Georgia’s economy grows 5.6% in December 2018

Georgia’s economy is growing steadily, show the latest data from the National Statistics Office of Georgia (Geostat).

The estimated real gross domestic product (GDP) growth rate in December 2018 equaled 5.6% year-on-year (y/y), while the real GDP average growth amounted 4.8% for 2018 y/y.

Last month the estimated real growth, compared to the same period of the previous year, was posted in the following activities:

• Manufacturing
• Construction
• Hotels and restaurants
• Real estate, renting and business activities

A decrease was registered in:

• Electricity, gas and water supply
• Transport
• Financial intermediation

Various international financial institutions also have positive expectations for Georgia’s economic growth.

In 2018, the World Bank predicts Georgia’s economic growth to hit 4.2% while the European Bank for Reconstruction and Development (EBRD) says Georgia’s economy will grow by 4.5%.

The Asian Development Bank (ADB) raised Georgia’s 2018 growth forecast to 4.9% from the estimate of 4.5% reflecting strong growth in tourism and robust investment after an increase in business and investor confidence.

The International Monetary Fund (IMF) has moved its forecast up, saying the Georgian economy will grow by 5.5% in 2018.