The region of present-day Georgia contained the ancient kingdoms of Colchis and Kartli-Iberia. The area came under Roman influence in the first centuries A.D. and Christianity became the state religion in the 330s.

Domination by Persians, Arabs, and Turks was followed by a Georgian golden age (11th-13th centuries) that was cut short by the Mongol invasion of 1236. Subsequently, the Ottoman and Persian empires competed for influence in the region.

Georgia was absorbed into the Russian Empire in the 19th century. Independent for three years (1918-1921) following the Russian revolution, it was forcibly incorporated into the USSR until the Soviet Union dissolved in 1991.

An attempt by the incumbent Georgian government to manipulate national legislative elections in November 2003 touched off widespread protests that led to the resignation of Eduard SHEVARDNADZE, president since 1995. New elections in early 2004 swept Mikheil SAAKASHVILI into power along with his National Movement party.

Progress on market reforms and democratization has been made in the years since independence, but this progress has been complicated by two civil conflicts in the breakaway regions of Abkhazia and South Ossetia.

These two territories remain outside the control of the central government and are ruled by de facto, unrecognized governments, supported by Russia.

Russian-led peacekeeping operations continue in both regions. The Georgian Government put forward a new peace initiative for the peaceful resolution of the status of South Ossetia in 2005.

Source: CIA World Fact Book

Population: 4,646,003 (July 2007 est.)

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Age structure: 0-14 years: 16.7% (male 413,506/female 364,407) 15-64 years: 66.6% (male 1,489,081/female 1,605,021) 65 years and over: 16.7% (male 311,098/female 462,890) (2007 est.)

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Median age: total: 38 years male: 35.5 years female: 40.4 years (2007 est.)

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Population growth rate: -0.329% (2007 est.)

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Birth rate: 10.54 births/1,000 population (2007 est.)

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Death rate: 9.37 deaths/1,000 population (2007 est.)

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Net migration rate: -4.45 migrant(s)/1,000 population (2007 est.)

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Sex ratio: at birth: 1.14 male(s)/female under 15 years: 1.135 male(s)/female 15-64 years: 0.928 male(s)/female 65 years and over: 0.672 male(s)/female total population: 0.91 male(s)/female (2007 est.)

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Infant mortality rate: total: 17.36 deaths/1,000 live births male: 19.42 deaths/1,000 live births female: 15.01 deaths/1,000 live births (2007 est.)

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Life expectancy at birth: total population: 76.3 years male: 73 years female: 80.07 years (2007 est.)

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Total fertility rate: 1.42 children born/woman (2007 est.)

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HIV/AIDS - adult prevalence rate: less than 0.1% (2001 est.)

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HIV/AIDS - people living with HIV/AIDS: 3,000 (2003 est.)

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HIV/AIDS - deaths: less than 200 (2003 est.)

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Nationality: noun: Georgian(s) adjective: Georgian

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Ethnic groups: Georgian 83.8%, Azeri 6.5%, Armenian 5.7%, Russian 1.5%, other 2.5% (2002 census)

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Religions: Orthodox Christian 83.9%, Muslim 9.9%, Armenian-Gregorian 3.9%, Catholic 0.8%, other 0.8%, none 0.7% (2002 census)

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Languages: Georgian 71% (official), Russian 9%, Armenian 7%, Azeri 6%, other 7% note: Abkhaz is the official language in Abkhazia

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Literacy: definition: age 15 and over can read and write total population: 100% male: 100% female: 100% (2004 est.)

