushing demand for higher-quality sustainability data (National Bank of Georgia, 2020). Against this background, the paper asks how
2026-08-21

EKONOMISTI The international scientific and analytical, reviewed, printing and electronic journal of Paata Gugushvili Institute of Economics of Ivane Javakhishvili Tbilisi State University

DOI: 10.52340/EKONOMISTI DOI: 10.36172/EKONOMISTI E ISSN 2346-8432 Print ISSN 1987-6890	Journal number 3 ∘ Journal N3, 2026 content Journal N3, 2026 შინაარსი - C O N T E N T 2026-08-21 Journal number 3 ∘ Tengiz Verulava ∘ Khatia Silakadze ∘ Rehabilitation for Rare Neurological Diseases in Georgia: An Analysis of Access, Financing, and Policy Extended Summary Rare neurological diseases comprise a heterogeneous group of genetic, degenerative, autoimmune, and neuromuscular disorders that frequently result in progressive limitations in mobility, balance, communication, swallowing, cognition, self-care, and participation in everyday life. Although each condition affects a relatively small number of people, patients often require long-term, continuous, and multidisciplinary rehabilitation. Depending on the disease and the individual’s functional status, rehabilitation may include physical therapy, occupational therapy, speech and swallowing therapy, psychological and neuropsychological support, assistive technologies, patient and caregiver education, and social support. In progressive neurological conditions, the purpose of rehabilitation is not always the complete restoration of lost function. Clinically meaningful outcomes may include maintaining existing abilities, slowing functional decline, preventing 2026-08-21 Journal number 3 ∘ Aytakin Gasan Akhundova ∘ TRENDS IN THE DEVELOPMENT OF BUSINESS TOURISM IN THE REPUBLIC OF AZERBAIJAN Expanded Summary Business tourism remains one of the most significant and economically efficient segments of the global tourism industry. Although its share in the total volume of tourist trips is considerably lower than that of leisure travel, business travelers generate a significant proportion of the revenues of hotels, airlines, exhibition centers, and other participants in the tourism market. Following the sharp decline caused by the COVID-19 pandemic, the global business travel market has demonstrated steady recovery. According to the Global Business Travel Association (GBTA), global business travel spending reached approximately USD 1.48 trillion in 2024, exceeding the pre-pandemic level of 2019. According to the associations forecasts, if current trends continue, global business travel spending may exceed USD 2 trillion by 2028. Today, major international organizations spend more than USD 1 million annually on business incentive travel for their employees. Business travel 2026-08-21 Journal number 3 ∘ Otar Anguridze ∘ Internal Audit of Pension Funds: The Case of Georgias Funded Pension Scheme Annotation. Funded pension schemes in emerging economies are growing rapidly and accumulating substantial assets on behalf of millions of participants, placing exceptional demands on governance, risk management, and the internal audit function. This paper examines the extent to which Georgia’s funded pension scheme’s institutional, governance, and control framework conforms to international internal audit standards and the best practices of leading jurisdictions. The study employs a qualitative-analytical design, whose methodological foundation comprises the Internal Audit Capability Model (IA-CM) for the public sector, developed by the IIA Research Foundation and the World Bank; the Ambition Model of the Netherlands chapter of the Institute of Internal Auditors (the edition aligned with the Global Internal Audit Standards 2024 and effective from 9 January 2025); and the quality-assessment framework of the OECD/SIGMA Principles of Public Administration (2023). The study 2026-08-21 Journal number 3 ∘ Tengiz Verulava ∘ Medical Staff Turnover in Healthcare Organizations: Organizational Factors and Strategies for Reduction Expanded Summary Human resources are among the most important determinants of organizational effectiveness, service quality, and patient safety in modern healthcare systems. Healthcare organizations depend heavily on the professionalism, motivation, stability, and commitment of their medical personnel. For this reason, staff turnover in the healthcare sector should not be viewed merely as an administrative or human resource problem. It represents a broader organizational and economic challenge that directly affects institutional sustainability, continuity of care, and the quality of medical services. Turnover among medical personnel has become a serious concern for healthcare systems worldwide. The problem became particularly visible after the COVID-19 pandemic, when healthcare workers experienced increased workload, psychological pressure, professional burnout, and uncertainty. High