Georgian economy grows 14.9% in Q1 2022
The real GDP increased by 14.9 percent year-on-year, while the GDP deflator rose by 8.7 percent, said Geostat. Photo: Nino Alavidze/Agenda.ge
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The nominal Gross Domestic Product amounted to ₾14.35 billion (about $4.91bln/€4.66bln) in the first quarter of 2022, the latest data from the National Statistics Office of Georgia show.
The real GDP increased by 14.9 percent year-on-year, while the GDP deflator rose by 8.7 percent", said Geostat.
The increase of value added of the following activities contributed to the GDP growth in Q1 of 2022:
- Transportation and storage - 29.4 percent
- Electricity, gas, steam and air conditioning supply - 54.7 percent
- Arts, entertainment and recreation - 47.9 percent
- Accommodation and food service activities - 70.3 percent
- Wholesale and retail trade - 8.9 percent
- Manufacturing - 13.2 percent
- Human health and social work activities - 18.8 percent
- Education - 18.2 percent
- Real estate activities - 7.4 percent
- Information and communication - 21.1 percent
- Construction - 7.3 percent
- Mining and quarrying - 24.9 percent
The largest share in GDP by activity was held by:
- Trade - 14.8 percent
- Manufacturing - 12 percent
- Real estate activities - 10.1 percent
- Public administration - 7.3 percent
- Construction - 7.1 percent
- Transportation and storage - 6.3 percent
- Agriculture, forestry and fishing - 5.6 percent
- Financial and insurance activities - 5.5 percent
The World Bank projected Georgian economy to grow 5.5 percent in 2022 and next year, followed by a 5 percent growth in 2024.
"The Georgian economy has shown resilience to the economic shock induced by the Russian invasion of Ukraine so far, with the growth forecast for 2022 upgraded to 5.5 percent from 2.5 percent forecast in March. The resilience is driven by the strength of the services sector, particularly in tourism, with a strong recovery in the year through May," the World Bank’s Global Economic Prospects report said.
TBC Capital, a Georgian brokerage, advisory and investment bank, on Monday forecast an eight percent growth for the country’s economy in the ongoing year.
The Georgian economy is projected to grow 5.5 percent in 2022 and next year, followed by a 5 percent growth in 2024, the June edition of the World Bank’s Global Economic Prospects report has said.
The estimated real Gross Domestic Product of Georgia grew by 2.6 percent in April 2022 year-on-year, while the average real GDP increased by 10.8 percent between January-April, the latest data from the National Statistics Office of Georgia show.
A total of 17.5 percent of the Georgian population was under the absolute poverty line in 2021, a 3.8 percentage point decrease compared to the previous year, the latest data of 2021 poverty indicators published by the National Statistics Office of Georgia show.
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