The Finance Ministry said Thursday that South Korea and Georgia have formally signed an agreement on avoiding double taxation.
 
The formal agreement follows a tentative accord inked last June. With the agreement, South Korean firms no longer need to pay taxes for business activities within a nine month period in Georgia.
 
Georgia, a coastal nation by the Black Sea, is located at the crossroads of Asia and Europe. 
 
South Korea and Georgia's annual trade volume grew from five-point-six million dollars in 2000 to 88 million last year.
 
Korean firms' participation in Georgia's infrastructure projects is also expanding with the Korea Water Resources Corporation(K-Water) winning an order on the Nenskra Hydroelectric Project worth some 870 million dollars last September.