Georgia's business sector sees double-digit growth in turnover, production value in Q2

The total turnover of the business sector in Georgia rose by 11.6 percent year-on-year in the second quarter of 2024, reaching ₾53.6 billion ($19.93bln), while the production value equalled ₾20.5 billion ($7.62bln), reflecting a 12.5 percent year-on-year increase, the National Statistics Office of Georgia said on Tuesday.

Large businesses emerged as key drivers of the sector’s growth, constituting 66.5 percent of the total turnover. Medium-sized businesses made up 15.1 percent, while small businesses contributed 18.4 percent.

The distribution of production value was slightly different, with large businesses accounting for 46 percent, medium-sized businesses for 24.3 percent, and small businesses for 29.7 percent.

Rising 8.3 percent year-on-year, the total purchases of goods and services carried out by enterprises amounted to ₾28.3 billion ($10.52bln).

How many people are employed in the business sector?

The average number of individuals employed in the business sector increased by 4.4 percent, totalling 769,900 employees. Of the total workforce, 43.6 percent were female and 56.4 percent were male.

The majority of people (43.6 percent) worked in large businesses, 36.5 percent were employed in small business, and the remaining 20 percent worked in medium-sized businesses, said the statistics office.

The total number of employees was 724,000, a 3.4 percent increase compared to the same quarter of 2023.

Analysis of the distribution of employees by region revealed that the capital city of Tbilisi boasted the highest percentage of employed individuals at 65.7 percent, followed by the Black Sea region of Adjara at nine percent and western Imereti region at 6.7 percent.

What is the average monthly salary in Georgia’s business sector?

The average monthly remuneration increased by ₾190.7 ($70.89) in the second quarter compared to the previous year, reaching ₾2,105.5 ($782.71). 
The remuneration of employed women made up ₾1,636.3 ($608.29) after an increase of ₾153.8 ($57.17) y/y.

Average monthly salaries based on the size of business:

• Medium-sized businesses: ₾2,538.1 ($943.53)
• Large businesses: ₾2,224 ($826.77)
• Small businesses: ₾1,653.6 ($614.72)

What sector emerged as the leader in total turnover?

The trade sector, including areas for repair of motor vehicles and motorcycles, emerged as the leader in total turnover, commanding a 34.5 percent share, closely followed by arts, entertainment and recreation at 33.9 percent.

Meanwhile, manufacturing, trade, construction, and transportation and storage were the leading sectors in terms of production value, accounting for 20.3 percent, 19 percent, 18.1 percent, and 9.1 percent, respectively. The rest of the sectors collectively held a 33.5 percent share.

Trade (wholesale and retail trade, repair of motor vehicles and motorcycles), manufacturing, and human health and social work activities emerged as the top three sectors for employment, with 28.4 percent, 11.8 percent, and 9.6 percent share of employees, respectively.