Georgia : Adjusting in the Face of Uncertainty

Economic growth picked up in the final quarter of 2013 as policy uncertainty was reduced, confidence strengthened, and budget execution substantially increased. Surge in spending in the last quarter of the year partially offset sluggish outlays earlier to leave the fiscal deficit for 2013 as a whole at 2.6 percent of gross domestic product (GDP), a marginal improvement from 2012. There was a substantial increase in spending in the fourth quarter, although annual expenditures continued to be 8 percent below the budgeted amount. Revenue collections were also low due to subdued economic activity. Although the fiscal deficit is expected to increase to 3.8 percent of GDP in 2014, it should decline thereafter given the government's commitment to fiscal consolidation. The current account deficit narrowed in 2013 as exports picked up, especially to Russia and the Commonwealth of Independent States (CIS), while imports languished due to weak investment and consumption. The unemployment problem persisted with a net decline in business sector jobs by 5 percent during the first three quarters of 2013. In this context, the report presents political developments; recent economic developments; and economic and structural policies.

Bibliographic Details

Main Author:	World Bank
Language:	English en_US
Published:	Washington, DC 2014-03-01
Subjects:	ACCESS TO FINANCING, ACCOUNTING, ACCOUNTING STANDARDS, ANNUAL EXPENDITURES, ARREARS, BALANCE OF PAYMENTS, BANKING SECTOR, BENEFICIARIES, BUDGET EXECUTION, BUDGET EXPENDITURE, CAPACITY BUILDING, CAPITAL ACCOUNT, CAPITAL ADEQUACY, CAPITAL EXPENDITURE, CAPITAL EXPENDITURES, CAPITAL GRANTS, CENTRAL AUTHORITIES, CENTRAL BANK, CENTRAL GOVERNMENT, CENTRAL GOVERNMENT AUTHORITIES, CENTRAL TAX ADMINISTRATION, CITIES, COMMERCIAL BANK, COMMERCIAL BANK LOANS, CONSUMER LOANS, CONSUMER PRICE INDEX, CONSUMPTION EXPENDITURE, CREDIT GROWTH, CREDIT LINE, CREDIT MARKET, CURRENCY, CURRENT ACCOUNT DEFICIT, DEBT, DEBT SERVICE, DEBT SUSTAINABILITY, DECENTRALIZATION, DEPOSIT, DERIVATIVES, DEVELOPING COUNTRIES, DISTRICT, DISTRICT LEVEL, DISTRICT MUNICIPALITIES, DISTRICTS, DOMESTIC BORROWING, DOMESTIC CAPITAL, DOMESTIC CAPITAL MARKETS, DOMESTIC CREDIT, DOMESTIC DEBT, ECONOMIC DEVELOPMENT, ECONOMIC DEVELOPMENTS, ECONOMIC GROWTH, EQUIPMENT, EUROBOND, EXCHANGE RATE, EXPENDITURE, EXPENDITURE DECENTRALIZATION, EXPENDITURE NEEDS, EXPENDITURE PRIORITIES, EXTERNAL DEBT, EXTERNAL FINANCING, FEDERAL RESERVE, FINANCIAL MANAGEMENT, FINANCIAL MARKETS, FINANCIAL STATEMENT, FINANCIAL STATEMENTS, FINANCIAL SYSTEM, FISCAL BALANCE, FISCAL CONSOLIDATION, FISCAL DEFICIT, FISCAL DISCIPLINE, FISCAL POLICY, FISCAL