Category: Economy

The National Bank of Georgia (NBG) has released its 2024 inflation report, revealing that inflation continues to remain below the target level. The annual inflation rate has decreased to 0.6% in September, a significant drop attributed to low inflation rates for local production and reduced import inflation. This report provides a comprehensive overview of the current economic conditions and the factors influencing inflation in Georgia. The findings highlight the effectiveness…

Archi, a leading development company, has announced the construction of a luxurious five-star hotel at Lake Sioni. This ambitious project, named Le Meridien Sioni Lake Resort & Spa by Archi, is a collaboration with the renowned international hotel brand Le Meridien, part of the Marriott International group. The resort aims to offer unparalleled luxury and comfort, transforming Sioni into a premier tourist destination. A Landmark Development for Sioni The announcement…

Georgia’s economy has shown remarkable resilience and growth, with the latest data from Geostat revealing a 12% increase in GDP for August 2024. This impressive growth rate is part of a broader trend, with the average GDP growth for the first eight months of the year standing at 10%. Key sectors driving this growth include professional, technological, and research-based fields, as well as construction, insurance, financial services, communication, and trade.…

Kutaisi International Airport is undergoing a significant transformation with the construction of a new runway. This development, supervised by the Ministry of Economy, aims to enhance the airport’s capacity and accommodate larger aircraft. The project, funded with GEL 7.2 million, is expected to bolster the airport’s role as a key aviation hub in Georgia. With a remarkable 109% increase in passenger traffic in 2023, the new runway will further support…

In a surprising move, the US Federal Reserve has slashed its key lending rate by 50 basis points, just weeks before the upcoming presidential election. This decision marks the first rate cut since the COVID-19 pandemic and aims to lower borrowing costs across the board. The rate cut, which brings the central bank’s benchmark rate to between 4.75% and 5.00%, is expected to have significant implications for the economy and…

In a significant move to enhance trade and transportation links, Georgia and China have signed a Memorandum of Understanding (MoU) to advance the Middle Corridor. The agreement, signed by Georgian Economy Minister Levan Davitashvili and Zhao Chenxin, Vice Chair of the National Development and Reform Commission of China, aims to boost the development of the multimodal transport corridor connecting China to Europe through the South Caucasus. This initiative is expected…

The National Bank of Georgia (NBG) has decided to keep its refinancing rate steady at 8%, a move aimed at controlling inflation and stabilizing the economy. This decision reflects the bank’s cautious approach to monetary policy, ensuring that inflation remains close to its target rate in the medium term. The NBG’s strategy includes monitoring economic indicators and adjusting policies as necessary to mitigate inflationary pressures, particularly those arising from global…

Georgia’s economy experienced a significant boost in July 2024, with real GDP increasing by 13.0% compared to the same period last year. This impressive growth follows a 7.5% rise in June and contributes to an overall 9.7% growth for the first seven months of the year. The surge in economic activity was driven by key sectors such as construction, manufacturing, information and communications, professional and scientific activities, and trade. However,…

In the second quarter of 2024, Georgia witnessed a significant decrease in its unemployment rate, which fell to 13.7%. This marks a notable improvement from the previous year’s rate of 16.7%. The National Statistics Office of Georgia (Geostat) reported that the number of unemployed individuals decreased by 47.2 thousand, bringing the total to 219.7 thousand. This positive trend reflects the country’s ongoing efforts to boost employment and economic stability. Factors…

In a significant economic development, 69.5% of Georgia’s exports are now directed to the Commonwealth of Independent States (CIS) countries. This shift highlights the growing economic ties between Georgia and its neighboring CIS nations. According to a recent report by Galt & Taggart, this increase in exports to the CIS is accompanied by a notable rise in imports, which grew by 7.2% year-on-year. The report also indicates a decrease in…