29 February 2024,   01:48
more
In the conditions of conservative planning, nominal GDP is projected at GEL 86 bln, economy of the country grew to triple in mere 11-12 years - Garibashvili

In the conditions of conservative planning, nominal GDP is projected at 86 BLN GEL. Economy of the entire country was almost 27 BLN GEL in 2012, while it grew to triple in mere 11-12 years. It was announced by the Prime Minister of Georgia at today’s Government meeting.

According to the Head of Government of Georgia, the national economy will be at least 108 BLN GEL in 2027, while the Gross Domestic Product (GDP) Per Capita will reach 11 000 USD, which is a tremendous progress in the recent past.

“I wish to make a statement on significant topics today and spread information for the information of our society. First and foremost, I wish to tell you that the final draft of the State Budget for 2024 will be discussed today. We have actively worked on it for the past three months and it may be said that all the topics and initiatives that we will be implementing in 2024 have been individually scrutinized with the Parliament and within the Government.

We have had a very intensive and productive work with the Parliament. Ultimately, we are presenting the final draft budget today. I believe that it turned out to be rather good. I wish to thank everyone engaged in the process: our team member - Minister of Finance - and his team, who worked well indeed on the new State Budget. I would briefly summarize it by repeating all the main parameters that are included in the budget.

I wish to say that the State Budget for 2024 has been planned in a conservative manner again. We assumed the economic growth indicator to be 5%. Also, Budget Deficit has been reduced sharply. It will be 2.5% and we are keen to maintain this declining trend in coming years. The Government Debt to GDP ratio will be 38%, which is also very low and it may be said that we managed to achieve a significant reduction in the past 3 years. Government Debt will be declining in coming years as well. Dear Friends, in the conditions of conservative planning, nominal GDP is projected at 86 BLN GEL. Let me remind our society that the economy of the entire country was almost 27 BLN GEL in 2012, while it grew to triple in mere 11-12 years! It may be said that 86 BLN GEL is the absolute figure, while in USD it will be 8500. That is, GDP Per Capita will be 8500 USD. We have witnessed the doubling in USD as well and this has been happening in the past 11 years. According to our projections, the economy will reach 108 BLN GEL in 2027 and that is only the minimum. Such projections have been made by us and the per capita indicator will reach 11 000 USD. It is again a very substantial progress of recent times. Considering all these parameters, Expenditure of the Consolidated Budget in 2024 will be 28.760 BLN GEL. That is, we have further increased it. I will elaborate on it in detail. You are well aware and I will not repeat that we have a very substantial increase in every direction. We have carried out truly significant and tangible initiatives. We will be pursuing them in 2024. It will include the increase of pensions, salaries and wages in the public sector. We increased the earmarking for the education sector by almost 600 MLN GEL, which will be used for the pay rise for teachers, as well as the construction of schools and kindergartens. Kindergartens will be built anew, while schools will be rehabilitated or built anew. Let me repeat again that we have significant, tangible novelties in all these directions and changes are on their way in 2024”, - said Irakli Garibashvili.

MORE HEADLINES