Population aging is increasingly becoming a defining challenge for many developing economies. While advanced countries generally became wealthy before experiencing significant demographic aging, a growing number of middle-income countries are seeing the share of older people rise before achieving high levels of prosperity. This trend creates pressure on labor markets, pension systems, healthcare spending, and long-term economic growth.
Georgia represents a notable example of this phenomenon. Declining fertility, continued emigration of working-age individuals, and increasing life expectancy are accelerating demographic change while the country remains below high-income status. The analysis explores how these trends compare with international experience, assesses their implications for economic development and public finances, and highlights the policy choices that could help maintain growth, productivity, and social sustainability in the decades ahead.
This report was prepared by the academic team of Business and Technology University (BTU) and BTUAI researchers in Tbilisi, Georgia. The full version of this research is available at the following page: