Georgia’s economy grows 5.3% in May 2017

Georgia experienced 5.3 percent economic growth in May 2017, show the latest data from the National Statistics Office of Georgia (Geostat).

The estimated real Gross Domestic Product (GDP) average growth equalled 4.5 percent for the first five months of 2017 year-on-year.

Turnover of enterprises has increased by 17 percent that indicates economic activity in the country. Moreover, significant growth was observed in transport, manufacturing, hospitality, real estate and other sectors that contributed in the country’s economic growth,” said Deputy Economy Minister Nino Javakhadze.

In May 2017 the following sectors contributed the most to Georgia’s economic growth:

• Hotel and restaurant services – 23 percent growth
• Real Estate operations – 22 percent growth
• Transport – 15 percent growth
• Manufacturing – 8 percent growth
• Trade - 8 percent growth

As for external trade, in May 2017 the export of the following commodities has increased:

• Copper ores and concentrates – increased by 134 percent
• Alcoholic beverages – increased by 93 percent
• Wine – increased by 6 percent
• Mineral waters – increased by 25 percent
• Nitrogenous fertilizers – increased by 16 percent

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

The World Bank Group projects Georgia’s economic growth will hit 3.5 percent in 2017 and four percent in 2018.

The International Monetary Fund (IMF) expects four percent growth for Georgia’s economy in 2017.

Global rating agency Fitch Ratings forecasts 4.2 percent growth in 2017 for Georgia.