RAK will pump $200m into Poti - Emirates24|7

RAK will pump $200m into Poti

Ras Al Khaimah plans to pump hundreds of millions of dollars in the development of Georgian port city of Poti. The projects are expected to create up to 20,000 jobs in the city, where unemployment is estimated at 50,000.

Under a deal reached last month, Georgia has sold a 51 per cent stake in Poti's port, the country's busiest, and 400 hectares of land to the RAK Investment Authority for $90 million (Dh330m). The emirate has committed to spending more than $200m on tripling the port's capacity and developing a "free economic zone" in Poti that Georgia hopes will lure several billion dollars worth of investments to the region.

The zone will allow companies to operate without paying any taxes except income tax. Georgia's Deputy Minister for Economic Development, Vato Lezhava, said the RAK Investment Authority's willingness to invest was proof that more foreign direct investment will flow into the country. (AFP)