BAKU, Azerbaijan, Nov. 23
By Maryana Akhmedova – Trend:
The real GDP growth in Georgia in the fourth quarter of 2021 will be positive and reach 7.4 percent, Trend reports via the statistical data of the Parliamentary Budget Office of Georgia.
The expected GDP growth is due to the improved economic situation and the base effect of a high drop in the fourth quarter of 2020 caused by the COVID-19 pandemic, when the GDP reduced by 7.4 percent, the report said.
Although, lower growth rate, compared to the third quarter of 2021, still remains, due to the increase in COVID-19 cases in the country.
Along with the accelerated vaccination process and various restrictions, posed due to the pandemic, the revived external trade is also significant, the report said.
According to the Parliamentary Budget Office forecast, the number of tourists coming to Georgia in the fourth quarter of 2021 will increase by almost 3.8 times, which is about 3.2 times less than over the same period of 2019.
"Domestic tourism activity will be maintained. The government and private consumption will increase, which will determine positive pace of economic activity," the Budget Office said.
A significant increase in trade of goods, as well as in the amount of imports, is expected the report said.
Due to the global economic recovery, the demand for exports is expected to increase and, consequently, the volume of exports will increase, the Budget Office said.
“As a result of quantifying these assumptions, it is expected, that exports will increase more than imports, and net exports will contribute a positive 1.3 percentage points share in the economic activity, while domestic absorption (sum of consumption and investment) will increase significantly and determine the GDP growth rate by 6.1 percentage points,” the Budget Office concluded.
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