The budget will be planned by 4.3% economic growth - the Minister of Finance, Vano Machavariani, said after the government session.
He hoped that the economic growth forecast would return to 5%, although the government was cautious and planned at 4.3% before that.
"Recently, we forecast 5% economic growth, but we came down to 4.3%, which is caused by a pandemic both in Georgia and around the world. We all know that restrictions on movement, restrictions on international trade hinder the economy. Reliable information about the vaccine comes from reliable sources. This gives us hope that the 4.3% growth forecast will return to the 5% growth forecast.
However, we must be careful, and the budget will be planned at 4.3%. The deficit parameter will remain high, as in 2021, it will be important to maintain both the fiscal stimulus and the high health care spending that characterized 2020. This includes the costs of quarantine, treatment, and tests, as well as the cost of the vaccine, which will probably be the most efficient cost we have incurred recently," Vano Machavariani said.
According to him, the government will present the updated budget parameters to the parliament before November 30.
