The Georgian economy is forecast to grow 5.2 percent in 2023 and 4.6 percent in 2024, the World Economic Situation and Prospects report by the United Nations said on Thursday.
In the report, the UN noted the 10.8 growth shown by the country in the past year, prompting a raise in the UN’s initially forecast 4.4 percent.
The impact of the ongoing war in Ukraine on near-term economic prospects for the Commonwealth of Independent States and Georgia is also noted.
The contraction of the economy of the Russian Federation and the significant loss of output in Ukraine are expected to affect the rest of the region”, the body noted.
Impacts occur through numerous channels, including migration, commodity prices, market volatility, remittances and changes in fiscal space [...] In 2023, the aggregate GDP of the region [...] is expected to shrink by further one percent, expanding by a modest 2.3 percent in 2024", the release said.
In the organisation’s figures for the South Caucasus, the Armenian economy is forecast to show a 4 percent growth in 2023, increasing to 4.5 percent next year, while Azerbaijan is expected to post a 3 percent growth for both 2023 and 2024.