Parliament has approved the 2026 state budget with 80 votes in favor and nine against. Government spending will rise by 2.9 billion GEL next year, reaching 30.9 billion GEL. The Ministry of Health remains the largest recipient, with its funding increasing by 848.7 million GEL to a total of 9.66 billion GEL.
Public sector salaries will also rise: 117,000 civil servants employed in ministries and LEPLs will receive a collective 400 million GEL increase, bringing total payroll costs to 3.4 billion GEL. Among security agencies, the Ministry of Defense will see its budget grow by 160 million GEL, the Ministry of Internal Affairs by 152 million GEL, and the State Security Service by 128.5 million GEL. In contrast, the Ministry of Education’s budget will decrease by 380 million GEL, while the Ministry of Economy will see an 18.5 million GEL reduction.
The 2026 budget is based on a 5% economic growth forecast. Updated tax revenue projections for next year amount to 27.04 billion GEL—240 million GEL more than previously estimated. Key tax categories include:
- Income tax: 9.05 billion GEL
- Profit tax: 3.2 billion GEL
- VAT: 10.93 billion GEL
- Excise duty: 2.7 billion GEL
- Property tax: 825 million GEL
Privatization revenues are projected at 350 million GEL. The budget also includes 2.91 billion GEL in debt repayments, including 1.35 billion GEL in Eurobond obligations, resulting in a net increase in liabilities of 2.15 billion GEL.
