According to the investment bank, last month the export volume to Turkey amounted to only 36.2 GWh (compared to 172.3 GWh in May 2025), and the income received - $1 million (compared to $7.8 million in the same period last year). The researchers explained that the decline was also due to falling prices - in May, the average export price to Turkey was 2.7 US cents per kWh, which is a decrease of 39.4% year-on-year.Such a decrease in export price, volume and revenue is associated with a sharp decline in prices on the Turkish market. In May 2026, the average electricity price on the Turkish market was 1.8 US cents/kWh (vs. 6.4 US cents/kWh in May-25). Such a low price significantly reduces the economic attractiveness of exports, as exporters also had to cover system-related costs, including transmission tariffs and guaranteed capacity fees.According to the Galt & Taggart study, the difference between the Turkish market price and the average export price from Georgia is likely related to the hourly/daily structure of exports and direct contracts.The decrease in electricity prices in Turkey, in turn, is related to the construction of solar power plants and favorable hydrological conditions.In May, only four companies exported to Turkey: Adjara-Energy 2007 LLC, Energy Development Georgia LLC, Svaneti Hydro LLC, and Kasleti-2 LLC. Despite the low market prices, the continued exports may be related to both the existing transmission and dispatch agreements and the individual contractual conditions of the companies.In addition to Turkey, exports were also recorded in Azerbaijan on the balance sheet, although these were not commercial exports. The mentioned synchronous volume was a technical exchange carried out for parallel operation with Azerbaijan and was balanced by imports of the same volume and value. Since April 2026, the accounting methodology has changed and this exchange, which was previously reflected as a net in the balance, is now recorded in imports and exports.Balancing market and pricesThe average price of balancing electricity in May increased by 3.5% year-on-year and amounted to 5.1 US cents per kWh.In addition, the balancing volume increased by a negligible 0.7% year-on-year and amounted to 0.3 TWh, which represents 23% of the total supply.On June 12, 2026, an amendment was made to the grid rules, according to which: The transmission system operator is obliged to cancel the grid connection agreements for power plant projects that do not have a confirmation from the Ministry of Economy that they are at the stage of feasibility study or construction. Electrosystem will request this information from the Ministry by August 1. Project developers have the right to appeal the decision made by Electrosystem within 10 working days. Canceled projects will be refunded the paid grid connection fee. An agreement signed with the government on project development or a written confirmation from the Ministry has become mandatory for applications for connecting a new generation facility to the Energo-Pro and Telasi grids. This amendment aims to bring the power plant construction process into a single framework and release reserved capacities at grid connection points.

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According to the document, last month, domestic consumption increased by 3.8% year-on-year and amounted to 1.1 TWh, however, due to a sharp decline in exports, total demand in the market decreased by 8.6% (to 1.2 TWh). The investment bank explains that May is historically an export month, which is due to the seasonality of hydropower plants, however, due to the forced limitation of generation this year, local production has decreased by 9.5% annually.The sharp decline in exports was caused by a decrease in prices on the Turkish market to a historical minimum - an average of 1.8 US cents/kWh - which, as Galt & Taggart researchers note, is associated with favorable hydrological conditions and an increase in solar generation. The increase in solar capacity in Turkey may maintain pressure on summer prices in the future, although the effect will also depend on market and hydrological conditions.According to data from the 5 months of 2026, local electricity consumption in Georgia increased by 6.1% annually and amounted to 6.2 TWh. The share of imports and thermal generation in total supply was 36.3% (vs. 31.1% in 5 months of 2025). Increased import dependence in January-April and reduced exports in May highlight Georgia's seasonal challenges.Overall, the 2026 data indicate the need to develop generation facilities that respond to Georgia's seasonal challenges, such as reservoir hydropower plants and wind farms. In addition, the data highlight the importance of developing energy storage and export infrastructure.Domestic consumption growth in all categoriesAccording to the Galt & Taggart study, domestic consumption increased by 3.8% annually and amounted to 1.1 TWh. Annual growth was recorded in all segments: Abkhazia region: +6.6% Direct consumers: +5.8% Retail consumers: +2.1% The increase in consumption is associated with both climatic factors and the activation of energy-intensive enterprises.In addition, in May 2026, hydropower generation decreased by 9.9% annually and amounted to 1.2 TWh, which is 97.5% of total supply. The decrease is associated with climatic conditions and, at the same time, generation restrictions imposed by the system operator. These restrictions became necessary to protect the balance between demand and supply. Without generation restrictions, supply would exceed demand, including the local market and exports.There is no publicly available information on the exact scope of the restrictions implemented in May.Wind and solar generation grew by 55.8% year-on-year, although its share in total supply was still a small 1%. The increase is associated with the commissioning of the 18.7 MW “Zemo Wind Station” in April and new solar plants added by the end of 2025 (totaling 10.8 MW).Thermal plants, in accordance with the seasonality characteristic of May, were not operating.Galt & Taggart researchers expect generation restrictions to continue in June-July, although to a lesser extent, because:Historically, June and July are characterized by less surplus than May.ESCO has signed a barter agreement with Turkey, within the framework of which it will export electricity to Turkey during May-July, and import in September-November. This transaction will increase the volume of exports and aggregate demand, thereby reducing generation constraints in the June-July period.The export volume to be implemented under the barter will be purchased by ESCO at 4.021 tetri per kWh from power plants that would otherwise have to curtail generation (as a result of the GSE decree). The exact commercial terms of the barter agreement, including the proportion of exports and offset imports, are not publicly known.

