Georgia, Tbilisi, October 11/Trend N.Kirtzkhalia/
Georgia's Finance Minister Nodar Khaduri doesn't agree with the report of the International Monetary Fund (IMF) according to which the forecasted indicator of Georgia's economic growth was decreased again - to 2.5 per cent.
""The decline of Georgia's economic growth is caused by a decrease in the volume of investment and loans, as well as more rational spending of public funds. Such an approach has led to a tightening of fiscal policy, therefore, the government should be more productive in spending money in order to stimulate demand," the IMF report said.
The Fund anticipates Georgia's economic growth in 2014 at the level of 5 per cent; the similar figure was included in the country's draft budget for 2014.
According to the prognosis, negative trade balance's ratio to GDP will decrease by 5 per cent and will amount to 6.5 per cent.
IMF anticipates that as of 2013, unemployment in Georgia will increase by 1.7 per cent and will amount to 16.7 per cent. The fund expects the unemployment level to hit 17.3 per cent in 2014 which is the most negative indicator in the post-Soviet space after Armenia.
The Minister called the IMF forecast "unreasonable and illogical."
"Of course, we worked on these forecasts and do not agree with them. But I was surprised by the fact that there was represented an absolutely incredible forecast about the reduction of employment. It should be stressed that there were no any discussions on this issue with the government of Georgia, the Ministry of Finance. There is no actual data about that there can be some problems in the economy," Khaduri said.
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