Georgia’s Prime Minister Irakli Kobakhidze has said that despite high growth rates, the country’s economy still lags significantly behind even the poorest European Union nations, News.Az reports, citing Georgian media.
“Our economy is developing very rapidly. Over the past four years, our nominal economy has doubled in dollar terms and continues to grow. We have the highest growth rates in Europe, averaging 9.7% since 2021, and this year growth is nearly 8%, but of course, this is not enough,” he said in parliament while responding to questions from lawmakers of the ruling Georgian Dream party.
Kobakhidze added that the level of development of Georgia’s economy remains relatively low, although per capita income will exceed $10,000 for the first time this year. “However, we are still behind all EU countries, even the poorest, by roughly 30–40%,” he said.
The prime minister also noted that around 350,000 citizens live below the poverty line, while 671,300 people — 18.1% of the population — receive social benefits.
Kobakhidze also discussed the implementation of projects by UAE-based Eagle Hills, the largest single foreign investment in Georgia’s history, valued at $6.6 billion. According to the prime minister, the country’s economic weakness underscores the importance of the project.
“One of the main interests of the government and any responsible citizen should be the development of the economy and the maintenance of growth. We cannot afford to turn down any investment project, especially if it is a flawless project without shortcomings,” he said.
Eagle Hills’ projects, which include the construction of residential and tourist infrastructure in the Krtsanisi forest park near Tbilisi and in Gonio, have faced criticism from the opposition. Critics cite concerns over a lack of transparency, potential loss of state asset control, environmental risks, and possible demographic impacts.