08.Nov .2019 16:01

Archil Gachechiladze: we see great investment activity in the legal entities

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Archil Gachechiladze, CEO of Bank of Georgia, talks about the reasons for the decline of FDI in the country.

"The decline in foreign direct investment was partly due to the completion of several large projects. Partly, it can be conditioned by the price decline on Georgian companies’ shares.

However, total amount of investments is not reduced in the country, it mainly due to the growth of domestic investment. Like 2016, when the reform left GEL 600-700 million in private companies generating profits. This money is virtually equity capital for Georgian private companies to continue their investment. Last year and this year, we see great investment activity in the legal entities", Archil Gachechiladze said.

According to Sakstat’s latest data, the FDI decreased by 54% in Georgia in Q2, 2019 compared to the same period of the last year.