MINISTRY OF ECONOMY
AND SUSTAINABLE DEVELOPMENT
OF GEORGIA

According to the preliminary assessment of GeoStat, in October 2018, compared to the same period of the previous year, a high economic growth of 6.7 was recorded. Ekaterine Mikabadze, the Deputy Minister of Economy and Sustainable Development said that economic growth is quite diversified and increased in almost every sector of the economy. In particular, significant growth was recorded in the processing industry, construction sector, transport, financial activity, real estate, trade, etc.

Economic growth was predetermined by the improved foreign trade. Namely, in the reporting period (October) export of goods was increased by 15% and amounted to 303 million USD. The growth was also recorded in tourism with 14.1% increase amounting to 246 million USD.

Other factors contributing to growth have also been improved – by 11.0% was increased the net money transfers amounting to 116.0 million USD. Money transfers are one of the most important components of the domestic demand, therefore its growth is positively reflected in economic growth.

Deputy Minister of Economy and Sustainable Development also highlighted the turnover of enterprises registered in Georgia, which is 13.9% higher compared to the index of the previous year.

According to Ekaterine Mikabadze, the measures implemented by the Government targeted at reducing the vulnerability to the foreign impact as well as the relevant reforms have a positive effect on the investments, which, in turn, has a positive impact on economic growth.

“Positive assessments by the international financial institutions and sovereign rating companies increase the trust of the investors in Georgia’s economic development and ongoing reforms,” – Ekaterine Mikabadze noted. The Deputy Minister stressed on the visit of the International Monetary Fund mission, which was finished on October 29, 2018. “Within the framework of the visit, the reforms carried out by the Government of Georgia once again received positive assessment. According to the IMF, the existing economic situation will allow to introduce such reforms that will further promote stability towards foreign shocks, diversify the economy, accelerate the economic growth of the private sector and increase the level of living of the population,” – the Deputy Minister of Economy and Sustainable Development Ekaterine Mikabadze stated.