Georgia’s economy grew by 7.2% y/y in Nov-25
In Nov-25, Georgia’s economy grew by 7.2% y/y, accelerating from 6.0% y/y growth posted in previous month. Cumulatively, real GDP increased by 7.5% y/y in 11M25. The growth in November was mainly driven by stronger activity in transport & storage, manufacturing, real estate operations, financial & insurance and mining, while construction and energy sectors contracted.
We forecast real GDP growth at 7.5% in 2025 and 6.0% in 2026 (see latest macro forecasts here).
CA surplus at 3.3% of GDP in 3Q25
Current account (CA) recorded a surplus of US$ 338.8mn, or 3.3% of GDP in 3Q25, according to NBG. The annual improvement in the 3Q25 CA balance was mainly driven by a 18.8% y/y growth in the service balance, along with a narrowing of the negative income balance by 25.5% y/y and a 9.1% y/y rise in transfers. Meanwhile, goods trade deficit widened by 10.7% y/y to US$ 1.7bn.
Overall, CA deficit reduced by 46.8% y/y to US$ 584.0mn, or 2.1% of GDP in 9M25, down from 4.4% of GDP in 9M24. Moreover, excluding reinvestments (recorded in both CA and its funding categories), the CA balance posted a surplus of 1.4% of GDP in 9M25, compared with a deficit of 0.3% in 9M24. Notably, net FDI rose by 22.3% y/y to US$ 1.0bn, covering 1.7x of the CA deficit in 9M25.
We forecast CA deficit at 3.2% of GDP in 2025, revised downwards from the previous forecast of 5.0%. For 2026, we expect CA deficit to widen slightly to 3.3% of GDP.
