Legal and Economic News in Georgia

Personal Data Protection for Business in Georgia: What Companies Should Consider in 2026

Introduction: What Changed on March 2, 2026? As of March 2, 2026, the Personal Data Protection Service was abolished and its functions - supervision, inspections, incident review, and receipt of statements from subjects - were transferred to the State Audit Service. This change raises open questions. The Personal Data Protection Service was a specialized, separately established institution, while the main mandate of the State Audit Service is control of state finances. The specialized competence and speed of the new structure are still to be tested. Business and the civil sector should closely monitor this development. What has not changed: The requirements of the law - obligations, penalties, and rights of subjects - are in full force. Official contact: State Audit Office - sao.ge

Part I: Who does the law apply to?

The Law “On Personal Data Protection” applies to all persons or organizations that process data on the territory of Georgia using automated or semi-automated means; or are based outside Georgia but process local data using technical means available in Georgia. This means that the law applies to: all companies, institutions where personal data of a person is processed. Video, audio monitoring. Exception: completely personal and family activities of a natural person, which are not related to entrepreneurial or professional activities. In addition, the law does not apply to the processing of personal data of a legal entity. The focus of the law is the personal data of a natural person.

What documents do I need to apply for a work permit in Georgia in 2026?

Under Government Resolution No. 70 of February 20, 2026, labour immigrants applying through a local employer must submit a copy of their passport, personal data, employment contract, and an application confirming their intention to work. Self-employed foreigners must additionally provide either a Revenue Service turnover document for existing businesses or a detailed business plan for new ones. All applications are submitted through labourmigration.moh.gov.ge.

Who is required to get a work permit in Georgia from March 1, 2026?

Most foreign nationals without a permanent residence permit who intend to perform paid employment, self-employment, or entrepreneurial activity in Georgia must obtain a work permit. This includes both on-site and remote employees of Georgian companies, as well as independent contractors, traders, and business partners who derive financial benefit from activity conducted in Georgia. Holders of permanent residence permits, investment residence permits, and certain other categories are exempt under the Law on Labour Migration of Georgia.

Does having a Georgian residence permit still allow me to work legally?

No. Since March 1, 2026, holding a temporary residence permit alone no longer grants the legal right to work or conduct business in Georgia. Foreign nationals must hold both a valid work permit (Right to Labour Activity) and the corresponding D1 visa or work residence permit simultaneously. This is a fundamental change from the previous system under the Law on Labour Migration of Georgia.

Do foreigners now need a work permit to work in Georgia?

Yes. From March 1, 2026, most foreign nationals without a permanent residence permit must obtain a Right to Labour Activity permit before starting any paid work, freelance activity, or business operation in Georgia. This requirement applies regardless of whether the foreigner already holds a valid visa or temporary residence permit. The permit is issued by the State Employment Promotion Agency under the Law on Labour Migration of Georgia.

Who is exempt from Georgia's new work permit requirement?

Exemptions under the Law on Labour Migration of Georgia apply to recognized refugees, asylum seekers, employees of accredited diplomatic missions and international organizations, accredited foreign journalists, and holders of valid investment residence permits or permanent residence permits. Foreign nationals performing work entirely remotely with no Georgian economic footprint — no local clients, no Georgian business registration — may also fall outside the scope of the requirement, though this distinction is pending full regulatory clarification.

How do I apply for a work permit in Georgia as a self-employed foreigner or individual entrepreneur?

Self-employed foreigners apply independently through the electronic Labour Migration portal at www.labourmigration.moh.gov.ge. The application requires personal and professional documentation, a business plan or proof of existing business activity, and payment of the service fee. Applicants must also complete a mandatory video interview with the State Employment Promotion Agency. The standard processing time is 30 calendar days; an expedited 10-working-day track is available at double the fee.

What are the fines for working in Georgia without a work permit?

Under the Law on Labour Migration of Georgia, both the foreign worker and the employing company face fines of 2,000 GEL for a first offence. Penalties increase for repeated violations within a 12-month period, doubling on the second offence and tripling thereafter. The same fines apply to self-employed foreigners operating without the required permit.

What is the deadline for foreigners already working in Georgia to get a work permit?

Foreign nationals who were registered in Georgia's Labour Migration system with active status as of March 1, 2026 have until January 1, 2027 to regularize their status by obtaining the Right to Labour Activity permit and corresponding residence documentation. Self-employed foreigners already conducting business as of March 1, 2026 face enforcement from May 1, 2026 onwards under the transitional provisions of Government Decree №70.

