Page 25 - GEORptAug18

The two officials discussed implementation of the 2011 agreement between their governments on customs administration and monitoring of trade in goods, the statement said.
Karasin reportedly said after the meeting that an agreement to create three trade corridors, including via Abkhazia and South Ossetia, will move ahead. The Russian foreign ministry statement reported positive developments in economic cooperation between the two states in the first quarter of 2018, with mutual trade turnover rising to $337mn.
5.3 FDI
Georgia - FDI 2010 2011 2012 2013 2014 2015 2016 2017 2018 Q1
FDI ($ mn)
845.1 1,130.3 1,022.9 1,020.6 1,817.9 1,652.5 1,602.9 1,861.9 279.3
FDI (% of GDP)
7.47 7.51 5.25 5.93 10.84 11.89 11.27 11.88 7.5
Source: Geostat, CEIC
FDI contracts in Georgia in Q1
Georgia attracted $279.3mn worth of foreign direct investment (FDI) in the first quarter of 2018, preliminary data from statistics office Geostat shows. This represented a decline of 32.9% compared to the same period of 2017, while the figure for Q4 2017 was a considerably higher $497.4.
The main reasons for the y/y fall in FDI are the transferring of ownership in some companies from non-resident to resident units and the reduction of debt liabilities to non-resident direct investors (mostly payment of loans), Geostat said in a statement.
While FDI tends to fluctuate from quarter to quarter in Georgia, the Q1 2018 figure is the second-lowest since the beginning of 2015, above only the Q4 2016 amount ($263.1).
The UK was the top source of investment in the quarter, accounting for $82.7mn, followed by Azerbaijan ($51.0mn) and China ($41.6mn).
Georgia’s financial sector attracted the largest share of investment — $110.6mn — in line with the previous quarter, while construction ($69.1mn) and manufacturing ($40.2mn) also attracted substantial amounts of FDI.
25 GEORGIA Country Report August 2018 www.intellinews.com