On December 18, 2013, ISET hosted the second event in a series of discussions on the topic of inclusive growth. The topic of the event was Modernization of Vocational Education and Training (VET) and Extension Systems related to agriculture in Georgia.

While ISET’s Khachapuri Index continues to climb up in a perfectly predictable fashion – driven by the seasonal increase in the price of cheese – a bit of drama is being provided by the ups and downs in the price of eggs. According to ISET data, egg prices, which for a couple of years hovered around 29 tetri a piece, suddenly collapsed in June and July 2013 to a minimum of about 26 tetri.

2013 was a challenging period for Georgia. Elections, political and policy instability contributed to the significant slowdown in economic growth. Apart from the internal factors, external factors also contributed to the slowdown. According to the International Monetary Fund (IMF) data, world economic growth has decreased from 3.2% to 2.9% and IMF forecasts that the world will catch higher growth rates in the following years.

On November 13, 2013, ISET hosted a presentation of the preliminary results of “Support in Economic Policy Analysis Using CGE Modeling in Georgia,” an ISET Policy Institute project that started in December 2012 with the financial and technical support of GIZ’s Private Sector Development Program South Caucasus.

In our last week’s article, we examined Georgia’s economic growth in the 12 months before the 2012 parliamentary elections. In particular, we reviewed the popular argument that much of this economic growth was driven by the “political business cycle” effect of public (over)spending prior to the elections.