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For this purpose, in 2025, a special structure was created in the government administration - the Department of Government Efficiency. The main task of this department is to assess the effectiveness of state programs, large infrastructure projects and procurements, as well as monitor their implementation. The Prime Minister emphasized that each public resource should bring maximum benefit to citizens, which is why special attention is paid to the further development of the state procurement system.The largest indicators in the direction of optimizing governance and administrative costs were recorded in the Ministry of Economy and Sustainable Development.According to Kobakhidze, as a result of the reforms implemented since 2025, the total savings achieved in the agency reached GEL 845 million. Of this amount, GEL 60 million are annual savings obtained directly from the reduction of 2,422 staff units, while the remaining GEL 785 million were saved by the ministry through the review and improvement of ongoing projects, state procurements, and existing contractual terms."In parallel with practical reforms, the government has also implemented significant legislative changes, which have increased the transparency and competitiveness of the public procurement system," Kobakhidze said.New legal mechanisms, on the one hand, facilitate more active involvement of small and medium-sized businesses (SMEs) in public tenders, and on the other hand, ensure more responsible and result-oriented management of budget funds. The Prime Minister also noted that the institutional modernization of the civil service is underway, where about 45,000 people are currently employed. To ensure the openness of personnel policy, about 3,500 vacancies were published on the unified electronic employment platform last year alone, and more than 1,400 young people gained their first professional experience through the paid internship program.In his speech, Irakli Kobakhidze focused on the close connection between institutional reforms and macroeconomic dynamics. According to him, in 2021-2025, Georgia's average annual economic growth rate amounted to a high mark of 9.3%, and according to preliminary data for the first four months of 2026, real GDP growth is within 8.3%.In addition, the Head of Government noted that according to the forecasts of the International Monetary Fund (IMF), Georgia will remain one of the fastest growing economies in Europe and the region in the medium term, the foundation of which is created precisely by effective state institutions and consistent economic policies.

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“As of October 1, 2024, land under perennial plantations covered 176,000 hectares, exceeding the corresponding 2014 figure by 60.6 per cent.According to the 2024 agricultural census, the total area of agricultural land as of October 1, 2024, amounted to 809,100 hectares, surpassing the 2014 figure by 2.7 per cent. Arable land in use by holdings was recorded at 325,200 hectares, a decrease of 13.8 per cent on 2014, whilst the area of meadows and pastures stood at 305,600 hectares, marginally above the 2014 figure of 300,000 hectares by 1.9 per cent. As regards additional land categories, uncultivated land in use by agricultural holdings amounted to 116,900 hectares, land occupied by buildings and yards to 46,300 hectares, and greenhouse area to 2,300 hectares as of October 1, 2024.According to the 2024 agricultural census, the total number of grapevines on agricultural holdings in Georgia stood at 164.7 million, of which 96.4 per cent were fruit-bearing.According to the 2024 agricultural census, the number of cattle on agricultural holdings was recorded at 841,000 head, a decrease of 15.0 per cent compared with 2014. The number of cows stood at 412,500 head, down 18.3 per cent on 2014. The sheep population also declined by 25.4 per cent, from 944,000 to 704,400 head. Buffalo numbers fell by 22.8 per cent, whilst the pig population increased by 12 per cent. Poultry numbers grew by 18.9 per cent.As of 2024, agricultural holdings kept 191,500 bee colonies (hives), exceeding the corresponding 2014 figure by 27,600 (16.9 per cent),” reads the GeoStat report.

