Georgia Resident Representative Site
Resident Representative Office in Georgia
This web page provides information on the activities of the Office, views of the IMF staff, and the relations between Georgia and the IMF. Additional information can be found on Georgia and IMF country page, including official IMF reports and Executive Board documents in English that deal with Georgia.
News — Highlights
The Caucasus and Central Asia (CCA) region continues to deal with a wave of external shocks according to Azim Sadikov, IMF Resident Representative in Georgia who presented the IMF’s latest regional assessment on October 30, 2015. These shocks—a sharp drop in commodity prices, the slowdown in Russia, a plunge in the value of the Russian Ruble, and a strengthening of the U.S. dollar—have weakened economic prospects in the region. The shocks are likely to be long lasting, and hence the region needs to adjust to the new realities. Greater exchange rate flexibility can help buffer shocks, prevent reserve drawdowns, and protect competitiveness. Where external stability is a concern, fiscal policy needs to stay tight. Monetary policy should continue to focus on anchoring inflation expectations, mindful of its impact on the financial sector and output. Sustained inclusive growth hinges on reforms to remove key structural impediments to vibrant private sector development. Representatives of the Georgian government, the National Bank of Georgia, the business community, the diplomatic corps, the civil society, and the press attended the presentation and participated in discussions.
The Caucasus and Central Asia (CCA) region is facing new, likely long-lasting, realities, according to Azim Sadikov, IMF Resident Representative in Georgia who presented the IMF’s latest regional assessment on June 12, 2015. The region’s economies have been hit by a combination of lower commodity prices, sharp slowdown in Russia, and the worldwide strengthening of the U.S. Dollar. The near-term priorities center on preserving macro-financial stability while shoring up growth. Greater exchange rate flexibility can help buffer shocks, prevent reserve drawdowns, and protect competitiveness. Over the medium term, the region needs to embark on fiscal consolidation to rebuild depleted buffers and on deep structural reforms to raise growth and make it more inclusive and diversified. Representatives of the Georgian government, Parliament, the President’s administration, the National Bank of Georgia, the business community, the civil society, and the press attended the presentation and participated in discussions.
Georgia and The IMF
April 6, 2015
Program Note on Georgia
Georgia: First Review Under the Stand-By Arrangement and Request for Modification of a Performance Criterion-Staff Report; and Press Release
January 20, 2015
Series: Country Report No. 15/17
Caucasus and Central Asia
Economic activity in the Caucasus and Central Asia (CCA) will continue to decelerate in 2015 mainly as a consequence of lower commodity prices and spillovers from Russia's slowdown. Where fiscal space and available financing allow, temporary fiscal easing would help economies respond to weakening demand and declining remittances. Over the medium term, fiscal consolidation is needed to rebuild depleted buffers and adjust spending plans to the new regional and global economic context. In light of the depreciation of the ruble and the appreciation of the dollar, greater exchange rate flexibility would ease pressure on reserves while helping oil exporters adjust to lower oil prices. Monetary policy may need to be tightened to keep inflation expectations anchored in the face of weakening currencies. Over the medium term, deep structural reforms, particularly to improve the business climate and governance, would raise prospects and make economic growth more inclusive and diversified.