MINISTRY OF ECONOMY
AND SUSTAINABLE DEVELOPMENT
OF GEORGIA

Levan Davitashvili: Georgia managed to maintain economic stability against the backdrop of the acute geopolitical situation in the region and the globally deteriorating economic prospects

06-12-2022

Vice Prime Minister, Minister of Economy and Sustainable Development Levan Davitashvili delivered a speech at the presentation prepared by the World Bank on Georgia’s economic memorandum – future projection for a competitive, integrated and strong Georgia".

Vice Prime Minister highlighted that Georgia managed to maintain economic stability against the backdrop of the acute geopolitical situation in the region and the globally deteriorating economic prospects.

“High economic growth continued in 2022 as well. After the 10,5% economic growth in 2021, double-digit economic growth was recorded in January-October 2022 and amounted to 10%. According to the basic forecast of the Government of Georgia, we will end 2022 with a double-digit economic growth,” – Vice Prime Minister noted in his speech at the presentation.
The economic memorandum reflects Georgia’s achievements over the past decade, as well as recommendations for sectoral policies, so that the country can achieve success in the next decade as well.

Levan Davitashvili stated that the partnership between Georgia and the World Bank continues over 30 years, and the World Bank is Georgia’s main partner in developing economic policies and implementing important investment projects, including improving the competitiveness of the private sector, implementing structural reforms, developing infrastructure, and increasing access to finance for small and medium-sized businesses and commercialization of research and development.

“During the last ten years, Georgia has shown significant progress in terms of economic development, including managing to halve the poverty level in a ten-year perspective, which is still the main challenge for the country. At the same time, Georgia showed flexibility towards international economic shocks, which was also mentioned in the presentation, and in 2019 Georgia became a country with a higher than average income. However, all of these is just the beginning of Georgia’s success. The country is already going through very important reforms, much is to be done in the future and we will also also count on the important support of the World Bank,” – Vice Prime Minister noted.

Levan Davitashvili stressed that Georgia continues implementation of complex structural reforms, which will contribute to the long-term economic goals and the acceleration of economic growth through strengthening of the private sector. Those reform include complex reform of state enterprises, support of renewable energy with fiscally sustainable mechanisms and capital market reform.

Vice Prime Minister also drew attention to the transit potential of Georgia which is being supported with corresponding policies. According to Davitashvili’s assessment, the transit corridor passing through Georgia has great prospects. 

“Georgia is positioning itself as a reliable and accessible transport corridor connecting Europe and Asia. This maritime corridor needs more direct, regular feeder and ferry services between Georgia and Romania, Bulgaria, Turkey and Ukraine, which will reduce transit and shipping times and make services even more demanded. In addition, the development of port infrastructure is one of the priority directions of the Georgian government,” – Levan Davitashvili noted.

Minister of Finance Lasha Khutsishvili and Sebastian Molyneux, Regional Director of the World Bank in the South Caucasus also spoke at the presentation.

Tweet