According to the preliminary statistics released by GeoStat, Georgia’s real GDP contracted by 3.8% year over year (y/y) in Q3 2020. As a result, the estimated real GDP declined by 5.0% in the first nine months of 2020, which is in line with the International Monetary Fund’s (IMF) and National Bank of Georgia’s (NBG) latest projections of -5% y/y (from October and November correspondingly).

Food supply systems are crucial to the economies of most developing countries, supplying the largest share of food production, and constituting livelihoods and a key source of income for the majority of the population (FAO, 2020). It is therefore vital to maintain the steady flow of goods and services required from local and international food supply chains to ensure the health of the population, and to protect their incomes and livelihoods.

The average cost of cooking one standard portion of Imeretian khachapuri stood at 4.62 GEL in November 2020. This is 4.5% higher MoM (compared to October 2020), and 12% higher YoY (in comparison to November of 2019). The index maintaining an upward trend at this time of the year is typical and relates to the increasing price of cheese (due to the reduced supply of fresh milk).

Many of us well-remember the cold winter of 2006 when the Russian Federation cut its natural gas supply to Georgia. In general, it is clear that diversification in energy import markets reduces the risk of socio-economic shocks following political tensions with other countries. Fortunately, Georgia managed to find an alternative to the Russian supply and started importing gas from Azerbaijan. This blog will review the current gas import situation and discuss the expected trends in natural gas supply security.

The Law of Georgia on Energy and Water Supply, adopted in December 2019, envisages certain general provisions concerning vulnerable customers. The Law states that the Georgian government and local government bodies, in consultation with other interested parties, shall develop special programs/measures/benefits to ensure the supply of electricity and natural gas for vulnerable customers.