MINISTRY OF ECONOMY
AND SUSTAINABLE DEVELOPMENT
OF GEORGIA

First Vice Prime Minister, Minister of Economy and Sustainable Development Levan Davitashvili spoke about the trends in the Georgian economy and their development estimates, sectoral priorities and challenges of the economy, the progress of large infrastructure projects, as well as the structural reforms and issues of cooperation between the state and the business sector at the economic forum “Challenges of Georgian Economy – Geopolitics, Investment and Economic Increase”.

"This year we maintain high economic growth, the medium-term forecast is also positive. Among them, the forecast of the International Monetary Fund until 2029 shows that Georgia will be one of the fastest growing economies, in principle, the fastest growing economy among the countries of Europe and the region, and it will be an economic growth higher than 5%. In addition, this year we will have an economic growth higher than 5,7%, which is also the latest forecast of the IMF. However, we expect that the growth can be even higher," – Levan Davitashvili said.

Deputy Ministers of Economy and Sustainable Development - Guram Guramishvili and Irakli Nadareishvili participated in the forum. The event was organized by the online media platform - Business Insider Georgia, and together with the leaders of the Ministry of Economy and Sustainable Development, representatives of public agencies and private businesses, financial, regulatory organizations and industry associations, as well as experts and the banking sector participated in it.

Speaking at the forum, the First Vice Prime Minister also reviewed the current picture of the investment sector in Georgia. According to his information, transport, logistics, service and tourism sectors were distinguished by high investment activity last year, as well as high economic activity in the direction of information technology. Levan Davitashvili emphasized that high economic activity resulted in record high employment, and last year recorded a record low rate of unemployment.

"In the future, we have an emphasis on productivity growth and technological transformation of the country, on which we have provided some information to the public. However, the Ministry is actively working on the more complex policy that will allow us to achieve this," – the Minister of Economy and Sustainable Development said.

Another issue that Levan Davitashvili emphasized was the international transport route "Middle Corridor" and its importance for the economy of Georgia, as well as the large infrastructure projects that will further increase the capacity of the "Middle Corridor" and, accordingly, its economic efficiency. According to the Minister, in 2022, the volume of cargo transported through the "Middle Corridor" was doubled, and in 2023, their volume was increased by approximately 86%. In addition, a road map was created until 2027 - what each country participating in the "Middle Corridor" should do in terms of road infrastructure improvement, management and coordination.

"This will allow us to reduce prices and shipping times, as well as increase the security in general. All this should be reflected in the overall long-term competitiveness of the corridor. Regardless of the trade conflicts, the dynamics of trade relations with China and Southeast Asian countries is still growing. Due to its natural location, Georgia can play a very important role and not be an ordinary link in this chain, but one of the leading ones, including a leader at the political level, and I think we will show it in the international arena as well," –  the First Vice Prime Minister noted.