According to preliminary data from the National Statistics Office of Georgia (Geostat), the Construction Cost Index (CCI) rose by 0.4% in July 2025 compared to the previous month and increased by 5.6% year-on-year.

Monthly Overview (July 2025 vs. June 2025):

Overall CCI: +0.4%

Residential Segment: +1.6%

Non-Residential Segment: –3.0%

Civil Engineering Segment: +0.5%

The monthly rise was primarily driven by a 4.5% increase in average nominal wages in the construction sector, contributing 0.73 percentage points to the total index change.

Annual Overview (July 2025 vs. July 2024):

Overall CCI: +5.6%

Residential Segment: +7.8%

Non-Residential Segment: +6.7%

Civil Engineering Segment: +3.0%

The year-on-year increase was largely attributed to:

A 22.5% rise in average nominal wages of construction employees (+4.53 percentage points contribution),

A 1.5% increase in construction material prices (+0.92 percentage points contribution).

Longer-Term Trend:

Since February 2022, the Construction Cost Index has surged by 25.0%, reflecting a sustained upward trend in sector costs.

These figures highlight the continued pressure from labor costs and material prices on Georgia's construction industry, with the residential segment showing the most significant monthly and annual increases.