Does a valid Georgian residence permit automatically allow a foreigner to work?

No. Under the rules effective March 1, 2026, holding a residence permit does not automatically confer the right to work or conduct business. A separate Right to Labour Activity permit is required unless the foreigner holds a permanent or investment residence permit. Simply having a temporary residence permit is no longer a sufficient legal basis for employment or entrepreneurial activity.

Can an employer hire a foreigner in Georgia without going through the local labor market test?

In most cases, employers must first post the vacancy on the national jobs portal for at least 10 working days to demonstrate that no suitable local candidate is available. However, the labor market test does not apply to companies holding International Company status under the Tax Code of Georgia, accredited academic institutions, or positions where the monthly salary exceeds 15,000 GEL and a relevant higher education degree is objectively required.

How can Legal.ge help me navigate Georgia's new work permit requirements?

Legal.ge connects individuals and employers with qualified Georgian lawyers specialising in immigration, labour law, and business registration. Whether you need help preparing a work permit application, assessing your exemption status, or ensuring your company complies with the Law on Labour Migration, you can browse verified specialist profiles and contact a lawyer directly through the platform.

Digital contracts and smart contracts intersect across the following dimensions: Taxonomic Classification: A smart contract is categorized as a subset of an electronic contract. It functions similarly to a traditional agreement, though executed in a comprehensively digitized format. Legal Nature: Smart contracts, analogous to other digital contracts, are encompassed within the legal definition of an electronic document. For a smart contract to constitute a legally binding agreement, it must fulfill the fundamental prerequisites of contract formation and validity (e.g., mutual consent of the parties and adequate terms)—requirements that programming code alone cannot substitute. Functional Overlap: Within the processes of concluding and executing a digital contract, a smart contract may be implemented as a technological utility (for example, as an automated payment mechanism for recurring transactions).

The legal regulation of the digital economy requires understanding the technological foundations driving the financial and business sectors. This analysis identifies four essential pillars for legal professionals: Big Data: Substantial volumes of heterogeneous digital data, facts, and unrestricted activities collected at high velocity. It is characterized by real-time processing through advanced analytical algorithms. Big Data Complex Ecosystem (BDCE): An IT infrastructure consisting of integrated systems for data collection, storage, and use. It unites data owners, cloud providers, and academic institutions into a unified infrastructure. Data Architecture: A component of the BDCE that defines how data is processed, stored, and integrated for organizational purposes. It serves as a conceptual model for data governance, lifecycle management, and security. FinTech and Big Personal Data: Financial Technology leverages Big Data, AI, and Distributed Ledger Technologies (DLT) for platform-based service delivery. This process generates "Big Personal Data"—personal information created or processed within these complex ecosystems.

In today's fast-moving digital economy, the lines between where we bank and where we shop, work, and live are becoming increasingly blurred. In Georgia, this evolution has reached a critical tipping point as the nation's two largest financial giants—TBC Group and Lion Finance Group PLC (formerly Bank of Georgia Group)—have successfully built sprawling "digital ecosystems" that touch almost every aspect of a citizen's daily life. From buying a car on MyAuto to managing a small business with Optimo, these platforms are no longer just apps; they have become the "gatekeepers" of the Georgian digital marketplace. While this integration offers undeniable convenience, it raises a profound structural question for our market: What happens when the people who hold our money also hold all of our data?

The involvement of Artificial Intelligence (AI) can transcend the outcomes predetermined by a user; consequently, AI itself could be perceived as an author, given that modern AI possesses the capability to create works without human intervention. This theory is quite provocative, as it directly contradicts the standard definition of authorship, according to which an author is a natural person through whose intellectual-creative activity a work is produced. It is important to note that the primary-and perhaps only-advantage of machine authorship is that it aligns with the core logic of intellectual property rights, which dictates that the creator is the author.

Georgia raises the real estate residence permit threshold to USD 150,000, effective March 1, 2026. The 50% increase follows June 2025 legal amendments. Current USD 100,000 buyers must finalize purchases before the deadline. Existing permits remain renewable under old terms if ownership continues.

On June 26, 2025, Georgia passed amendments requiring mandatory work permits for foreign nationals starting March 1, 2026. The law addresses the gap between registered and actual foreign workers. Violations incur fines of 2,000 GEL. This shifts Georgia to a regulated migration system.