FDI in Georgia Increased in 2017

According to National Statistics Office of Georgia (GEOSTAT), the total amount of foreign direct investments in 2017 in Georgia amounted to $1861.9 million dollars. This number has increased by 16.2% compared with the previous year. 

The amount of FDI in Georgia varied from $1020.6 million USD to $1861.9 million USD. The lowest result showed were in 2013. Since then, this number has seen a steady increase. This can be considered as an indicator of the country’s development. Georgia is taking steps forward in economic growth and the expansion of foreign investors. 

FDI refers to the flow of capital between countries. According to the United Nations Conference for Trade and Development (UNCTAD), FDI is an “investment made to acquire lasting interest in enterprises operating outside of the economy of the investor.” (source economicsonline.co.uk) 

For Georgia, the rising number of FDI is very important for emerging markets with other countries. 

Major investor countries in 2017 were the UK (13.4%), Azerbaijan (25.9%) and Turkey (15%). Alongside these countries were Czech Republic, Netherlands, United States, United Arab Emirates, Panama and China. 

Most investments were made in the transport and communication sector in 2017 ($527.1 million). Second was the financial sector ($16.3 million). Compared to the same period of last year, in 2017 FDI in Georgia amounted to $497.4 million (preliminary data), approximately by 89.1%. 

By Nia Pataraia 

12 March 2018 17:48