AEIR 2022

Georgia’s growth recovered strongly from the 6.8% contraction in 2020 to an estimated 10.6% growth in 2021. All major sectors did well with exceptions of construction and agriculture. On the supply side, services reversed its 8.1% contraction in 2020 to grow by 14.5%. Industry reversed a 6.6% drop in 2020 to expand by 6.2%. However, agriculture contracted by 2.5% due to pest damage and adverse weather. On the demand side, growth in consumption nearly doubled from 5.4% in 2020 to 9.0% as pandemic restrictions were lifted in the second half of the year. Growth is forecast to decline to 3.5% as the Russian Federation’s invasion of Ukraine slows trade and remittances. It is expected to recover somewhat to 5.0% in 2023 with some revival in demand—both domestic, fueled by faster credit growth, and external, with increased exports the result of structural reform to trade and connectivity.

Source: Asian Development Outlook 2022.
Latest Month-Ago Year-Ago
Headline Inflation Rate 1 13.3 (May22)12.8 7.7
Industrial/ Manufacturing Production Growth Rate 1 12.0 (Dec21)-12.1
Merchandise Export Growth 1 10.1 (Apr22)10.1 26.3
Exchange Rate Index 2 164.8 (May22)170.1 187.3
1 y-o-y, %.
2 Monthly average, January 2006 = 100, $/local currency.
Source: CEIC database.

Initiatives / FTAs

News