ISET reports that business confidence in Georgia fell by 8.8 index points, reaching -5.0 in Q1 2025, largely attributed to weak performances and unfavorable expectations in all sectors, especially in services and agriculture.
Primary insights from the report:
- Service Sector Impact: Business confidence in services dropped by 21.5 points, the largest decline across sectors.
- Past Performance Index: Fell by 22.4 points to -18.6, with agriculture (-50.0) and services (-30.8).
- Expectations Index: Dropped to -9.9, driven by worsened projections for agriculture (-50.0) and services (-31.0).
- Sales Price Expectations: Increased by 6.9 points to 20.0 due to higher anticipated prices over the next three months.
Challenges:
- Large Companies: Struggle with a lack of qualified workers and “other” unspecified challenges.
- SMEs: Face reduced demand and a shortage of skilled workers.
