What is the economic situation of the northern neighbors?
News_Code: 355114 4/4/2021 12:26:31 PM
What is the economic situation of the northern neighbors?
The economic growth of Georgia and Armenia remained negative according to the Trading Economics.
 

According to the Georgian Statistics Center, the country's economic growth has remained in the negative range; In the twelve months to February, the country's economic growth rate increased by 6.4 percent compared to the same period last year reached minus 5.1 percent, which is one of the lowest seasonal growth recorded in the country's recent history.

Among the various sectors, recreation and entertainment had the worst performance with a negative growth of 18.4%, followed by construction with a negative growth of 15.9% and transportation with a negative growth of 14.1%. On the other hand, the best performance during this period was related to the agricultural sector, which grew by 3.2 percent.   

Georgia's average annual economic growth in the period 2012 to 2020 was 3.05 percent, with the highest recorded figure of 13.9 percent growth in the fourth quarter of 2013 and the lowest negative growth of 13.2 percent in the second quarter of 2020.

On the other hand, the economic growth of the other northern neighbor, Armenia, remains at a disappointing level; The country's GDP growth in the fourth quarter of the year fell to negative 8.8 percent, which is 1.2 percent less than the previous seasonal growth of the country and one of the worst seasonal performance in the last 11 years.

Among the various sectors, the services sector with a negative growth of 49.9 percent had the greatest impact on this figure. The highest growth during this period was related to construction with 14.4%. The Armenian economy is under great pressure as a result of the six-week war with the Republic of Azerbaijan. 

Between 1998 and 2020, the lowest recorded quarterly growth was 19.7 percent, and the highest recorded growth was 19.1 percent.