Georgia maintaining “strong” economic growth rates in 2022 - Economy Minister
Economy Minister said economic growth forecasts might be revised later this year if the positive dynamics were maintained. Photo: Nino Alavidze/Agenda.ge
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Georgia is maintaining “strong” economic growth rates in 2022, Economy Minister Levan Davitashvili said on Thursday after announcing the latest Gross Domestic Product data that said the economy had grown by 11.6 percent in May and 11.2 percent in the first five months of 2022 year-on-year.
It is important to note that we had a 26 percent increase in May last year [...] Last month was also characterised by significant growth of the economy. Maintaining such a high economic growth rate for the second year and having double-digit economic growth is a very important result", Davitashvili said.
Davitashvili said economic growth forecasts might be revised later this year if the positive dynamics were maintained.
The National Statistics Office of Georgia said last month the estimated real growth had been identified in “almost all sectors” compared to the same period of the previous year, while “significant contributions” to the real gross domestic product growth were observed in the following activities:
- Transportation and storage
- Electricity, gas, steam and air conditioning supply
- Hotels and restaurants
- Manufacturing
- Construction
- Mining and quarrying
The Ministry of Economy announced that "a significant contributing factor" to economic recovery was the "positive trends" in external trade and domestic exports.
In May, exports increased by 54.3 percent to $504 billion, while domestic exports (excluding re-exports) increased by 63.3 percent and amounted to $391.9 million", the Ministry said.
The Ministry also announced that "recovery trends have strengthened significantly" in the tourism sector, with revenues from international tourism reaching $259 million, a 96 percent recovery from the pre-pandemic period.
Also, last month the money transfers increased by 169.4 percent and reached $505.7 million.
The Georgian economy grew by 11.6 percent in May and by 11.2 percent in the first five months of 2022 year-on-year, the latest data from the National Statistics Office of Georgia show.
Georgia received $505.7 million from abroad in May 2022, which is 169.4 percent more than the amount in May 2021, says the National Bank of Georgia.
Georgia exported a record $504 million of goods in May, marking a 48 percent increase compared to the same month of the previous year, preliminary data from the National Statistics Office of Georgia show.
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.
Georgian Finance Minister Lasha Khutsishvili on Monday said the economic recovery from the pandemic was "progressing at a faster pace than expected", with the development setting expectations "much higher" than the projected six percent economic growth this year.
Georgian Prime Minister Irakli Garibashvili on Monday said the country maintained “double-digit economic growth, peace and stability” while economic processes in the world were “heading towards recession”.
Georgia received $427.4 million from abroad in June 2022, which is 111.7 percent more than the amount in June 2021, says the National Bank of Georgia.