Page 13 - GEORptSep19

4.3% y/y, stood at more than twice that, namely $762mn.
A decrease of economic activity was registered in July in mining and quarrying and in utilities.
3.2 Macro outlook
World Bank cuts Georgia 2019 GDP growth outlook by 0.4pp to 4.6%
ADB projects 5% GDP growth in Georgia
The World Bank has revised downward its outlook for Georgia's GDP growth in 2019 and 2020 by 0.4pp and 0.2pp, respectively, but the revised scenario still shows the country’s economy expanding by 4.6% this year and 4.8% next year, compared to last year’s 4.7%. Growth will further strengthen to 5% in 2021, if the forecasting proves correct.
The latest World Bank calculations are given in its twice-yearly Global Economic Prospects report released late on May 4.
Georgia is already outperforming its region for growth, but the differential is likely to narrow in coming years as peers catch up on the back of continued implementation of domestic reforms and infrastructure investment. Growth in the South Caucasus subregion is projected by the World Bank to strengthen to 4.2% by 2021, from 2.6% in 2018.
The World Bank also observed in its report: “Robust services sector activity continues to underpin growth in the South Caucasus, with an additional boost coming from manufacturing in Armenia.”
The European Bank for Reconstruction and Development (EBRD) stuck to its forecast of economic growth in Georgia of 4.5% in 2019 in its latest economic outlook released in May. The expansion would be a slight decline on the 4.7% recorded in 2018 and 4.8% registered in 2017, the development bank added, observing that the “the Georgian economy remains on the path of strong economic growth”.
The Asian Development Bank (ADB) has projected economic growth in Georgia will be recorded at 5% this year and 4.9% in 2020. Its forecasts are given in its newly issued Asian Development Outlook (ADO) 2019 report .
Georgia’s economy expanded by 5% in 2017. The government also expects 5% this year, as a minimum. The International Monetary Fund (IMF) projects 4.6%, with infrastructure spending expected to compensate for weaker
13 GEORGIA Country Report September 2019 www.intellinews.com