GDP forecast predicts a slower start to 2023 as inflation driven by food and energy prices remains a challenge to the economy.

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GDP forecast predicts a slower start to 2023 as inflation driven by food and energy prices remains a challenge to the economy.

26 Jan 2023

• As a result of the update, ISET-PI growth forecast for Q4 of 2022 was changed to 12% (increased by 0.1 percentage point compared to the same figure of the previous edition). [...] Therefore, a global increase in the price of metal will likely cause improvement to the Georgian economy, whereas an increase in the price of agricultural products will be damaging. [...] On the balance, adding the PMETA and PRAWM indicators to the model thus decrease the growth forecast for both quarters. [...] The other group of variables that had an important impact on the GDP growth predictions is related to the consumer credit. [...] The last forecast (the 5th vintage) is published in the first month of the next quarter.

Authors

Nikoloz Pkhakadze

Pages
3
Published in
Georgia