The Georgian economy is projected to grow 5.5% in 2022 and 5% in 2023, the January edition of the World Bank’s report Global Economic Prospects 2022 says.
Core inflation, however, eased to 5.9% y/y from 6.1% y/y in November.
A large part of the FDI was actually retained earnings generated by the two major banks, TBC and Bank of Georgia.
In the fourth quarter, the base effects will dissipate and the annual figures may decrease.
Compared to the third quarter of 2019, the production value in the manufacturing sector expanded by an annualised real rate of 2.9% per annum.
The biggest part of the 12.5% y/y annual inflation (5.35pp) was caused by the 17% y/y increase in food prices.
Strain felt from headwinds including material shortages, lack of labour and price pressures.
For the first 10 months of the year, Geostat estimates an average growth rate of 10.5%.
Compared to October 2019, before the crisis, the volume of assets and loans surged by 29% and 36% respectively.
Release of part of provisions made last year contribute to the robust profits in 2021.
Wage remittances sent by Georgians living and working abroad have significantly contributed to the resilient domestic demand.
In January-October, the country’s exports rose by 24.9% y/y to $3.39bn and by 11% compared to the same period of 2019.
Food inflation very slightly edges down to 11.3%.
According to the central bank, the high inflation was mainly a result of one-off factors, such as significant increases in prices of food and oil on international markets.
Index gains to 51.6 from 50.3 in September. Stocks of finished goods built at the fastest pace on record.
Growth turned positive for the second consecutive month versus non-pandemic year 2019.
In real terms, deflated by the consumer price inflation, the volume of bank loans edged up by a modest 0.6% y/y at the end of September.
Oil output fell 3.4% y/y but ore mining grew 15%.