Q2 2018: Georgia’s businesses enjoy almost 20b GEL turnover

The turnover enjoyed by Georgia’s business sector is increasing, reaching 19.9 billion GEL in the second quarter (Q2) of 2018. This was 19.7 percent more year-on-year (y/y).

The value of production generated by the business sector also grew to reach 10 billion GEL. This was 12.7 percent higher y/y, said the National Statistic Office of Georgia (Geostat).

Large businesses made up the majority of total turnover (44.3 percent), followed by small businesses (34 percent), and then medium-sized businesses (21.7 percent).

Additionally large businesses made up 43.6 percent of total production value, small business generated 32.8 percent of total production value and medium-sized businesses made up 23.7 percent of total production value.

The government of Georgia has been actively working on improving the business and investment environment and to increase competitiveness in the private sector. This will further improve the development of the business sector and inclusive economic growth in the country. The development of small and medium-sized businesses is the priority of the government”, said Deputy Economy Minister Ekaterine Mikabadze.

How many people are employed in the business sector?

Georgian businesses employed about 656,500 people in Q2 of 2018, of which 41 percent were women and 59 percent were men.

The number of people employed in the Georgian business sector increased by four percent compared to the same quarter of 2017.

The majority of people employed in the business sector (64.5 percent) worked in Georgia’s capital of Tbilisi, which is regarded as the country’s economic hub.

The majority of people (41.2 percent) worked in small businesses, 36.8 percent were employed in large business, and the remaining 22 percent worked in medium-sized businesses, said the statistics agency.

What is the average monthly salary in Georgia’s business sector?

The average monthly salary for a person employed in the business sector in Q2 of 2018 was 1,150.4 GEL. This was an increase of 43.5 GEL y/y.

Meanwhile, the average monthly salary for women in the business sector was 872.8 GEL, which is 56.5 GEL more compared to Q2 of 2017.

The amount of money businesses earned depended on the size of their enterprise, with people therefore receiving a larger salary if they were employed in a larger business compared to their smaller business counterparts.

Average monthly salaries based on the size of business:

• Medium-sized businesses: 1,303.2 GEL per month
• Large businesses: 1,210.3 GEL
• Small businesses: 996.3 GEL