Georgia enjoys 3.1% economic growth in June 2015

Georgia’s estimated real Gross Domestic Product (GDP) growth rate amounted to 3.1 percent year-on-year (y/y) in June 2015, says the country’s National Statistics Office (Geostat).

The estimated real GDP growth in the second quarter (Q2) of 2015 equalled 2.1 percent y/y, while the estimated real GDP growth for the first half of 2015 reached 2.6 percent y/y, noted Geostat.

The agency said Georgia experienced an average real growth of 3.2 percent in the first three months of 2015.

Meanwhile in June 2015 the Producer Price Index (PPI) for industrial products increased 1.3 percent compared to May 2015.

The annual change compared to June 2014 was an increase of 10.2 percent. The index increased 82.2 percent with respect to the 2005 average.

Geostat noted the monthly PPI rate in June was largely influenced by a 1.9 percent price increase in manufacturing, which contributed 1.53 percentage points to the overall index percentage change.

Last month prices were significantly higher for chemical products (14.1 percent). Prices also rose for manufacturing of basic metals and fabricated metal products (3.4 percent).

While the PPI increased on food products, the cost of food and non-alcoholic beverages dropped 1.9 percent last month, said Geostat.

At the same time the value of Georgia’s exports and imports reached almost $4 billion USD in the first five months of 2015.

Preliminary Geostat data released at the beginning of June revealed Georgia’s External Merchandise Trade (excluding non-organised trade) amounted to $3.9 billion between January and May 2015. This was a 13 percent decrease on the same period of 2014.

Between January-May 2015, the value of exports decreased by 25 percent, reaching $884 million, while the value of imports dropped by nine percent and amounted to $3.03 billion in comparison to respective 2014 data.

The trade deficit equalled $2.15 billion and its share in trade turnover constituted 55 percent.

Finally, 3,698 enterprises were registered in June 2015. This was 1.9 percent more than in June last year.