Real GDP was 44.8% y/y in April 2021
Georgia’s economic growth surged by 44.8% y/y in April 2021, based on Geostat’s rapid estimates, after a 4.0% y/y growth in previous month. Notably, real GDP was also up by 20.8% compared to 2019 level. Overall, in 4M21, real growth was 8.1% y/y. In April, growth was broad-based with economic activity up in manufacturing, construction, trade, transportation, hotels & restaurants, financial and real estate sectors. Only mining sector was in red in May. Monthly rapid estimates are based on VAT turnover, fiscal and monetary statistics.
Inflation was 7.7% y/y and 0.7% m/m in May 2021
Annual CPI inflation came in at 7.7% in May 2021, after a 7.2% inflation in previous month, according to Geostat. Core inflation (non-food, non-energy) was 6.5% and core inflation excluding tobacco was 6.4% in May. By categories, annual inflation was mainly driven by price changes in transport (+17.4% y/y, +2.08ppts), housing, water, electricity, gas and other fuels (+6.6% y/y, +1.09ppts), food and non-alcoholic beverages (+3.3% y/y, +1.07ppts), health (+13.4% y/y, +1.01ppts), furnishings, household equipment and maintenance (+12.0% y/y, +0.64ppts), hotels and restaurants (+11.8% y/y, +0.60ppts) and alcoholic beverages and tobacco (+6.8% y/y, +0.43ppts) categories. On a monthly basis, there was 0.7% inflation in May 2021, reflecting price increase in transport (+2.0% m/m, +0.26ppts) category.
