Anticipating unemployment

Late in December, President Saakashvili warned the population that the country was facing a hard six months. He predicted a decrease in working places would be the biggest indicator of crisis.

The Georgian authorities assign the dire situation in the economy to the world financial crisis. Analysts add to this the unwise economic strategy of the Government and the Russian aggression. Economic analyst Soso Tsiskarishvili predicts that around 25% of jobs will disappear and people will come out in the streets. Analyst Gia Khukhashvili is even more pessimistic and envisages the loss of 30% of jobs. However he considers that different sectors of industry will lose different numbers. Trade will lose 20-30% of jobs and banking the same number whereas construction will lose 70%.

Economic experts argue that the country’s leadership should take extra radical measures to rescue the situation and be prepared for the peak of the crisis which will presumably strike Georgia this coming spring.