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As of November 14, 2024, Georgia’s population stood at 3,929,581, representing an increase of 5.8 per cent (215,777 persons) compared with the 2014 census figure of 3,713,804.According to the 2024 census results, the urban population numbered 2,455,444 (62.5 per cent), whilst the rural population stood at 1,474,137 (37.5 per cent). The urban population grew by 15.7 per cent (332,821 persons), whereas the rural population declined by 7.4 per cent (117,044 persons). As a result, the urban-rural balance shifted markedly compared with 2014, with the urban share of the total population rising by 5.3 percentage points to reach 62.5 per cent.The population of Tbilisi was recorded at 1,331,485, exceeding the 2014 census figure by 20.1 per cent (222,768 persons).Compared with 2014, the most significant population increases outside Tbilisi were recorded in the Autonomous Republic of Adjara (20.7 per cent) and the Kvemo Kartli region (4.2 per cent). All other regions saw population declines, with the steepest falls recorded in Guria (9.7 per cent) and Samegrelo-Zemo Svaneti (7.6 per cent). Notable decreases were also observed in Racha-Lechkhumi and Kvemo Svaneti (6.8 per cent), Kakheti (4.6 per cent), and Imereti (4.3 per cent).At the municipal level, the highest growth rate was recorded in Batumi, where the population increased by 54.2 per cent to reach 235,668. Significant growth was also observed in the municipalities of Kazbegi (28.8 per cent), Lentekhi (17.5 per cent), and Marneuli (11.0 per cent). Positive trends were likewise recorded in Kutaisi (9.0 per cent) and Rustavi (5.6 per cent).The most pronounced population declines compared with 2014 were registered in the municipalities of Khulo (29.9 per cent) and Shuakhevi (26.2 per cent). Downward trends were also observed in Tsageri (18.2 per cent), Tskaltubo (15.1 per cent), and Tkibuli (14.9 per cent).Age and sex compositionAccording to the 2024 census, 47.9 per cent of Georgia’s population are male (1,881,004) and 52.1 per cent are female (2,048,577). Compared with 2014, the share of the population aged 65 and over rose by 3.3 percentage points to 17.6 per cent (692,700 persons). The 0–14 age group increased its share by 1.0 percentage point to 19.6 per cent (770,823 persons), whilst the 15–64 age group saw its share fall by 4.3 percentage points to 62.8 per cent (2,466,058 persons).CitizenshipThe number of Georgian citizens rose by 2.5 per cent compared with 2014, reaching 3,775,415; however, their share of the total population declined from 99.2 per cent to 96.1 per cent over the inter-census period. The number of foreign nationals permanently residing in Georgia stood at 133,857.Among foreign citizens, the top five groups by country of origin were: the Russian Federation (37,715), India (23,925), Ukraine (11,542), Azerbaijan (8,309), and Armenia (5,381).Ethnic compositionAccording to the 2024 census, the number of ethnic Georgians increased by 2.5 per cent compared with 2014, reaching 3,304,075. Their share of the total population, however, declined from 86.8 per cent to 84.1 per cent. Azerbaijanis constitute the second-largest ethnic group at 268,832 persons (6.8 per cent), representing an increase of 15.4 per cent, whilst ethnic Armenians form the third-largest group at 169,296 persons (4.3 per cent), up 0.7 per cent on the 2014 census.The ethnic Russian population grew by 60.8 per cent over the inter-census period, reaching 42,545. The number of ethnic Indians rose from 446 to 23,996, whilst the Ukrainian community increased by 139.4 per cent to 14,443. The Arab population grew from 609 to 12,533, Belarusians from 431 to 4,558, and Iranians from 217 to 4,304.The Abkhaz population grew by 5 per cent to 907 persons. Meanwhile, the Ossetian population decreased by 12.3 per cent to 12,611, and the Yazidi community fell by 7.0 per cent to 11,324.ReligionAccording to the 2024 census, 82.0 per cent of Georgia’s population (3,223,206 persons) identify as Orthodox Christians, a figure 4.1 per cent higher than in 2014. Over the inter-census period, however, their share of the total population edged down from 83.4 per cent to 82.0 per cent.The number of Muslims reached 437,458 (11.1 per cent of the total population), exceeding the corresponding 2014 figure by 9.7 per cent. The number of adherents of the Armenian Apostolic Church declined by 6.7 per cent to 101,736. The number of Catholics remained broadly unchanged, whilst the number of Jehovah’s Witnesses fell by 13 per cent to 10,787.Mother tongueAccording to the 2024 census, Georgian is the mother tongue of 85.1 per cent of the population (3,343,987 persons). Compared with 2014, the number of Georgian speakers increased by 2.7 per cent, though their share of the total population declined from 87.6 per cent to 85.1 per cent.Azerbaijani ranks second as a mother tongue, cited by 265,534 people (6.8 per cent), representing a 14.7 per cent increase on 2014. Armenian is listed as the mother tongue by 139,438 persons (3.5 per cent), a figure 3.7 per cent lower than the previous census.Over the same period, the number of Russian speakers increased by 18.6 per cent to 54,460. Ossetian was recorded as the mother tongue by 3,839 persons, a decrease of 32.6 per cent on the 2014 figure. Abkhaz was cited as the mother tongue by 370 persons, an increase of 36.0 per cent on the comparable 2014 figure of 272.According to GeoStat, the census was conducted between November 14 and December 31, 2024.“The census spanned the whole of the country, except for the occupied territories. In line with international standards, the enumeration applies to all permanent Georgian residents, including any foreign nationals or stateless persons residing in Georgia.The reference moment for the population count, the census critical moment, was set at midnight between November 13 and 14, against which all facts were recorded. The agricultural census covered all households and legal entities that, as of October 1, 2024, owned or had temporary use of agricultural land, or kept livestock, poultry, or bee colonies, regardless of whether any agricultural produce had been generated during the reporting year.Data were collected electronically using modern technology. The process took place in two stages: an initial self-registration phase (CAWI) from November 14–23, 2024, followed by in-person computer-assisted interviews (CAPI) from November 29 to December 31. In view of the likelihood that deteriorating weather conditions during November and December would hamper fieldwork in certain high-altitude and hard-to-reach settlements, the census in the municipalities of Mestia, Kazbegi, Lentekhi, parts of Akhmeta (the Omalo administrative unit) and Dusheti (the administrative units of Gudamakari, Magharosikari, Ukanapshavi, Kvesheti, Shatili and Khevsureti, as well as villages within the Pasanauri administrative unit) was conducted in September 2024.

