Georgian Economic Climate is a joint product of PMC Research Center and the ifo Institute for Economic Research. In this bulletin, we discuss Georgia’s economic climate as assessed by Georgian economists. PMC Research is a regional partner of the ifo Institute, one of the leading economic research institutesin Europe,specializing in applied economic research, policy advising and other services for governments, businesses, researchers and the public.

Positions in international rankings are an important indicator of how a country is performing with regard to its economic, social and political environment. In this bulletin, Georgia’s positions in international rankings and their dynamics will be reviewed based on recent data.    

In this bulletin, we discuss hotel prices in January across different regions of Georgia and calculate the hotel price index in January 2018 compared to December 2017. Information about hotels and hotel price data were collected by contacting hotels individually and by using the booking.com website.

In this bulletin, we discuss hotel prices in December across different regions of Georgia and calculate the hotel price index in December 2017 compared to November 2017. Information about hotels and hotel price data were collected by contacting hotels individually and by using the booking.com website.      

The 100th edition of Economic Outlook and Indicators happily coincides with PMCG’s 10-year anniversary. Through the last decade, Georgia’s economic indicators have fluctuated substantially. In this edition, we present the dynamics of development for this period, and also analyze the main economic indicators for 2007-2017.  

  In 2017, compared to the corresponding period of 2016: • In the first three quarters, the number of tourists increased by 29%; in the third quarter, the proportion of tourists making up total international travelers reached its peak at 52.1%.• In the first three quarters, the proportion of air travel in all travel rose by 26% while travel by land decreased by 5%.• In the first three quarters, the number of persons arriving at any of Georgia’s three international airports (Batumi, Kutaisi, and Tbilisi) increased by 47%.• From January to August, payments made by foreign credit cards in Georgia increased by 33% and payments made by Georgian credit cards in foreign countries increased by 37%.    

  In the agricultural sector: In the last eight years, total production output has fluctuated between 7.8% and10.3% of gross domestic product In the first quarter of 2017, foreign direct investment amounted to negative US$0.3 mln In the first half of 2017, the volume of loans in the national currency almost reached the volume of loans in foreign currencies In the first half of 2017, the volume of imports was 2.4 times the volume of exports        

  In the first half of 2017: Remittance inflows to Georgia amounted to $629 Mln Remittance outflows from Georgia amounted to $96.3 Mln Inflow from Russian Federation, United States, Italy, Greece, Israel, and Turkey amounts to 81% of total remittance inflows to Georgia      

  In the first quarter of 2017, compared to the corresponding period of 2016: Production value of the construction sector increased by 13%; Total turnover of the construction sector increased by 16%; Foreign direct investments in the construction sector increased by 188% (GEL 36.4 mln); The number of persons employed in the construction sector increased by 2.8% (1,600 persons).    

  In the first quarter of 2017, compared to the corresponding period of 2016: The production value of the business sector significantly increased (16%); A 19.1% increase in total turnover was observed; The number of persons employed in the business sector increased (4.7%; 27,000 persons); The average monthly remuneration of persons employed in the business sector increased (11%; GEL 101.6).