Subsistence minimum for working-age male amounted to GEL 253.7 in May 2023, which was GEL 1.9 more compared to the same period of the last year, - show data from the National Statistics Office of Georgia (Geostat).
According to Geostat, in May, the subsistence minimum for the average consumer increased by GEL 1.7 compared to the previous month and amounted to GEL 224.7.
The increase in the subsistence minimum is related to high inflation. The annual inflation rate amounted to 1.5% in May 2023.
The subsistence minimum is calculated in Georgia since 1997. It was this year that Parliament passed a law that is still in force today. According to the law, the subsistence minimum is a social guideline used to determine the minimum amount of salaries, pensions, scholarships, allowances and other social benefits. Consequently, its amount has a significant political and social meaning.
The subsistence minimum is calculated through a special food basket, which was determined by the order of the Minister of Health on May 8, 2003. Moreover, the subsistence minimum is the only indicator of the value of food.
The subsistence minimum does not include the cost of utility bills, transportation costs and many other costs that all people have to pay. The current system is based solely on the value of food.
