MF raises economic growth forecast for Georgia

11:39, 11.05.2023

The International Monetary Fund raised Georgia’s economic growth forecast for 2023 by one percentage point, from 4 to 5%, James John, Mission Chief of the International Monetary Fund, reported.

James John said inflation would remain below NBG’s 3% target in 2023.

“Looking ahead, growth is projected to converge to its potential rate of a little above 5% in 2023, while inflation would remain below the NBG’s 3% target, reflecting the factors described above, including a continued tight monetary policy stance with positive real interest rates.

Over the medium term, growth is expected to remain close to potential, supported by infrastructure investments and an expected improvement in global economic and financial conditions.

Inflation is forecast to be close to the target in 2024. Given high uncertainty regarding global economic and financial developments and political conditions, policies should remain focused on entrenching macroeconomic and financial stability and maintaining the momentum for structural reforms,” said IMF Mission Chief.

By - Tamar Tabatadze

Economics

IMF

James John