Georgia’s Parliament has adopted the 2026 state budget in its first reading, approving the bill with 80 votes in favor and nine against. The government plans to increase total spending to 30.9 billion GEL which is 2.9 billion GEL more than in 2025.
Health remains the largest budgetary priority: the Ministry of Health’s allocation will rise by 848.7 million GEL, reaching 9.66 billion GEL next year. Public sector salaries will also see a notable increase, with 117,000 civil servantsreceiving a combined 400 million GEL increase. Overall, payroll costs for ministries and LEPLs will total 3.4 billion GEL.
Security structures will receive higher funding as well. The Ministry of Defense is set to gain an additional 160 million GEL, the Ministry of Internal Affairs 152 million GEL and the State Security Service 128.5 million GEL. In contrast, two major civilian sectors, Education and Economy, will see reductions of 380 million GEL and 18.5 million GEL, respectively.
The budget is built on a 5% economic growth forecast and updated tax revenue expectations of 27.04 billion GELwhich is 240 million GEL more than the previous projection. Main tax streams include 9.05 billion GEL from income tax, 3.2 billion GEL from profit tax, 10.93 billion GEL from VAT, 2.7 billion GEL from excise duty, and 825 million GEL from property tax.
Privatization is expected to generate 350 million GEL. Meanwhile, Georgia will make 2.91 billion GEL in debt repayments, including 1.35 billion GEL toward Eurobond liabilities. After accounting for new borrowing, the government anticipates a net increase in debt of 2.15 billion GEL.