staff turnover creates significant direct and indirect costs for healthcare institutions. Direct 2026-08-21 Journal number 3 ∘ Javanshir Burhanzadeh ∘ Economic recovery in post-conflict areas of Azerbaijan: investment potential and management strategies Annotation. The post-conflict areas of Azerbaijan (especially Karabakh and East Zangezur) have significant investment potential in terms of economic, social and infrastructure development. The article discusses the rehabilitation and reconstruction work carried out in Karabakh and East Zangezur and analyzes the investments directed to the post-conflict areas of Azerbaijan. The need for specific approaches, investment management strategies and efficient use of resources for the economic rehabilitation of these areas is emphasized. Keywords: post-conflict areas, Karabakh, East Zangezur, rehabilitation and reconstruction, investment activity, investment management strategies. İntroduction Economic recovery in our post-conflict areas is of paramount importance for the long-term development of Azerbaijan after its independence. The economic security of the Karabakh and East Zangezur regions is directly linked to the diversification of the non-oil sector. Post-war recovery 2026-08-21 Journal number 3 ∘ Vakhtang Berulava ∘ Marketing–Sales Alignment and Its Link to Sales Growth in Georgian B2B Distributor SMEs (Extended Abstract) The two main income-generating functions in most companies are marketing and sales. Yet for a long time these two functions operate as separate units both structurally and culturally, having different time horizons, performance metrics and professional outlooks. The academic literature suggests that the marketing sales alignment (MSA), which reflects the degree to which these functions share their goals, technology, processes, communications data and accountability for results, is directly related to shorter sales cycles, higher lead conversion rates and greater sales growth. However, these findings come mainly from developed Western markets. The evidence of the relationship between MSA and firm’s sales performance is relatively scarce for emerging economies. In Georgia, characterized by a rapidly developing private sector, uneven digital infrastructure and a relationship-based business culture, this relationship has not been studied previously. Yet 2026-08-21 Journal number 3 ∘ Ayan Ibragimovna Mirzayeva ∘ Sustainable Tourism in the Context of the SDGs: Challenges and Opportunities Annotation:In recent years, tourism has become one of the fastest-growing sectors of the global economy, playing a significant role in sustainable development through its economic, social, and environmental impacts. The concept of sustainable tourism emphasizes the implementation of tourism activities based on the principles of economic efficiency, environmental protection, and social well-being. This article examines the key challenges and opportunities of sustainable tourism within the framework of the Sustainable Development Goals (SDGs). The study explores the contribution of tourism to economic growth, employment generation, responsible consumption, and environmental sustainability. In addition, challenges such as climate change, inefficient resource use, and overtourism are critically assessed. The findings suggest that the development of sustainable tourism can significantly contribute to the achievement of the SDGs while ensuring the long-term sustainability of the tourism 2026-08-21 Journal number 3 ∘ Azar Amirov Azad ∘ Optimizing State-Directed Innovation Finance in a Fragmented Global Economy Abstract State-directed credit expansions often trigger severe productivity losses through capital misallocation, a risk intensified by geoeconomic fragmentation. This study formulates a dual-pillar screening framework for state innovation finance: the first pillar disqualifies firms whose Altman Z-score falls in the intermediate Grey Zone; the second tests operational viability via a strict Free Cash Flow to Equity calculation. In a simulation of 500 industrial enterprises, the framework disqualified 207 conditionally approved firms, reallocating 64.7% of state credit from structurally weak incumbents toward productive entrepreneurial firms that drive total factor productivity and genuine R&D. Key Words: Capital misallocation, State-directed finance, Altman Z-score, Free Cash Flow to Equity, Zombie firms. Introduction Rising geopolitical tensions and the dismantling of integrated supply chains severely restrict cross-border technology diffusion, threatening global 2026-08-21 Journal number 3 ∘ Avaz Jeyhun Safarli ∘ ASSESSMENT OF THE RELATIONSHIP BETWEEN THE LEVEL OF DIGITAL TRANSFORMATION AND EMPLOYMENT INDICATORS (THE CASE OF AZERBAIJAN) Annotation. The article assesses the relationship between the level of digital transformation and employment indicators in Azerbaijan for 2010-2024. The empirical