2024-01-18
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Two years ago our economy grew by 10.5%. Also, in 2022 our growth rate was 10.4%. Last year it was 7%. Inflation is very low. In the last seven months it was below 1%, Georgian Prime Minister Irakli Garibashvili stated in his speech at the panel discussion: A New Dawn for Eurasia? held within the scope of the World Economic Forum (WEF) in Davos.
According to the Head of Government, Georgia's economy is growing rapidly.
"Thank you very much! First of all, thank you very much for organizing this very important panel. I also want to join you in congratulating my dear friend - President Vucic - on his great victory.
"Georgia's economy right now is developing rapidly. In the last three years Georgia's economy grew very fast and right now we are one of the fastest developing economies in the world.
"Two years ago our economy grew by 10.5%. Also, in 2022 our growth rate was 10.4%. Last year it was 7%. Inflation is very low. In the last seven months it was below 1%. This year we expect to have more than 5% economic growth. This is a very conservative assessment. So, therefore, the situation is very stable. Politically also, Georgia is very stable.
"You mentioned trade and everything is growing. Of course, we are expanding our trade connections and relationships.
"I also want to mention that FDI was also record-high last year, especially after the decision that was made in December, when Georgia became an EU Candidate Country. We expect more FDI to flow into Georgia.
"My dear colleague - President Vucic - mentioned the connectivity. Of course, Georgia has a very important geo-political, strategic location and we are absolutely committed to the development of the so-called Middle Corridor, which is becoming a very interesting and attractive alternative route.
"Two years ago, we signed a very important Roadmap together with our colleagues from Kazakhstan and also from Azerbaijan. We - Kazakhstan, Azerbaijan, Georgia - have a very clear plan on how to develop this corridor. So, we know exactly what needs to be done. It means the expansion of ports, capacity, modernization of the railways, airports, road infrastructure, etc.," Irakli Garibashvili said.
The Prime Minister drew attention to the launch of the construction of a new deep sea port in Anaklia, also to railroad modernization.
"I will share with you the recent updates about these very important projects. This year we want to start the construction of a new deep sea port in Anaklia on the Georgian coast of the Black Sea. Also, railway modernization is in progress. It will be completed this year and its throughput capacity will be doubled in Georgia. It will reach more than 48 million tons. We are also going to start the construction of a new airport, because we want to position ourselves as an aviation hub. Because of its location, Georgia has a full potential to develop and position itself as an aviation hub as well.
"All the infrastructure projects, such as the roads and East-West Highway - everything is going to be completed this year and other important projects will also be completed in two years' time.
"I also want to mention the importance of China's interest in this alternative route - the so-called Middle Corridor. I had a very successful trip to China last year. I met with. President Xi Jinping and we decided to elevate our partnership to the strategic level. China's interest has been declared several months ago by President Xi Jinping regarding the Middle Corridor. I think it will give more impetus and more energy to the development of this corridor," the Head of Government pointed out.
Irakli Garibashvili publicly thanked all EU leaders who supported the historic decision to grant Georgia the EU candidacy status.
"So, once again, I want to take this opportunity and publicly thank all the EU leaders, who supported the historic decision to grant Georgia the candidacy status. This is a huge achievement of our Government, because since we came to power in 2012, we have made enormous efforts on our EU integration path, Association Agreement, Free Trade Agreement, Visa-Free [Arrangement] and now it has culminated in this historic decision and Georgia became an EU Candidate Country.
"Also, I want to mention very briefly that Georgia's economy since we came to power in 2012 has doubled in the USD denomination. In the last three years only, Georgia's GDP Per Capita doubled, because in 2020 it was 4250 USD, while this year it will be 8600 USD.
"This is a recent update about Georgia. So, once again thanks for giving me this opportunity to speak about our success story!" the Prime Minister stated.
The Head of Government also paid attention to the security situation in the South Caucasus.
"Regarding the security situation in the South Caucasus, first of all, of course you remember the occupation of our sovereign territory. Russia still occupies 20% of our territory and we discussed this yesterday. After the war with Russia in 2008, it built military bases and still continues to occupy 20% of our territory. But regardless of this security challenge, we managed to achieve an unprecedented and uninterrupted decade of peace and stability, which brought prosperity and economic growth to Georgia. Since we regained our independence, we have never experienced such a peaceful and stable situation in Georgia, like it is now.
"Regarding the neighboring countries - Azerbaijan and Armenia - we have a very close relationship and partnership with both countries. They are brothers and friends. I did try two years ago to mediate or facilitate. We successfully held the first mediation, when Azerbaijan released fifteen detainees and Armenia gave the maps of the mined territories to Azerbaijan. So, this was a successful attempt. It's a very complex situation. I understand that there are many players in this region and what I want to add to that is that I know the position of both leaders of Azerbaijan and Armenia. They want to deal with each other on a bilateral level. Personally, I think that this is the right thing to do, because with all these stakeholders and mediators, it sometimes becomes more conflicting and counter-productive. Therefore, I wish them all the best. I very much hope that they will find a solution and sign the Peace Agreement soon," Irakli Garibashvili said.
Alongside the Prime Minister, the panel discussion's participants included President of the European Bank for Reconstruction and Development (EBRD) Odile Renaud-Basso, President of the Republic of Serbia Aleksandar Vučić, Economy Minister of the Republic of Kazakhstan Alibek Kuantyrov, and Sabanci Holding CEO Cenk Alper.
The panel discussion was moderated by WEF Managing Director Mirek Dušek.
Press Service of the Government Administration