MINISTRY OF ECONOMY
AND SUSTAINABLE DEVELOPMENT
OF GEORGIA

Deputy Minister of Economy and Sustainable Development of Georgia, Nino Javakhadze commented on the data published by the National Statistics Office of Georgia. As the Deputy Minister stated, in August 2017, compared to the same period of the previous year, the economic growth equaled to 4.3% while in all 8 months, the mean economic growth is 4.7%.

“In August 2017, the turnover of the registered in Georgia enterprises (which are being observed during the evaluation of the economic growth), compared to the same period of the previous year, is increased by 14%. The real GDP growth of is recorded in such fields as processing industry, hotels and restaurants, real estate operations,” – Nino Javakhadze stated.

Deputy Minister noted that the economic growth was predetermined by Georgia’s improved foreign trade indicators and increased export. In August 2017, the increased export was recorded in the following sectors:

•    Ferroalloys by 134%;
•    Nitric fertilizers by 84%;
•    Medicines by 65%;
•    Wine by 58%; 
•    Spirits by 29%;
•    Mineral waters by 23%.

Nino Javakhadze also talked about the export and noted that Georgia’s export volume in 8 months of 2017 is increased by 28.5% and equaled to 1682.8 million USD. Export growth is mainly associated with the improved economic conditions in our main trading partner countries and the increased demand for exported goods.

Deputy Minister also highlighted that in addition to the improved international trade in August 2017, other factors also contributed to the economic growth including 15% increase of money transfers and its volume equaled to 121.8 million USD. Money transfers are one of the most important components of the internal demand and therefore, its growth positively reflects on economic growth. It is also a positive trend in terms of exports of services. Income from international tourism is also increased. In August, the revenues from tourism is increased by annual 33.6% (92.9 million USD) and equaled to 390.9 million USD.

“It should be noted that the trend of overcoming foreign shocks coupled with the reforms implemented by the Government have positive reflection on the investment decisions, which, in turn, have positive impact on the economic growth rate. At the same time, positive evaluations by the international financial institutions and the sovereign rating companies will further increase investor confidence in Georgia’s economic development and ongoing reforms,” – Nino Javakhadze stated.