Page 10 - Caucasus Outlook 2023

2.0 Macroeconomic Outlook

2.1 Macroeconomy - Georgia

Georgia: key economic figures and forecasts

2016 2017 2018 2019 2020 2021 2022

Nominal GDP (EUR bn) 84.7 102.3 113.0 138.9 153.3 193.2 228.9

Real GDP (% y/y) 2.9% 4.8% 4.8% 5.0% -6.8% 10.5% 10.2%

Industrial output (% y/y)

Unemployment rate (avg, %) 21.7 21.6 19.2 17.6 18.5 20.6 21.1

Nominal industrial wages (% y/y)

Producer prices (avg, % y/y) 99.9% 111.0% 106.1% 107.2% 108.6% 116.7%

Consumer prices (avg, % y/y) 2.1% 6.0% 2.6% 4.9% 5.2% 9.6% 11.9%

Consumer prices (eop, % y/y) 1.8% 6.7% 1.5% 7.0% 2.4% 13.9% 9.2%

General budget balance (% of GDP) -2.8% -2.7% -2.3% -2.1% -9.3% -6.1% -3.1%

Public debt (% of GDP) 40.3% 39.4% 38.9% 40.4% 60.2% 49.7% 39.6%
Current account balance (% of GDP) -12.5% -8.0% -6.8% -5.8% -12.5% -10.4% -7.1%

Official FX reserves (EUR bn)

Gross foreign debt (% of GDP)

EUR/LC (avg) 2.3667 2.5086 2.5345 2.8192 3.1097 3.2209 3.1712

USD/LC (avg) 2.6172 2.8322 2.9913 3.1553 3.5519 3.8140 2.9685

Source: Geostat, Galt & Taggart

2.1.1 GDP growth

Georgia’s economy boasted one of the highest growth rates in the
world in 2022 as many countries buckled up for recession, and the lari
was one of the few emerging markets currencies to gain value against a

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