PM highlights Gov’t reforms, results of 11 years in end-of-year report

Georgian Prime Minister Irakli Garibashvili on Monday reviewed reforms implemented in the country over the past 11 years and highlighted increased funding for agencies in his end-of-year report summarising the work of his Government.

Garibashvili highlighted the domestic construction sector, which he said had ensured new constructions over 2.1 million square metres over the period, 2.5 times higher than the average volume of the total area of constructions put into operation between 2006-2012, during the former Government.

He also said prices of residential real estate had “at least doubled” this year compared to 2012, while the average price of agricultural land had increased by 3.5 times, which he said was a “great motivation for farmers and citizens”.

In comments on agriculture, Garibashvili said the budget of the Ministry of Agriculture and Environmental Protection has increased “about seven times” over the years, contrasting its ₾100 million ($37.18mln) budget in 2011 to over ₾600 million ($223.08mln) this year, and adding the figure would exceed ₾688 million ($255.79mln) next year. 

Since 2013, preferential agro-credits worth over ₾5.9 billion ($2.19bln) have been issued to 46,000 beneficiaries, the official said, adding a total of 7,700 beneficiaries had benefited from the state programme in the first 10 months of 2023. 

He added the state’s co-financing amounted to more than ₾200 million ($74.36mln) out of the ₾890 million ($330.90mln) issued in loans. 

In remarks on the domestic airline and tourism sector, the PM highlighted 28 airline companies had operated in the country in 2012 and contrasted the figure with 50 current operators offering flights to 67 destinations.

Garibashvili said the international airports in the capital city of Tbilisi, in the western city of Kutaisi and the Black Sea city of Batumi had served 1.4 million passengers in 2012, while this year the venues were expected to register a total of 6.6 million passengers. He said the country would receive a revenue of $4.4 billion from international tourism in 2023 numbers.

The Government head said his office was “actively developing” domestic resorts with updates for infrastructure, noting 1,436 new hotels had opened over the past 10 years, bringing the capacity of about 85,000 beds to the hospitality sector. 

We pay great attention to the development of awareness of our country. Mega [entertainment] shows held in our country [as part of state promotion projects] will continue in 2024, [and] we promise many surprises to our citizens, tourists [and] visitors who come and attend [them]”, he said.

Garibashvili also told the audience the figure for next year’s state budget meant the number had been tripled over the past 12 years. He said the budget had totalled ₾8.5 billion ($3.16bln) in 2012, while next year it would reach ₾28.7 billion ($10.67bln), registering an increase of ₾20 billion ($7.44bln) over the last 11 years.

The gross domestic product will be at over [$]85 billion. This means that GDP per capita will exceed $8,600. This year it was $8,100 [...] [B]y 2027, according to our forecast, the gross domestic product will be ₾108 billion ($40.23bln), which means that it will reach almost $11,000”, the Prime Minister added.

He also noted details about the 2024 budget and revealed how it would be distributed to ministries and purposes.