ADB says Georgian GDP will grow 5.5% in 2011
TBILISI. April 22 (Interfax) - The Asian Development Bank (ADB) forecasts 5.5% growth this year for Georgia's GDP versus 6.4% last year.
The Asian Development Outlook 2011 report the ADB has posted on its website says Georgian GDP will grow 5% next year.
Among the external risks that could effect the country's economic growth are slowing world economic recovery, prices rising more than anticipated, and slowdown of inflowing direct foreign investments, ADB experts say. As to local risks, the most glaring among these is low fiscal consolidation, they said.
The ADB projects Georgia will see inflation of 9.5% this year and 6% next year. Consumer prices rose 11.2% in 2010.
The country's accounts deficit, which was 9.8% of GDP last year, will expand to 12.6% this year and then contract to 11.4% in 2012, the ADB says.
The Georgian government also predicts the country's GDP will grow 5.5% this year and that inflation will not exceed 8%.