Once considered the most dynamic sector of the Georgian economy, the banks have recently become a target for fierce criticism by Georgian policymakers and the media.
It is a commonly accepted view that corruption is bad for economic growth. It leads to an inefficient allocation of resources by contradicting the rules of fair competition and by setting wrong incentives.
How can a society become more prosperous? This question has been on the minds of economists and policymakers for centuries.
If you follow modern Georgian electronic media, you have definitely noticed a strange tendency of publishing news pieces based on people’s posts and status updates on Facebook.
During the past 18 months, Georgian consumers have been enjoying an unprecedented period of price stability. Ever since May 2011, when inflation peaked given the state of frenzy in the global commodity markets, inflation has literally come to a halt: since early 2012, monthly inflation rates are fluctuating around the zero trends.