FX.co ★ Georgia Q4 GDP Growth Slows to 8.3% YoY

Georgia experienced a notable economic expansion in the fourth quarter of 2024, with its GDP increasing by 8.3% compared to the same period in the previous year. This growth rate represents a deceleration from the 11% increase recorded in the third quarter and signifies the most modest economic growth since the fourth quarter of 2023. The slowdown can largely be attributed to reduced output growth in several sectors: construction saw a significant decrease, growing by only 7.4% compared to 30.9% previously; information and communication expanded by 29.7%, down from 32.8%; transportation and storage witnessed a rise of 3.0%, compared to 9.8% earlier; and manufacturing showed a marginal growth of 1.1% from 1.2%. Furthermore, the wholesale and retail trade, which includes motor vehicle and motorcycle repairs, experienced a minor contraction, declining by 0.2% from an 11% growth rate. Conversely, some sectors displayed robust acceleration: agriculture, forestry, and fishing surged by 9.4%, up from 2%; mining and quarrying grew by 22.5%, compared to 13.5%; and public administration and defense, alongside compulsory social security operations, increased by 19.9%, up from 14.7%. Additionally, the electricity, gas, steam, and air conditioning supply sector rebounded slightly, growing by 0.8% as opposed to a 13.6% contraction. Real estate activities also saw a slower rate of decline, contracting by 2.3% compared to a 4.9% drop previously.