**Economic Growth in Georgia to Slow Down**
A recent survey by Policy and Management Consulting Group (PMCG) Research has shown that Georgian economists expect a significant slowdown in economic growth for 2025. The survey, conducted in December 2024, predicts a 3.6% real GDP growth rate, which is a 4.9 percentage point decrease from 2024.
**Concerns Over Politics and Exchange Rates**
The surveyed economists are most concerned about political instability and exchange rate fluctuations affecting Georgia’s economy in 2025. They also predict that trade volumes will decrease in the next six months, with both exports and imports expected to go down compared to the same period in 2024.
**Impact of EU Membership Talks Suspension**
The suspension of EU membership talks until 2028 is expected to have negative implications for Georgia‘s economy. According to the survey, 71% of respondents expect “very negative” effects, while 29% anticipate “negative” impacts. The suspension is predicted to most severely affect international aid and development assistance, FDI inflows from Western countries, and the domestic business environment.
**Looking Ahead: Challenges in 2025**
For 2025, the survey ranks political instability as the most significant challenge to economic growth, followed by exchange rate fluctuations and weaker domestic demand. Economists expect domestic factors to have a greater impact than global ones, with regional military conflicts receiving the lowest score.
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