basis of the study consists of official statistical yearbooks and electronic statistical tables of the State Statistical Committee of the Republic of Azerbaijan. A digital development index is constructed on the basis of internet use, mobile subscriptions, ICT output, and ICT value added. The results show that digital transformation is associated with employment growth, but its main effect is not a simple increase in the number of jobs; rather, it is the restructuring of employment, the growing importance of digital skills, and the expansion of technology-intensive work functions. Correlation and log-log estimation confirm a positive relationship between the digital development index and employment indicators, while the interpretation of the results is limited to association rather than strict causality. Keywords: digital 2026-08-21 Journal number 3 ∘ Javid P. Safarov ∘ Ensuring Macroeconomic Stability in Azerbaijan: Structural and Innovative Methods for Preventing Currency Crises Annotation. his study examines the strategic evolution of macroeconomic management in the Republic of Azerbaijan, focusing on the protection of the national currency against exogenous shocks. The research introduces a “systemic triad” framework—comprising structural diversification, digital predictive signaling (AI/Big Data), and institutional-monetary regulation—to shift financial policy from reactive crisis management to proactive, multi-layered risk control. By analyzing the synergy between real-sector development (Agro-Industrial Complex, Middle Corridor, IT services) and advanced analytical monitoring, the paper provides a comprehensive roadmap for insulating the national economy from global volatility. The findings advocate for a robust, high-tech architectural approach that mitigates the risks of "Dutch disease," maximizes the efficiency of state reserves, and establishes a foundation for stable, long-term economic growth. Keywords: macroeconomic 2026-08-21 Journal number 3 ∘ Mikheil Koplatadze ∘ Adaptive Marketing Capabilities in Tourism: A Comparative Analysis of Public and Private Organizations in Ajara Expanded Summary This article examines adaptive marketing capabilities in Ajara through 16 semi-structured interviews, strategic documents for 2015–2025 and official tourism statistics. The findings show a complementary asymmetry: public organizations are stronger in system-level analysis and coordination, while private firms react faster to commercial signals. The novelty is linking these differences with adaptive alignment, an information-analytics gap and market portfolio resilience. Introduction Tourism marketing in Ajara can no longer be understood only through advertising or destination image. Visitor experience is created by many actors, from destination management organizations to hotels, tour operators, transport providers and digital platforms. The important question is how quickly market signals become an available product and a reliable experience. During 2015–2025, Ajara moved beyond a model dominated by visitor growth and the seaside product. The Tourism 2026-08-21 Journal number 3 ∘ Nika Tsotsoria ∘ Green Economy Transformation in Georgia: The Economic Significance of Secondary Resource Utilization Expanded Summary This article examines the process of green economy transformation in Georgia, with a particular focus on the economic significance of secondary resource utilization. In the context of contemporary sustainable development challenges, the shift from a linear economic model toward a circular economy has become a critical policy priority. The study situates this transition within broader theoretical and practical frameworks of sustainable development, resource efficiency, and environmental-economic integration. The research analyzes the core principles of efficient resource management and circular economy models, emphasizing their increasing relevance for modern economic systems. It argues that sustainable development cannot be achieved solely through environmental regulation, but requires a systemic transformation of production and consumption patterns, as well as the integration of secondary resource flows into the national economy. Special attention is given to the 2026-08-21 Journal number 3 ∘ Tengizi Mtchedlidze ∘ Mariam Mtchedlidze ∘ Hydropower Supply Shocks and Electricity-System Adjustment in Georgia Expanded Summary Georgia’s electricity system depends heavily on hydropower and is exposed to seasonal and interannual variation in river discharge. Hydropower supplied about 80.5% of domestic electricity generation in 2021. Generation usually declines in winter, when demand, thermal generation, and electricity imports increase. During high-discharge periods, additional hydropower may reduce thermal generation, lower imports, or support exports. This study estimates how Georgia’s electricity system responds to an unexpected hydropower-supply