Today, Geostat released its FDI Statistics for the first quarter of 2021. According to the document, only $ 125.4 million was invested in Georgia in FDI during the period, which is 28.3% less than the previous year. It is important to note that the volume of investments is compared to the results of 2020. In 2020 FDI halved due to the pandemic; hence the further sharp decline in investment will continue in 2021.
According to the statistics, the inflow of investment from many countries and the outflow of investment from specific countries were observed. Overall, the most significant investments came from the UK during the first quarter, totaling $88 million. Russia is in second place with $32.9 million, followed by Turkey with $24.1 million.
Countries from which Georgia received the largest investments:
1. United Kingdom - $ 88.41 million, an increase of 21% over the previous year
2. Russia - $ 31.87 million, an increase of 186% over the previous year
3. Turkey - $ 24.51 million, an increase of 95% over the previous year
4. Czech Republic - $ 14.15 million, a decrease of -574% over the previous year
5. United Arab Emirates - $ 12.84 million, a decrease from the previous year -1699%
6. Denmark - $ 10.53 million, an increase of -9% over the previous year
7. Germany - $ 10.14 million, an increase of 259% over the previous year
8. Japan - $ 7.42 million, a decrease of -7% over the previous year
9. Marshall Ks - $ 7.15 million, a decrease of -24% over the previous year
10. Netherlands - $ 5.61 million, a decrease of -61% over the previous year.
2. Russia - $ 31.87 million, an increase of 186% over the previous year
3. Turkey - $ 24.51 million, an increase of 95% over the previous year
4. Czech Republic - $ 14.15 million, a decrease of -574% over the previous year
5. United Arab Emirates - $ 12.84 million, a decrease from the previous year -1699%
6. Denmark - $ 10.53 million, an increase of -9% over the previous year
7. Germany - $ 10.14 million, an increase of 259% over the previous year
8. Japan - $ 7.42 million, a decrease of -7% over the previous year
9. Marshall Ks - $ 7.15 million, a decrease of -24% over the previous year
10. Netherlands - $ 5.61 million, a decrease of -61% over the previous year.
The outflow of investment from specific countries was observed. The total outflow of investments was $127 million, resulting in a difference of $125.4 million between the inflow and outflow. The largest outflow - $ 59.8 million - is from the US.
Countries with the largest outflow of investment:
● Azerbaijan - minus $ 6.24 million;
● Cyprus - minus $ 7.75 million;
● Malta - minus $ 12.03 million;
● Kyrgyzstan - minus $ 24.30 million;
● US - minus $ 59.82 million.
● Cyprus - minus $ 7.75 million;
● Malta - minus $ 12.03 million;
● Kyrgyzstan - minus $ 24.30 million;
● US - minus $ 59.82 million.
According to Geostat, in the first quarter of 2021, the largest foreign direct investment was in the financial sector, reaching $ 93.9 million, followed by the energy sector with $ 35.5 million and the manufacturing sector with $ 27.9 million.
Given that most of the investment was made in the financial sector, with the UK being the leading investor, these investments are likely to be linked to Georgian companies on the London Stock Exchange - Bank of Georgia, Capital Georgia and TBC Bank, which Geostat views as foreign companies, because their parent companies are registered in the UK.
