In this paper, I discuss the effects of uncertainty on the economic development of Georgia since 1991, which is the date of seceding from the Soviet Union, reestablishment of independence in the country and the beginning of economic events leading to the transition to market economy. The question of the thesis is how, exactly, has the economic uncertainty affected the economic development of Georgia. In this thesis, I do a documentary research using qualitative and quantitative methods. I analyse the literature that describes the periods of economic instability in Georgia and I try to find the logical relation between the uncertainty and fluctuations in the most important economic indicators of the country.