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Does export increase mean economic development?

By Messenger Staff
Friday, April 30
The Department of Statistics states that in the first four months of 2010 foreign trade turnover (excluding unofficial trade) was USD 1.359 billion, 15% more than in the same period of last year. Of this amount 339 million was exports and 1.02 billion imports. The biggest export commodity is ferroalloys, followed by cars (in reality these are re-exported) and gold ore.

Georgian officials think that export growth means the economy is improving, however some analysts challenge this. Professor of Economy Avto Silagadze thinks that increases in exports do not necessarily mean the economy is developing, as the country needs to see changes in industry, agriculture and general political and economic stability if we want to achieve higher parameters of economic growth.