Unemployment increases dramatically

World Bank prognoses suggest that in 2009 unemployment in Georgia will reach 350,000, around one fifth of the entire population capable of work. In 2008 this figure was 316,000 and in 2007 261,000, according to official statistics. However independent analysts and trade union representatives challenge these figures, suggesting 400,000 is the number of unemployed people currently.

The trade unions have declared it is necessary to pay the unemployed allowances. They calculated that if for 6 months the unemployed receive 55 GEL monthly, GEL 19.250 million will be needed to supply allowances for 350,000 unemployed.

According to the action plan outlined in the European Neighbourhood Policy, which the Georgian Government has committed itself to following, in 5 years the country will have to seriously decrease its poverty levels. It should be said that if the Government does not take serious and decisive measures to urgently decrease unemployment it will be impossible to decrease the poverty level.