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According to GeoStat, the sectors that made the most significant positive contributions to growth in the first quarter of 2026 were Information and Communication (36.0 per cent), Transport and Storage (18.0 per cent), Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles (5.5 per cent), Financial and Insurance Activities (11.7 per cent), and Arts, Entertainment and Recreation (14.5 per cent).Conversely, the sectors that saw a notable contraction were Agriculture, Forestry and Fishing (-3.3 per cent) and Construction (-2.0 per cent).The agency’s report notes that within the sectoral structure of GDP, the largest shares were held by Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles (13.2 per cent) and Information and Communication (10.4 per cent). These were followed by Real Estate Activities (10.0 per cent), Manufacturing (8.2 per cent), Public Administration and Defence; Compulsory Social Security (7.2 per cent), Education (6.5 per cent), Construction (6.4 per cent), Transport and Storage (6.1 per cent), and Financial and Insurance Activities (5.9 per cent).

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GeoStat reports that domestic exports, excluding re-exports, accounted for 62.1 per cent of total exports. This figure increased by 66.1 per cent compared to the corresponding period of the previous year, reaching USD 1,929.1 million.According to the agency’s report, the share of the top ten largest countries constituted 66.9 per cent of Georgia’s total domestic exports in January–May 2026. In this regard, the largest export partners are China with USD 317.4 million, Russia with USD 229.0 million, and Turkey with USD 207.2 million.Information from GeoStat shows that petroleum and petroleum products ranked first at USD 352.2 million among the top ten domestic export commodities in January–May 2026. This commodity group’s share accounted for 18.3 per cent of total domestic exports. Precious metal ores and concentrates ranked second at USD 255.6 million, while ferro-alloys took third place at USD 130.8 million.

