PM Garibashvili: GDP growth rate in January 2022 will reach historic high

The Georgian Ministry of Finance has started negotiations with the International Monetary Fund (IMF) over the launch of a new three-year programme. Finance Minister Lasha Khutsishvili has met the IMF mission chief James John to discuss economic conditions and projected market reforms in Georgia.

World Bank Vice President for Europe and Central Asia (ECA) Anna Bjerde has stated that many reforms particularly in human capital development and formation of a more green and digitised recovery will be ‘very promising for Georgia in the years to come.’

Georgian Finance Minister Lasha Khutsishvili has said that the country expects 6% economic growth in 2022, nominal gross domestic product (GDP) amounting to 65 billion GEL (about $20.7 b. / €18.21 b.), while GDP per capita will exceed $5,500 by the end of next year. Khutsishvili asserts that Georgia will ‘fully’ recover to pre-pandemic economic levels and maintain a ‘high’ rate of economic growth.

The estimated real gross domestic product (GDP) growth rate in June 2021 equaled 18.7 per cent year-on-year and 12.7 per cent in January-June of 2021 year-on-year, the preliminary data of the National Statistics Office of Georgia (Geostat) show. 

World Bank Regional Director for the South Caucasus Sebastian Molineus has stated earlier today that Georgia can be a strong leader ‘not only in the region but globally as well’ in regional connectivity and integration following the meeting with the Georgian Prime Minister Irakli Garibashvili.

Georgian Prime Minister Irakli Garibashvili says that 300,000 Georgians fit to work are dependent on state social assistance, even though the government is able to create jobs for them and ensure stable income in the long  run. In an interview for the Georgian Public Broadcaster yesterday, Garibashvili also stated that existing drug policy in Georgia is ‘too liberal’ and that the government has plans to further tighten penalties for the sale of drugs, including by pharmacies. 

Georgian Prime Minister Irakli Garibashvili has stated that the economic growth in Georgia in October amounted to about 7%, while growth in the past 10 months totalled 10.5%, calling it ‘unique, unprecedentedly high growth across Europe.'

Georgia's estimated GDP increased in October 2021 compared to the same period last year, and totalled 6.9% year-on-year, while in January-October of 2021 year-on-year growth amounted to 10.5%, preliminary data of the National Statistics Office of Georgia (Geostat) show.

The Georgian government has plans to decrease the country’s external debt to 51.1% of the Gross Domestic Product (GDP) next year, Prime Minister Irakli Garibashvili stated earlier today. Georgia’s external debt amounted to 58.66% of GDP in 2020, nearly 29.3 billion GEL, which increased to a critical 60% of GDP this year. Garibashvili said that Georgia has had ‘major economic growth this year, which is expected to continue.’ 

Georgian Finance Minister Lasha Khutsishvili stated earlier today that the country’s economy will ‘fully recover’ from losses of the last year and be 2.6% higher than it was in 2019.

The Georgian parliament has approved the updated state budget 2022 for Georgia, planned with an economic growth forecast of 6%. The budget amounts to 19.1 billion GEL. The document was approved by 78 votes in favour and one vote against earlier today. 

Georgian Prime Minister Irakli Garibashvili has stated that the government was able to ‘recover, stimulate and diversify’ the country’s economy' in an unprecedented time frame,’ noting that Georgia has double-digit economic growth.

The largest share of annual gross domestic product (GDP) of Georgia by region is held by the capital city of Tbilisi with 50.5%, followed by the regions of Adjara (8.9%) and Imereti (8.4%), the National Statistics Office of Georgia (Geostat) reports.