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UGA: Georgia's economic growth to slow in 2026

Santanu Chatterjee, interim dean of the Terry College of Business, delivers the Georgia economic forecast at the 2026 Georgia Economic Outlook hosted inside the Georgia Aquarium on Dec. 10, 2025, in Atlanta. (Photo by Brian Powers)
Photo by Brian Powers
Santanu Chatterjee, interim dean of the Terry College of Business, delivers the Georgia economic forecast at the 2026 Georgia Economic Outlook hosted inside the Georgia Aquarium on Dec. 10, 2025, in Atlanta. (Photo by Brian Powers)

Georgia’s economic growth is expected to hold steady next year, mirroring that of the nation.

The 2026 economic forecast by the University of Georgia’s Terry College of Business projects growth slowing to about 1.5 percent, resulting in an elevated risk of recession for the year.

The Georgia Economic Outlook is hosted every year by the UGA Selig Center. The public outreach unit of Terry College has performed the service for 43 years.

Analysts predict inflation to peak at around 3.5 percent in 2026 before dropping to 3 percent in 2027. They also expect the Federal Reserve to lower the federal funds rate to 2.7 percent, down from 4.5 percent at the beginning of this year.
Additionally, housing prices for single-family homes are predicted to come down in 2026.

For more information, visit news.uga.edu.

Alexia Ridley joined WUGA as Television and Radio News Anchor and Reporter in 2013. When WUGA TV concluded operations, she became the primary Reporter for WUGA Radio. Alexia came to Athens from Macon where she served as the News Director and show host for WGXA TV. She's a career journalist and Savannah native hailing from the University of Michigan. However, Alexia considers herself an honorary UGA DAWG!