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Prognoses of better economy for Georgia

By Gvantsa Gabekhadze
Thursday, June 8
The Internal Monetary Fund (IMF) leadership claims that the Georgian economy may develop faster than expected.

“As the first indicators show at this moment, the International Monetary Program is successfully underway and the economy may develop faster than originally planned,” Anthony De Lannoy, the IMF Executive Director, declared after a meeting with Georgia’s Finance Minister Dimitri Kumsishvili.

The IMF CEO is holding a business visit to Georgia.

The parties have referred to the three-year cooperation program as well as existing progress during their meeting.

“It has been remarked that the fund program, unanimously approved by International financial organization’s board on April 12 2017, is based on the four-point plan of Georgia’s government. It has also been emphasized that the issues envisaged by the program are implemented without any obstacle and according to the plan,” the Georgian ministry reported.

The four-point reform plan, includes new tax benefits, infrastructure plans, governance reforms and an overhaul of the education system.

Meanwhile, the World Bank has reduced the economic growth prognosis for Georgia to 3.5% that is less than the previous one for the year of 2017.

The Bank has also reduced the economic growth prognosis for the upcoming two years.

According to the report Georgia’s economic growth will be 4% in 2018 (-1,3) and 4.5% in 2019 (-0,5).

Under the report, the World Bank supposes only a 2.5% increase of the global economy.

The Georgian opposition parties claim that no economic growth or development will take place under the current state leadership.

They constantly accuse the Georgian Dream administration of being responsible for the sharp devaluation of the national currency and all major drawbacks facing the state economy.