Georgia says it will lose more than $1 billion because of Ukraine By Reuters

© . () – Georgia is likely to lose $1.0 billion to $1.2 billion in economic output as a result of Russia’s military intervention in Ukraine and miss its 6% growth target, the head of the finance and budget committee said of parliament on Friday. “Russia and Ukraine are our main trading partners,” Irakli Kovzanadze told TV Pirveli, according to the Russian news agency TASS. “Russia is in second place and Ukraine is in fifth or sixth place.” He said the Ukrainian crisis would reduce not only exports, but also tourism revenues and remittances from abroad. “I think Georgia’s economy will lose $1.2 billion,” Kovzanadze said. While growth was likely to remain below 6%, he said there would be no problems with the state’s budget execution. According to preliminary data, Georgia’s gross domestic product will increase by 10.6% in 2021, after it recovered from the effects of the coronavirus pandemic after falling 6.2% in 2020. The International Monetary Fund estimated Georgia’s GDP in 2021 at about $18 billion expressed in US dollars. Russia sent tens of thousands of troops to Ukraine in what it called a special operation to reduce the military capabilities of its southern neighbor and exterminate people it called dangerous nationalists. The West has imposed sweeping economic and financial sanctions on Russia in an attempt to force it to withdraw its troops, but the conflict will also devastate Ukraine’s economy. Disclaimer: Fusion Media would like to remind you that the data on this website is not necessarily real-time or accurate. All CFDs (Stocks, Indices, Futures) and Forex prices are not provided by exchanges but rather by market makers, and therefore prices may not be accurate and may differ from the actual market price meaning prices are indicative and not suitable for trading purposes . Therefore, Fusion Media does not bear any responsibility for any trading losses that you may incur as a result of using this data. Fusion Media or anyone associated with Fusion Media accepts no liability for any loss or damage resulting from reliance on any information, including data, quotes, charts and buy/sell signals on this website. Be fully informed about the risks and costs associated with trading the financial markets, it is one of the riskiest forms of investment possible.

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