World Bank: Georgia's economic growth to gradually slow in coming years

The World Bank forecasts that Georgia's real GDP will grow by 7% this year, while the pace of economic growth will stabilize at around 5% in subsequent years.

According to Report's Georgian bureau, this was reflected in the October edition of the World Bank's Europe and Central Asia Economic Update.

The update noted that Georgia's real GDP growth is expected to decline to 5.5% in 2027 and 5% in 2028.

The World Bank also said that Georgia's economic growth stood at 7.8% in 2023, 9.7% in 2024, and 7.5% in 2025.

According to the bank's assessments, the pace of growth in Georgia's car exports has shown signs of slowing compared with previous periods. A slowdown in the tourism sector has also been observed. The report cites the impact of the conflict in the Middle East as one of the reasons for this situation. According to World Bank data, Georgia's tourism revenues from visitors from Israel and Saudi Arabia fell by 12% in the first half of this year.

It was also noted that the services sector in the South Caucasus, particularly information and communications technology, transportation, and tourism, continues to be a key driver of economic growth. The World Bank forecasts that the economies of the South Caucasus countries will grow by 3.5% overall this year. It notes that this figure is 0.4 percentage points lower than the forecast made for 2025.

Economic growth in the South Caucasus stood at 3.8% in 2023 and 5.8% in 2024.