Investment bank Galt & Taggart forecasts that Georgia’s economy will grow by 6% in 2026, while annual inflation is expected to remain around the National Bank’s target of 3%, according to the bank’s economist, Lasha Kavtaradze. He added that inflation is likely to start easing from spring 2026.
Kavtaradze explained that the projected growth is mainly driven by consumption, along with a rebound in government capital spending, which is expected to increase by around 9.3% next year. Improved consumer and investor sentiment under a stable Lari will also support economic expansion.
He noted that the National Bank is expected to reduce the monetary policy rate by approximately 0.5 percentage points in 2026, further contributing to growth. Kavtaradze also highlighted that currency stability will help maintain moderate inflation, with the Lari averaging 2.7 per USD and 3.13 per EUR.
Currently, forecasts for Georgia’s economic growth in 2026 range around 5–6%, with Galt & Taggart’s 6% estimate reflecting an optimistic scenario supported by consumption, investment, and currency stability.
