Georgia’s economy grows almost 3% in August

Georgia’s economy is growing steadily and is on track to reach three percent growth by the end of the year.

Latest data by the National Statistics Office of Georgia (Geostat) showed in August 2016, Georgia’s estimated real Gross Domestic Product (GDP) growth rate reached 2.9 percent year-on-year (y/y), while the estimated real GDP growth for the first eight months of 2016 reached 2.7 percent y/y.

Geostat noted quarterly real GDP growth rate may differ from monthly rapid estimates as data did not exist in some sectors and estimations were used instead.

In March this year Georgia’s Prime Minister Giorgi Kvirikashvili said the country was preparing for significant economic growth. The goal was to achieve 3.5 percent economic growth in 2016 and hit six percent in 2017, he said.

Georgia’s Economy Minister Dimitry Kumsishvili believed the country’s economy will grow more than three percent this year.

The National Bank of Georgia (NBG) and various international financial institutions such as global rating agency Moody’s, Bloomberg and World Bank Group projected Georgia’s economic growth will reach three percent in 2016.

World Bank also predicted Georgia’s economy will grow 4.5 percent in 2017 and five percent in 2018.

Meanwhile the International Monetary Fund (IMF) projected Georgia’s economy will experience six percent growth in 2017.