The Regional Policy and Self-Government Committee heard and took note of the review of the execution of Georgia’s 2026 State Budget for the first three months.

According to the reporter, First Deputy Finance Minister Giorgi Kakauridze, the 2026 budget had been planned based on a 5% economic growth forecast; however, the first quarter of the year showed higher growth indicators. In particular, real economic growth amounted to 9% in January, 8.8% in February, and 10.7% in March. The average economic growth rate in the first quarter stood at 9.1%.

The inflation rate in March of the current year was 4.3%, while the average inflation rate over the last 12 months was 4.4%.

As Giorgi Kakauridze stated, foreign trade turnover in goods amounted to USD 5.867 billion in January–March. Of this, exports accounted for USD 1.7237 billion, which is 23.4% higher than the corresponding figure of the previous year, while imports amounted to USD 4.1432 billion, which is 7.1% lower compared to the same period last year.

He also spoke about exports of services, which, according to him, constitute a highly important component of the country’s economy.

According to Giorgi Kakauridze, in the first quarter of 2026, Georgia received 1.1704 million international visitors, of which 997,500 were tourists, approximately 4% higher than the analogous figure of the previous year.

As the First Deputy Minister noted, revenues from tourism in the first quarter of 2026 amounted to USD 829.8 million, which is 0.5% higher than the corresponding figure for 2025.

He further stated that net money transfers in the first quarter of 2026 increased by 14.4% compared to the same period of the previous year and amounted to USD 797.7 million.

According to the document, GEL 6,942,195.8 thousand was mobilized within the consolidated budget during the reporting period, which is 102.6% of the forecasted indicator.

Giorgi Kakauridze stated that the annual deficit of the mixed state budget for 2026 remained within the planned 2.5% framework. During the reporting period, the figure showed a surplus and amounted to 0.24% of GDP.

As the First Deputy Minister noted, the execution of state budget revenues for the first quarter amounted to 101.6% of the forecasted indicator, totaling GEL 5,982,895.2 thousand.

Speaking about budget expenditures, he stated that the Infrastructure Ministry fulfilled its plan by 107.5%. As for other agencies, in some cases the figure reached 100%, while in others it ranged between 80–85%.

“As for municipalities, the mixed budget revenue component has been fulfilled. Therefore, we do not face delays in this direction. Regarding VAT, a total of GEL 2 billion 186 million has been envisaged. In the first quarter, municipalities received GEL 515 million in VAT revenues. As for transfers, according to the plan, the figure amounts to GEL 1 billion 353 million, of which GEL 112.6 million has already been transferred and utilized, and the process is ongoing”, - the reporter noted.

Following the presentation, Giorgi Kakauridze answered questions from committee members.

According to the Chair of the Regional Policy and Self-Government Committee, Irakli Kadagishvili, it is important that the country’s economic growth rate remains high.

“It is particularly important that there was a very high demand for Eurobonds with a nominal value of USD 500 million placed by the Finance Ministry on the stock exchange, which indicates the resilience of Georgia’s economy. All macroeconomic indicators are within normal parameters, which also points to financial stability”, - the Committee Chair noted.