SPACE, FISCAL SUSTAINABILITY, FLEXIBLE EXCHANGE RATE, FOREIGN CURRENCY, FOREIGN DIRECT INVESTMENT, FOREIGN DIRECT INVESTMENTS, FOREIGN EXCHANGE, FOREIGN EXCHANGE MARKET, FOREIGN INVESTMENTS, GOVERNMENT EXPENDITURES, GOVERNMENT FINANCING, GOVERNMENT INVESTMENTS, GOVERNMENT SPENDING, GROSS DOMESTIC PRODUCT, HEALTH CARE, HUMAN CAPITAL, HUMAN CAPITAL DEVELOPMENT, HUMAN DEVELOPMENT, IMMOVABLE PROPERTIES, INCOME LEVELS, INCOME TAX, INCOME TAXES, INFLATION, INSURANCE, INTELLECTUAL PROPERTY, INTEREST PAYMENTS, INTEREST RATE, INTEREST RATES, INTERGOVERNMENTAL FISCAL RELATIONS, INTERGOVERNMENTAL FISCAL TRANSFERS, INTERMEDIATION, INVESTMENT CLIMATE, INVESTMENT FUNDS, INVESTMENT RATE, INVESTOR CONFIDENCE, ISSUANCE, ISSUANCE OF TREASURY BILLS, LABOR MARKET, LABOR MARKETS, LENDING PORTFOLIO, LEVIES, LOAN, LOAN DEMAND, LOCAL CURRENCY, LOCAL EXPENDITURES, LOCAL GOVERNMENT, LOCAL GOVERNMENTS, LOCAL INFRASTRUCTURE, LOSS OF REVENUES, MACROECONOMIC ENVIRONMENT, MACROECONOMIC STABILITY, MARKET CONDITIONS, MARKET DISCIPLINE, MARKET FAILURES, MAYORS, MEDIUM-TERM GROWTH, MINISTRY OF FINANCE, MONETARY AUTHORITIES, MONETARY FUND, MONETARY POLICY, MOVABLE PROPERTY, NATIONAL BANK, NATIONAL INCOME, NATIONAL SAVINGS, NON-PERFORMING LOANS, NPL, OLD-AGE PENSIONS, PENSION, PENSIONS, PERSONAL INCOME, POLICY CHANGES, POLICY FRAMEWORK, POLICY INTERVENTIONS, POLICY PRIORITY, POLICY UNCERTAINTY, PORTFOLIO, PORTFOLIO INVESTMENT, POVERTY RATE, PRIVATE CONSUMPTION, PRIVATE CREDIT, PRIVATE INVESTMENTS, PRIVATE SECTOR, PROGRAMS, PROPERTY RIGHTS, PUBLIC CONSUMPTION, PUBLIC DEBT, PUBLIC DEBT SERVICE RATIO, PUBLIC EXPENDITURE, PUBLIC EXPENDITURE REVIEW, PUBLIC EXPENDITURES, PUBLIC FINANCE, PUBLIC FINANCIAL MANAGEMENT, PUBLIC INVESTMENT, PUBLIC INVESTMENTS, PUBLIC SECTOR DEBT, PUBLIC SPENDING, REAL EXCHANGE RATE, RECURRENT EXPENDITURES, REMITTANCES, REPAYMENT, RESERVES, RETURN, RETURN ON ASSETS, REVENUE ASSIGNMENT, REVENUE AUTONOMY, REVENUE BASE, REVENUE COLLECTIONS, REVENUE MOBILIZATION, REVENUE SHARING, REVENUE SHORTFALL, REVENUE STRUCTURE, SAFETY NETS, SETTLEMENT, SOCIAL ASSISTANCE, STRUCTURAL POLICIES, STRUCTURAL REFORMS, SUBNATIONAL, SUBNATIONAL EXPENDITURE, SUBNATIONAL EXPENDITURES, SUBNATIONAL GOVERNMENT, SUBNATIONAL GOVERNMENTS, SUSTAINABILITY ANALYSIS, TAX, TAX ADMINISTRATION, TAX BASE, TAX CODE, TAX RATE, TAX RATES, TAX REVENUE, TAX REVENUES, TAX SYSTEM, TAXABLE INCOME, TOTAL EXPENDITURE, TOTAL EXPENDITURES, TOWNS, TRADE BALANCE, TRADING, TRANSPARENCY, TREASURY, TURNOVER, WEAK BUDGET EXECUTION,
Online Access:	http://documents.worldbank.org/curated/en/2014/03/19458025/georgia-adjusting-face-uncertainty https://hdl.handle.net/10986/18640
Tags:	Add Tag No Tags, Be the first to tag this record!