analytics

Is Poverty Really Declining in Georgia? What the Latest Data Reveals

Has poverty truly declined in Georgia in recent years? Official data suggests progress, but the answer is more complex

Is Poverty Really Declining in Georgia? What the Latest Data Reveals

Has poverty truly declined in Georgia in recent years? Official data suggests progress, but the answer is more complex than one figure can capture. To understand the full picture, it’s important to look at both absolute and relative poverty — two different but interconnected measures that tell different stories.

In 2024, absolute poverty — the share of the population consuming less than the subsistence minimum — fell to 9.4%. This is the lowest figure recorded in over a decade and significantly down from over 20% in the mid-2010s. The reduction is especially notable among children and rural populations, though these groups still face the highest poverty risks: 11.9% in rural areas compared to 7.8% in urban settings. Among children under 18, the poverty rate was 12.1%, higher than both working-age adults (9.3%) and seniors (6.7%).

But absolute poverty tells only part of the story. Relative poverty — which reflects inequality and living standards in comparison to the broader population — paints a more persistent picture. In 2024, 18.9% of the population consumed less than 60% of the national median, and 6.7% consumed less than 40%. These individuals may not fall below the basic survival threshold but still live significantly below societal norms, often facing exclusion from economic and social life.

Relative poverty is closely linked to income inequality, typically measured by the Gini coefficient. In 2024, Georgia’s Gini index stood at 0.35 — slightly down from previous years, but unchanged since 2022. Back in 2015, the figure was 0.37, dropping to 0.34 by 2019, showing progress that stalled during the pandemic.

How does Georgia compare globally? The EU average Gini coefficient in 2023 was around 0.30, while countries like Sweden and Norway often register below 0.25, indicating a much more equal income distribution. In contrast, many Latin American and Sub-Saharan African countries have Gini scores between 0.45 and 0.50. Against this backdrop, Georgia sits somewhere in the middle — more equal than many developing countries but still notably behind most developed economies.

So, is poverty declining in Georgia? Yes — but not evenly, and not for everyone. Absolute poverty has dropped significantly, which is a clear achievement. But relative poverty remains widespread, and inequality has plateaued. In this sense, the bigger question is not just whether fewer people are poor, but who is being left behind as the economy grows — and whether progress is truly shared.