Unemployment soars over 20% in Georgia

Unemployment has soared to over 20% in Georgia, new data from GeoStat show.

During the fourth quarter of 2020, unemployment in Georgia increased by 3.8% and reached a total of 20.4%.

The total number of employees decreased by 79,000.

This is the highest unemployment rate since the first quarter of 2018, per the National Statistics Office of Georgia (Geostat) figures.

Twice as many Georgian men than women are looking for job

The proportion of adults willing to work varies by gender.

The survey conducted during the fourth quarter of 2020 found that 39.5% of female and 62% male participants were eager to work.

Geostat reported that the country’s national economy contracted by 6.1% in 2020.

This is a record decline over the past 26 years, since 1994.

The ongoing crisis seems much worse than that of 2008, which occurred in the midst of the global economic crisis and in the aftermath of the August War between Russia and Georgia. Back in 2008, the Georgian economy contracted by 3.65%.

The main reason behind the current crisis is the outbreak of the coronavirus pandemic and the restrictions that were imposed in response to it.

COVID-19 induced regulations were first introduced on November 28, 2020, and some of them are still in place. The process of the gradual removal of the restrictions began on February 1, 2021, as public transport, schools, markets, and markets, as well as open areas of restaurants and cafes, began to operate.

However, the curfew has not yet been lifted and during the weekend, only grocery stores and pharmacies are permitted to operate and public transport is not available.