Georgia: Economy

External factors held Georgia's growth at 2.7% in 2016, but higher capital spending and corporate tax reform should permit growth to reach 3.8% in 2017 and 4.5% in 2018. Inflation, low in 2016, will likely rise to 4.2% in 2017 under currency depreciation and an excise tax increase. Skills mismatch in the labor market is an important constraint on long-term growth. Read more from Asian Development Outlook 2017


Economic forecasts for Central Asian countries

Country 2017f 2018f
Armenia 2.2 2.5
Azerbaijan –1.1 1.2
Georgia 3.8 4.5
Kazakhstan 2.4 2.2
Kyrgyz Republic 3.0 3.5
Tajikistan 4.8 5.5
Turkmenistan 6.5 7.0
Uzbekistan 7.0 7.3
Average 3.1 3.5
Country 2017f 2018f
Armenia 1.2 1.8
Azerbaijan 9.0 8.0
Georgia 4.2 4.5
Kazakhstan 8.0 7.0
Kyrgyz Republic 5.0 4.0
Tajikistan 8.0 7.0
Turkmenistan 6.0 6.0
Uzbekistan 9.5 10.0
Average 7.8 7.3
Country 2017f 2018f
Armenia –2.3 –2.0
Azerbaijan 5.9 11.4
Georgia –12.0 –11.5
Kazakhstan –3.4 –3.0
Kyrgyz Republic –13.0 –13.5
Tajikistan –5.5 –6.0
Turkmenistan –15.0 –13.0
Uzbekistan 0.2 0.4
Average –3.0 –1.7

f = forecast number.

Source: Asian Development Outlook 2017