Savannah Metro Economy Shows Signs of Recovery in Q4 2024

News Summary

The Savannah metro area has experienced economic recovery in Q4 2024, according to Georgia Southern University’s Economic Monitor. Key indicators show a 0.5% business index increase, falling unemployment claims, and a resurgence in the tourism sector with a 16% rise in hotel tax collections. Employment grew by 100 workers, although some sectors faced job losses. Port activity and retail sales also improved. Despite this recovery, forecasts suggest potential economic slowdown in 2025 due to changing international trade dynamics.

Savannah – The economy of the Savannah metro area has shown signs of recovery in the fourth quarter of 2024 after experiencing a decline due to the impacts of hurricanes in the previous quarter. According to the Q4 Economic Monitor released by Georgia Southern University, there has been notable growth in tourist-related activities and a strong performance from facilities operated by the Georgia Ports Authority.

Key economic indicators reflect this rebound, with the business index for the Savannah metro economy increasing by 0.5%, which translates to a 2.1% annualized rate in Q4 2024. Alongside this growth, initial claims for unemployment insurance have dropped significantly, resulting in a decrease in the unemployment rate to 2.9%, down from 3.4% in the third quarter.

Tourism and Employment Recovery

The tourism sector has demonstrated a substantial recovery, as evidenced by a 16% increase in hotel and motel tax collections compared to the previous quarter. Furthermore, airport boardings saw a rise of 10.3% in Q4, reflecting a positive trend in travel and tourism activities.

The labor market in the metro area also remained robust, with total employment increasing by 100 workers, culminating in a total of 208,100 employed individuals. The leisure and hospitality sector, in particular, experienced significant job growth, adding 800 jobs, while the logistics sector contributed an additional 600 jobs to the local economy. However, some sectors faced employment declines—business and professional services lost 200 jobs, and wholesale trade saw a reduction of 400 jobs.

Port Activity and Retail Sales

Port activity has also picked up, with the Savannah port handling 4.2% more shipping container units in Q4 than in the previous quarter. Compared to the previous year, port activity has increased by nearly 10%. The logistics sector now employs 19,800 workers, underlining its importance in the regional economy.

Retail sales have shown a positive turnaround as well, with a 5% increase observed compared to the third quarter. This resurgence suggests a strengthening consumer confidence and spending within the metro area.

Construction and Wage Trends

While the total employment figures are on the rise, the construction sector has seen a slight downturn, losing 100 workers to a total of 10,200 workers. In contrast, manufacturing employment held steady at 22,900. Monthly construction permits for single-family homes rose by 12%, totaling 797 permits issued in Q4, although the average value of these permits declined by 3.6% to $252,200.

On the wage front, private-sector wages have increased by 2% to reach an average of $25.78 per hour, showing a 3.8% annual gain despite a reduction in workweek length.

Outlook for 2025

Looking ahead, the business forecasting index for the Savannah metro area indicates a continued decline into 2025, suggesting a potential slowdown in economic activity during the first half of the year. Furthermore, the anticipated restructuring of international trade flows may significantly impact future operations in the port, logistics, and manufacturing sectors.

The data from the Q4 Economic Monitor paints a picture of a region on the mend, emerging from recent difficulties but facing new challenges that could shape its economic landscape in the near future.

Deeper Dive: News & Info About This Topic

HERE Resources

U.S. Economy Faces Unprecedented 0.3% Contraction
Savannah’s Unemployment Rate Drops to 3.2%
Helping Hands in Savannah: Red Cross Responds to Apartment Fire
Grand Openings and Community Events in Savannah This April
Georgia Residents Urged to Utilize SBA Disaster Loan Opportunities
Gold Prices Rise Amid Trade Concerns and Economic Instability
Japanese Finance Minister Engages in Key Currency Talks
Atlanta Residents Celebrate Extended Tax Deadline
SeaPoint Industrial Terminal Complex Removed from Hazardous List
Bond Market Selloff Shakes U.S. Economy

Additional Resources

Author: HERE Savannah

HERE Savannah

Recent Posts

Savannah Hosts 29th Annual Grand Scholarship Gala

News Summary The 100 Black Men of Savannah, Inc. held its 29th Annual Grand Scholarship…

Savannah Community Celebrates New Openings and Events

News Summary The Savannah area is buzzing with community engagement and new developments in late…

Federal Inmate and Two Residents Sentenced in Drone Meth Smuggling Case

News Summary Jerrell Antonio Roberts, a federal inmate, and two Savannah residents have been sentenced…

Savannah Honors Civic Leaders for Women’s History Month

News Summary On March 31, 2025, the National Association of University Women (NAUW), Savannah Branch…

Warm Weather Ahead for Savannah with Chances of Showers

News Summary Savannah is set to experience a warm spell with temperatures reaching the mid-80s…

Savannah’s Starland District: A Thriving Hub of Creativity

News Summary The Starland District in Savannah has transformed into a vibrant destination over the…