Economic Monitor Georgia
Georgia’s economy has developed very positively despite the war in Ukraine and the sanctions against Russia. According to the current estimate of the National Bank, growth this year will be at 9%. The main impact of the war is the influx of about 45,000 people from Russia and Belarus to Georgia. The additional spending by this group is a positive shock to the current account and partly explains why the Georgian economy has been relatively little affected by the war. Trade in goods with Russia is also stable, as Georgia is partly a substitute supplier of Western products.