In the first quarter of 2026, the current account deficit improved by USD 274.9 million compared to the same period of the previous year and amounted to USD 348.1 million (GEL 939.7 million) and 3.8% of gross domestic product (GDP). The relevant statement was issued today by the National Bank of Georgia.

“An improvement was observed across all four components of the current account.

Balance of goods remains the main driver of the current account balance. Relative to GDP, it improved by 3.4% compared to the first quarter of 2025. Trade in goods deficit decreased by 1.8% year-on-year, amounting to USD 1.7 billion (GEL 4.6 billion) in the first quarter of 2026. Export of goods increased by 23.8% and import by 11.4%.

The current account balance is negatively affected by the trade in goods and primary income, while trade in services and current transfers contribute positively.

In the first quarter of 2026 the services surplus rose by 9.8%, or USD 77.9 million, compared to the same period of the previous year, reaching USD 876.1 million.

Total export of services increased by 7.2% year-on-year, reaching USD 1.8 billion (GEL 4.8 billion) in the first quarter of 2026.

The travel services exports amounted to USD 829.8 million (GEL 2.2 billion) representing an annual increase of 0.5%. Particularly noteworthy was the growth in exports of computer and information services by 65.7% year-on-year to USD 441.3 million, equivalent to 4.8% of GDP. Transport services exports remained an important component of Georgia’s services exports reaching USD 333.4 million, or 3.6% of GDP in the first quarter of 2026.

Net income account totaled USD -423.2 million (GEL -1.1 billion) in the first quarter of 2026. Net compensation of employees, the positive component of income account increased by 45.8% year-on-year while net investment income - the negative component declined by 12.0% over the same period.

The current transfers account remained in surplus in the first quarter of 2026. Credits of current transfers increased by 7.1% year-on-year, reaching USD 937.1 million (GEL 2.5 billion). Net transfers of the private sector also continued to grow, rising by 8.5% to USD 884.4 million (GEL 2.4 billion).

The current account deficit is predominantly financed by foreign direct investment. Net foreign direct investment amounted to USD 160.9 million (GEL 434.2 million) in the reporting period, accounting for 1.8% of GDP”.