Georgia: 2026 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Georgia

Georgia’s economic performance remains strong, with spillovers from the war in the Middle East limited to tourism and commodity prices. Growth is robust but set to moderate toward potential. Headline inflation has risen above target, with a modest overshoot in core inflation. The external position has strengthened, fiscal policy remains disciplined, and the financial sector is sound. Despite recent improvements, structural challenges persist, notably high youth unemployment and income inequality. Thanks to strong fundamentals and policy buffers, Georgia is well-positioned to navigate external volatility. Policies should prioritize preserving macro‑financial stability and hard‑won credibility, while accelerating structural reforms to support job‑rich growth.