Page 22 - GEORptFeb22

Retail sales y/y in Georgia averaged 14.5% from March 2010 to June 2021.
5.0 External Sector & Trade
5.1 Balance of payments, current account
Georgia - External Trade 2014 2015 2016 2017 2018 2019 2020 2021*
External trade turnover ($ mn)
11,463 9,505 9,459 10,802 12,741 13,318 11,396 14,315.6
Export (FOB) ($ mn)
2,861 2,205 2,117 2,746 3,380 3,798 3,343 4,242.3
Import (CIF) ($ mn)
8,602 7,304 7,342 8,057 9,362 9,519 8,053 10,073.3
Trade Balance ($ mn)
-5,741 -5,100 -5,225 -5,311 -5,982 -5,721 -4,709 -5,831.0
Export excluding re-export ($ mn) (Domestic export)
1,819 1,603 1,620 2,008 2,226 2,324 2,408 3,127.1
Source: Geostat
5.1.1 Import/export dynamics
Georgia’s trade deficit up 24% y/y in 2021
Georgia’s foreign trade deficit widened by 24% y/y to $5.83bn in 2021, reversing the 18% y/y contraction in 2020 and thus returning close to the pre-crisis trade gap ($5.72bn in 2019), according to data from the statistics office Geostat.
Foreign trade activity has gained momentum in Georgia along with the global trend in 2021, starting from the low base of 2020 – when the pandemic disturbed the global production and trade chains.
Exports increased by 27% y/y to $4.24bn, imports by 25% y/y to $10.07bn and the trade gap has widened by 24% y/y to $5.83bn – which accounts for nearly one third (32%) of the estimated GDP last year. The deficit-to-GDP ratio was roughly the same in 2019, before the crisis, then it narrowed in 2020 amid subdued private consumption prompted by an uncertain outlook.
Notably, out of the $4.24bn exports of Georgia, only $3.13bn (+30% y/y) are “domestic exports” while the rest consist of goods imported and re-exported. The category of motor cars is the most representative for the re-exported
22 GEORGIA Country Report February 2022 www.intellinews.com