PM announces “strong” $10.5bln budget for 2024

Georgian Prime Minister Irakli Garibashvili on Friday presented the revised version of the 2024 state budget at the weekly Government meeting, planned with a ₾700 million ($257.85mln) increase and the total amount of ₾28.5 billion ($10.5bln).

• 2024 consolidated budget to be ₾27.800 billion, says PM

The Government head said the “proper” budget for 2024 would “adequately respond to challenges”, and contrasted its figure with nearly ₾9 billion ($3.32bln) in 2012, when the Government came to power.

We have an increase of almost ₾20 billion ($7.37bln) in 11 years. This is an impressive result of our team's work”, he said.

The PM said the budget was planned “conservatively”, with a 5.2 percent economic growth, adding the deficit would be reduced to 2.5 percent next year, and the Government debt would be at 38.2 percent of the gross domestic product - calling the figure a “very low rate”.

Just three years ago, the debt equalled more than 60 percent, and we have managed to [reduce] it in a short period of time”, Garibashvili said.

He added GDP would be over ₾85 billion ($31.31bln) in 2024, adding the number had tripled within the past 12 years from ₾27 billion ($9.95bln) in 2012.

The PM noted the 2024 GDP per capita would be $8,500 while three years ago it was $4,250. He also shared the Government forecast for the 2027 GDP to reach ₾108 billion ($39.78bln), adding the number would mean a figure of almost $11,000 per capita.

Along with the “significant increases”, Garibashvili said “additional needs” were identified during the budget discussion, and noted the Government would be able to receive an additional ₾300 million ($110.51mln) from the domestic banking and financial sector.

We take into account their profits, and I want to say we will continue to see what additional resources can be found”, he said.

The Government head was presenting the second version of the 2024 budget, set to be sent to the Parliament for final discussions and approval.