Georgia's main economic activities include the cultivation of agricultural products such as grapes, citrus fruits, and hazelnuts; mining of manganese and copper; and output of a small industrial sector producing alcoholic and nonalcoholic beverages, metals, machinery, and chemicals. The country imports the bulk of its energy needs, including natural gas and oil products. It has sizeable but underdeveloped hydropower capacity. Despite the severe damage the economy has suffered due to civil strife, Georgia, with the help of the IMF and World Bank, has made substantial economic gains since 2000, achieving positive GDP growth and curtailing inflation. Georgia had suffered from a chronic failure to collect tax revenues; however, the new government is making progress and has reformed the tax code, improved tax administration, increased tax enforcement, and cracked down on corruption. Due to concerted reform efforts, collection rates have improved considerably to roughly 60%, both in T'bilisi and throughout the regions. In addition, the reinvigorated privatization process has met with success, supplementing government expenditures on infrastructure, defense, and poverty reduction. Despite customs and financial (tax) enforcement improvements, smuggling remains a drain on the economy. Georgia also suffers from energy shortages due to aging and badly maintained infrastructure, as well as poor management. Continued reform in the management of state-owned power entities is essential to successful privatization and onward sustainability in this sector. The country is pinning its hopes for long-term growth on its role as a transit state for pipelines and trade. The construction on the Baku-T'bilisi-Ceyhan oil pipeline and the Baku-T'bilisi-Erzerum gas pipeline have brought much-needed investment and job opportunities. Nevertheless, high energy prices have compounded the pressure on the country's inefficient energy sector. Restructuring the sector and finding energy supply alternatives to Russia remain major challenges.

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GDP (purchasing power parity): $18.16 billion (2006 est.)

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GDP (official exchange rate): $5.301 billion (2006 est.)

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GDP - real growth rate: 9.4% (2006 est.)

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GDP - per capita (PPP): $3,900 (2006 est.)

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GDP - composition by sector: agriculture: 17.7% industry: 27.5% services: 54.8% (2006 est.)

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Labor force: 2.04 million (2004 est.)

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Labor force - by occupation: agriculture: 40% industry: 20% services: 40% (1999 est.)

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Unemployment rate: 12.6% (2004 est.)

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Population below poverty line: 54% (2001 est.)

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Household income or consumption by percentage share: lowest 10%: 2.3% highest 10%: 27.9% (1996)

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Distribution of family income - Gini index: 38 (2003)

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Inflation rate (consumer prices): 10% (2006 est.)

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Investment (gross fixed): 30% of GDP (2006 est.)

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Budget: revenues: $1.726 billion expenditures: $1.879 billion; including capital expenditures of $NA (2006 est.)

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Agriculture - products: citrus, grapes, tea, hazelnuts, vegetables; livestock

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Industries: steel, aircraft, machine tools, electrical appliances, mining (manganese and copper), chemicals, wood products, wine

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Industrial production growth rate: 3% (2000)

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Electricity - production: 6.804 billion kWh (2004)

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Electricity - consumption: 8.528 billion kWh (2004)

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Electricity - exports: 200 million kWh (2004)

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Electricity - imports: 2.4 billion kWh (2004)

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Oil - production: 1,981 bbl/day (2004)

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Oil - consumption: 13,000 bbl/day (2004 est.)

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Oil - exports: NA bbl/day

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Oil - imports: NA bbl/day

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Oil - proved reserves: 35 million bbl

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Natural gas - production: 20 million cu m (2004 est.)

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Natural gas - consumption: 1.5 billion cu m (2005 est.)

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Natural gas - exports: NA cu m

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Natural gas - imports: 1.5 billion cu m (2005 est.)

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Current account balance: -$735 million (2006 est.)

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Exports: $1.761 billion (2006 est.)

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Exports - commodities: scrap metal, machinery, chemicals; fuel reexports; citrus fruits, tea, wine

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Exports - partners: Turkey 12.7%, Azerbaijan 9.4%, Russia 7.7%, Armenia 7.5%, Turkmenistan 7.3%, Bulgaria 6.4%, US 6%, Ukraine 5.8%, Canada 5%, Germany 4.6% (2006)

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Imports: $3.32 billion (2006 est.)

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Imports - commodities: fuels, machinery and parts, transport equipment, grain and other foods, pharmaceuticals

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Imports - partners: Russia 15.2%, Turkey 14.2%, Germany 9.5%, Ukraine 8.7%, Azerbaijan 8.7% (2006)

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Reserves of foreign exchange and gold: $492 million (2006 est.)

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Debt - external: $2.04 billion (2004)

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Economic aid - recipient: ODA, $150 million (2000 est.)

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Currency (code): lari (GEL)

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Exchange rates: lari per US dollar - 1.78 (2006), 1.8127 (2005), 1.9167 (2004), 2.1457 (2003), 2.1957 (2002)

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Fiscal year: calendar year