Parliament has reviewed and approved the final version of the draft Law on the State Budget of Georgia for 2026, endorsing it with 80 votes in favour and 9 against.

The country’s key economic indicators were introduced by the Finance Minister, Lasha Khutsishvili.

According to him, real economic growth for 2026 is projected at 5%, while the medium-term real growth forecast stands at 5.3%.

As noted by Mr. Khutsishvili, average annual inflation in 2026 is forecast at 3.3%, remaining within the medium-term target rate of 3%.

The projected nominal GDP amounts to 114 billion 121 million GEL.

Tax revenues of the mixed budget are set at 27 billion 40 million GEL. The budget deficit will amount to 2.5% of GDP, while government debt is expected to decrease to 33.5% in the coming year.

“Total expenditures of the 2026 mixed budget amount to 36 billion 285 million GEL, within which all obligations undertaken by the state will be fully financed,” - stated the Minister.

Total revenues of the 2026 State Budget are set at 30 billion 760 million GEL.

The Minister also highlighted the allocations planned for individual ministries: the IDPs, Labour, Health and Social Affairs Ministry: over 9 billion 668 million GEL; the Education, Science and Youth Ministry: more than 2 billion 700 million GEL; the Culture Ministry: increased to 365 million GEL; the Sport Ministry: 325 million GEL; the Infrastructure Ministry: over 3 billion 113 million GEL; the Environmental Protection and Agriculture Ministry: 808 million GEL; the Regional Development Ministry: up to 133 million GEL; the Economy and Sustainable Development: more than 928 million GEL; the Finance Ministry: 130 million GEL; the Justice Ministry: more than 443 million GEL; the Foreign Affairs Ministry: 225 million GEL; the Defence Ministry: 1 billion 890 million GEL; and the Interior Ministry: 1 billion 547 million GEL.

The Finance Minister thanked the committees for their active engagement throughout the budget preparation process.

According to the Chair of the Budget and Finance Committee, Paata Kvizhinadze, the Committee reviewed the initial, revised, and final versions of the 2026 state budget and issued 22 recommendations—19 of which were fully implemented, while three were partially implemented and will continue to be refined.

“The European Commission and the International Monetary Fund both state that Georgia will have an improved economic outlook in 2026. In terms of budget deficit, Georgia will rank 8th among EU countries in 2026, while in government debt, we will rank 6th, since we have one of the best deficit indicators—2.5%—and government debt has decreased to 33.5%, at a time when public debt is rising in almost every European country. As for economic growth, if today we rank second after Ireland, in 2026 we are projected to take first place,” - stated Paata Kvizhinadze.