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In January-May 2026, the share of the ten largest export partner countries in Georgia's total exports amounted to 70.3%. The top three exporters were as follows: Kyrgyzstan - $355.2 million China - $327.5 million Azerbaijan - $269.3 million In January-May 2026, the share of the ten largest import partner countries in Georgia's total imports amounted to 70.9%. The top three include: Turkey - $1.16 billion Russia - $983.4 million China - $849.7 million In January-May 2026, the share of the ten largest trading partner countries in Georgia's total foreign trade turnover amounted to 66.5%. The country's largest trading partners are: Turkey - $1.38 billion Russia - $1.23 billion China - $1.17 billion In January-May 2026, the top ten export commodity groups were passenger cars with $734.6 million, which accounts for 23.6% of all exports. Second place is taken by oil and petroleum products with $366.6 million (11.8% of all exports), and third place is taken by precious metal ores and concentrates with $255.6 million (8.2%).The largest import commodity group in January-May 2026 was passenger cars, the imports of which amounted to $1.25 billion and 17.1% of all imports. Second place is taken by oil and petroleum products with $635.5 million (8.7% of imports), and third place is taken by medical products with $295.9 million (4% of imports).

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GeoStat reports that, compared to April 2026, prices fell by 0.5 per cent in the mining and quarrying sector, contributing -0.04 percentage points to the change in the overall index. Over the same period, prices rose by 0.6 per cent for manufacturing products, contributing 0.5 percentage points to the change in the total index. In addition, a 4.8 per cent price decrease was recorded in the electricity, gas, steam and air conditioning group, which contributed -0.48 percentage points to the monthly index change.Over the 12 months, the movement of the index was primarily driven by price changes across four key sectors. In mining and quarrying, prices rose by 24.6 per cent, contributing 1.65 percentage points to the overall index change, with a notable 29.7 per cent increase observed for metal ores. Manufacturing products saw a 6.5 per cent price rise, adding 5.2 percentage points to the total index growth, driven partly by higher prices for food products and beverages, which rose by 6.5 per cent and 4.0 per cent respectively. Additionally, prices for electricity, gas, steam, and air conditioning increased by 1.0 per cent, adding 0.1 percentage points to the annual change. Finally, water supply, sewerage, waste management, and remediation services experienced a 6.4 per cent price increase, impacting the overall index by 0.2 percentage points.

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According to economic activity, the highest monthly earnings were observed in the following sectors: Financial and insurance activities – 5 952.5 GEL (increased by 7.9 per cent compared to the corresponding period of the previous year); Information and communication – 4 290.7 GEL (increased by 3.1 per cent); Mining and quarrying – 3 230.4 GEL (increased by 11.8 per cent); Professional, scientific and technical activities – 3 186.0 GEL (increased by 7.1 per cent). In the first quarter of 2026, the average earnings for women equalled 1 901.8 GEL, while for men, they were 2 836.0 GEL. The annual earnings growth amounted to 157.7 GEL (9.0%) for women and 234.7 GEL (9.0%) for men. In almost all sectors, men’s average monthly earnings exceeded those of women.In the I quarter of 2026, the average monthly earnings of employees in the business sector increased by 166.3 GEL (7.7%) and equalled 2 335.9 GEL. According to the economic activity, the highest monthly earnings were observed in Information and communication (4 358.6 GEL, increased by 2.4 per cent compared to the corresponding period of the previous year) and Professional, scientific and technical activities (3 632.7 GEL, increased by 6.8 per cent).In the first quarter of 2026, compared to the same quarter of the previous year, the average monthly earnings of employees in the non-business and financial sector increased by 242.8 GEL (11.2%) and amounted to 2 413.7 GEL. According to the economic activity, the highest monthly earnings were observed in the Financial and insurance activities.Tbilisi and the Mtskheta-Mtianeti region lead in terms of average monthly earnings.

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