Georgia: GDP growth rate reaches 10.4% in 2021

In Georgia, the nominal gross domestic product (GDP) climbed by 22.3 per cent year on year, which amounted to 60.23 billion GEL ($18.7 billion/€16.94 billion) in 2021, according to preliminary statistics from the National Statistics Office of Georgia (Geostat). The real growth of GDP increased by 10.4 per cent.

The following sectors which contributed the most to GDP growth are as follows:

• Wholesale and retail trade; repair motorbikes and motor vehicles (16.6%)
• Real estate (10.2%)
• Transportation and storage (6.2%)
• Construction (8%)
• Agriculture, fishing and forestry (7%)
• Public administration and defence; compulsory social security (6.5%)
• Manufacturing (11.7%)
• Insurance and financial activities (5.2%)
• Social work and human health activities (4.8%)

Real growth was registered in: 

• Wholesale and retail trade; repair of motor vehicles and motorbikes (19.9%)
• Real estate activities (9.2%)
• Transportation and storage (27.6%)
• Social work and human health activities (28.7%)
• Gas, electricity, steam and air conditioning supply (33.5%)
• Arts, recreation and entertainment (43.1%)
• Financial and insurance activities (23.5%)
• Manufacturing (9%)
• Accommodation and food service activities (29.8%)
• Information and communication (23.9%)
• Mining and quarrying (13.5%)

The reduction in the real value-added was recorded in the following fields: 

• Construction (-21.8%)
• Agriculture, forestry and fishing (-1.4%)
• Education (-2.3%)
• Public administration and defence; compulsory social security (-0.9%)

In the fourth quarter of the financial year 2021, the nominal GDP equalled 17.22 billion GEL ($5.35bln/€4.84bln), with real GDP growth up by 8.8 per cent compared to the same period of the last year. In 2020, the real growth of GDP declined by 6.2 per cent.

The standard measure of the value added created by the production of goods and services in a country during a certain period is the gross domestic product (GDP). As a result, it also accounts for the revenue generated by that production, as well as the overall amount spent on final goods and services (less imports).