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Georgia’s external trade turnover amounted to $12.83bn in 2019, an increase of 2.7% compared to the previous year, Geostat data shows.
The value of exports went up by 12.4% y/y and reached $3.77bn, while imports decreased 0.8% y/y, amounting to $9.06bn.
The trade deficit of Georgia in 2019 thus amounted to $5.29bn.
In December 2019, the value of exports was $390.4mn (+18.7% y/y), while imports amounted to $927mn (+12.8% y/y).
5.1.2 Current account dynamics
Georgia’s current account deficit reached 4.5% of GDP by Fitch estimates
Georgia's current account deficit (CAD) in 2019 reached a historical low of 4.5% of GDP by Fitch estimates; largely on account of a smaller trade deficit as a result of weaker export growth and contraction in imports.
The rating agency forecasts the CAD will reach 4.1% in 2020 and 4.2% in 2021, still significantly wider than the median 2.6% of BB category peers. Financing of the CAD is expected to be covered by sustained net inflows of FDI, averaging 5% of GDP.
The country's CA deficit narrowed in 2018 compared to 2017, but remained at a still high level of 7.7% of GDP ($1.24bn) and its dynamics depend to a large extent on the revenues generated by tourism. The balance of goods remained the major contributor to the current account.
23 GEORGIA Country Report March 2020 www.intellinews.com
