According to IMF Georgia’s growth has slowed down, mostly as a result of lower productivity growth.
“Average productivity growth—measured with total factor productivity (TFP)—decreased from around 5 percent in 2004-08 to 1.5 percent in 2011-15. The years of high TFP growth were accompanied by marked improvements in the business and regulatory environments as well as robust growth in trading partners. Georgia climbed the rankings of the Doing Business Indicators1 reducing the distance to the frontier to about 20 percent in 2017. At the same time, Georgia was aided by growth in trading partners, which supported the country’s net exports. However, as the gains from the first wave of structural reforms declined and the external environment deteriorated after the 2008 global financial crisis, productivity growth in Georgia slowed down” - notes organization.
