Page 30 - GEORptDec20

external debt of the government stood at GEL19.48bn and that of the central bank reached GEL781mn.
The largest creditors of the state of Georgia are Asian Development Bank (ADB), World Bank International Development Association (IDA), European Investment Bank (EIB) and International Bank for Reconstruction and Development (IBRD).
The debt owed to IDA is GEL2.85bn ($935mn), the ADB debt stands at GEL4.36bn ($1.43bn) and the EIB debt is GEL1.88bn ($620mn).
The gross external debt of Georgia amounted to $18.28bn as of first quarter of 2020, falling from $18.63bn in the fourth quarter of last year. ​It accounted for 105.4% of GDP in 2019. Gross external debt include both public sector (general government, public corporations and national bank) and private sector (banking and other sectors) external debt.
7.0​ FX
Georgia - Foreign exchange rate
2016
2017
2018
2019
Jan’20
Mar’20
May’20
Jul’20
Currency (units per EUR) (average)
2.617
2.832
2.991
3.155
3.203
3.360
3.486
3.498
Currency (units per USD) (average)
2.367
2.509
2.534
2.819
2.883
3.041
3.198
3.063
Georgia’s currency loses 5% amid post-general election strife
Georgia’s currency has weakened by 5% in the four days from November 2, when the central bank’s first substantial intervention this year on the forex market, with a sale of $60mn, was introduced with the aim of preventing exchange rate slippage amid the political uncertainty subsequent to the October 31 general election.
The government blamed the opposition for the exchange rate deterioration and recommended protesters are subject to "less mobility" in order to counter the spread of the coronavirus, something which has also had an impact on the standing of the Georgian lari (GEL).
The opposition parties that won parliamentary seats in the election have agreed to boycott the legislature, accusing the ruling Georgian Dream party of having rigged the poll. With 74 seats after the first round of voting, Georgian Dream is close to gaining more than 50% of parliament’s seats, with a second-round ballot scheduled for November 21. Seventeen of the parliament’s 150 seats are to be distributed following a second round applicable to single-mandate majoritarian constituencies.
Besides the political turmoil, the second wave of the coronavirus pandemic in Georgia and abroad has played a role in the lari’s weakening, with tightened restrictions set to result in a slower economic recovery and thinner tourism revenues—particularly important for the balance of payments severely hit this year.
The number of infections reported on a daily basis soared to over 2,400 on November 5 in Georgia, a country of nearly 4mn, having remained below 2,000 before the election and for several days afterwards. With more
30​ GEORGIA Country Report ​December 2020 ​ ​www.intellinews.com