Daily News

IN THIS ISSUE:

Instead of originally forecasted growth of Georgia’s economy by 4-5% in 2020, now against the background of coronavirus pandemic and devaluation of lari, it is not excluded that the growth rate will be within -2-0%.

According to French embassy, that was declared by Georgia’s Minister of Economy and Sustainable Development Natia Turnava to French ambassador in Georgia Diego Colas, who aimed “to take stock” of economic situation in Georgia.

International School of Economics at Tbilisi State University (ISET) estimated net effect of crisis, caused by COVID-19 pandemic, on Georgia’s GDP. Overall, 3 scenarios are considered, depending on crisis duration.

International School of Economics at Tbilisi State University (ISET) forecasts reduction of foreign direct investments (FDI) in Georgia at the background of COVID-19 pandemic. As researchers point, besides the fact that foreign investors prefer to invest in safe assets, expectations of currency depreciation will additionally affect FDI negatively.

Measures against impact of COVID-19 pandemic on Georgia’s economy, adopted by the government as well as private commercial banks, “will not be able to directly reach a sizeable group of the population affected by the shock”, International School of Economics at Tbilisi State University (ISET) declared.

The matter concerns those unemployed due to COVID-19 threat; those working in the informal sector (e.g., temporary workers, taxi drivers and other self-employed service sector workers); people with low income; or households that much depend on remittances transfers.

Sakstat declared that construction cost index in the 4^th quarter of 2019 has increased year-on-year by 2.5%.

Growth of the index is caused mainly by growth by 4.2% of nominal salaries in the construction sphere, Georgian statistics service specified.

Today, Georgian government’s interdepartmental coordination council on coronavirus pandemic held its regular meeting.

The government urged the citizens once again to observe restrictions, which were established by state of emergency, declared in the country, to stay home and to abstain from street walking without urgent need, press service of the government’s administration reported.

“We all have equally share civil responsibility, alleviate burden of the authorities and help our citizens to return from abroad”, founder of non-governmental organization HUB Georgia Giorgi Kodua pointed in his appeal.

Kodua indicated that additional flights are connected with additional expenses and in spite of many special flights, already made by Georgian government’s efforts, return of citizens home (because of coronavirus pandemic) remains a challenge.

Georgian Roads Department reported about rehabilitation, being underway on 1.8-km Agmashenebeli Street in Lanchkhuti (Guria region). Works are planned to be completed at the end of summer.