shock. Previous studies have examined electricity balances, seasonal deficits, cross-border trade, renewable-energy development, and institutional reform. These descriptive relationships do not isolate unexpected hydropower changes because generation may respond simultaneously to demand, weather, reservoir management, and regional market conditions. This study addresses that identification problem using a proxy structural vector 2026-08-21 Journal number 3 ∘ Giorgi Dolidze ∘ Modern Challenges of Digitalization in the Georgian Hotel Industry Expanded Summary This paper discusses the role of digital technologies in global and local tourism and the hospitality sector, analyzing the primary challenges within the digitalization process of Georgia\\\\'s hotel sector. It outlines the current market state and digitalization trends of the Georgian hotel industry, covers the theoretical foundations and global trends of digitalization in hospitality, and evaluates the structure of the Georgian hotel market alongside existing digital divides. Keywords: Digitalization, hotel industry, challenges, markets, technologies Introduction In the contemporary global economy, the rapid development of digital technologies has fundamentally transformed the service sector, particularly the hospitality and tourism industry (Buhalis & Law, 2008). Today, digitalization is no longer merely a competitive advantage—it has become a prerequisite for survival and sustainable development within the industry (UNWTO, 2021). For Georgia, where 2026-08-21 Journal number 3 ∘ Irakli Samadalashvili ∘ Youth Policy and Democratic Governance in Georgia: Theoretical and Policy Analysis Expanded Summary This study uses theoretical analysis and desk research to look at how youth policy frameworks, democratic governance, and institutional growth connect in Georgia. By pairing international youth participation theory with a close look at Georgia\\'s specific post-Soviet transitional background, the paper focuses on the structural and institutional issues that shape how young people integrate into civic life. It builds on democratic participation theory, social integration models, and comparative policy frameworks to review Georgia’s institutional setup for youth policy, the effects of local economic and geographic conditions, and how institutional trust influences governance. Ultimately, the paper helps explain what makes youth policy work in developing democracies and offers practical recommendations to strengthen youth integration and support lasting democratic growth. The findings show that keeping young people engaged over time requires steady, well-aligned, 2026-08-21 Journal number 3 ∘ Ilia Janiashvili ∘ Empirical Analysis of the Solar Energy Investment Environment in Georgia: Evidence from the Private Sector Expanded Summary This article presents an empirical investigation of the financial and economic effectiveness of private photovoltaic (PV) investments in Georgia, drawing on a structured survey of thirteen organisations (twelve plant-owning companies and one commercial bank) whose combined installed capacity reaches 52.12 MW. The bank — JSC ProCredit Bank — was surveyed twice, both as a self-consuming owner of a 0.1 MW rooftop installation and as the principal financier of more than one hundred PV projects with an aggregate capacity of 32.5 MW. The mixed-methods design combines descriptive statistics, Pearson correlation, and a comparative scenario analysis based on annuity-loan financial modelling. The research tested seven hypotheses (H1–H7), all of which were empirically confirmed. The mean payback period of Georgian PV projects is 4.84 years — about 76% shorter than the European average of 8.5 years. The principal drivers of this differential are the 2026-08-21 Journal number 3 ∘ Medea Zurabishvili ∘ ESG Reporting Assurance in Georgia: Regulatory Environment, Audit Sector Readiness and Challenges Expanded Summary Introduction. Corporate reporting is no longer judged solely on financial results. Investors, creditors and other stakeholders increasingly weigh environmental, social and governance factors when they assess a company, which raises the value of reliable ESG information and, at the same time, the risk that some of it is inflated or selectively presented, including outright greenwashing. Independent assurance addresses this risk directly: it narrows the information gap between preparers and users and increases confidence among stakeholders (Simnett et al., 2009; Cohen & Simnett, 2015). Georgia\\'s reporting and audit framework has developed steadily over the past several years, yet independent verification of ESG information is still uncommon (Pirveli & Thompson, 2022), and tightening ESG expectations in the financial sector are pushing demand for higher-quality sustainability data (National Bank of Georgia, 2020). Against this background, the paper asks how 2026-08-21