Business Sector Turnover up by 18.6% in Q1

The turnover of the business sector in the first quarter of 2018 increased by 18.6% compared to the same period of the previous year and totaled 18 billion GEL.

The information was released by the National Statistics Office of Georgia (Geostat), according to which the revenue of small and medium enterprises has increased by 20%. Medium enterprises achieved increases by 20.5% and turnover of small enterprises by 19.6%.

Georgia’s Vice-Prime Minister and Minister of Economy and Sustainable Development, Dimitry Kumsishvili, said the number of jobs in the business sector has increased by 5.3% since last year as a result of the increased turnover in this field.

“Compared to the first quarter of 2017, the average monthly salary this year has increased by 8%, amounting to an average 1106 GEL,” the Minister stated while presenting the data.

He added that the highest contribution to growth of jobs created in the business sector comes from trade 5.1%, construction 7.5%, the processing industry 3.7%, and transportation and warehousing 5.4%.

The Minister noted that gross revenue has increased in practically all fields: trade turnover was up by 16.7%, art, entertainment and leisure saw a 57% increase, a 16.7% growth was seen in manufacturing and a 14.8% growth in construction.

Georgia’s Prime Minister, Giorgi Kvirikashvili, stated at the governmental session on Friday that the first quarter of 2018 continues quite positive trends in terms of turnover, production, and employment growth in the business sector.

“We are all very pleased that a significant economic growth rate has been recorded in the ongoing period of 2018. A few days ago, the economic growth indicators for April 2018 were published, showing a 6.5% growth, while the average indicator of the economic growth in the first four months is 5.5%,” he added.

The PM noted that Georgia observes the results of an unprecedented growth of tourist inflow, adding the growing tourism trends have the greatest impact on the public.

“The State will do its best to invest greater effort in this direction. We are keeping last year's positive growth, and in the first five months of this year, the number of tourists is up 23.5%, which is a very important indicator. Revenues from tourism are up 28.4% in the first four months,” he stated.

“It is very important for our population to have the right and realistic hope that we are on the right track, and that this path can make it possible for Georgia to defeat poverty once and for all,” Kvirikashvili added.

By Thea Morrison

11 June 2018 20:21