01.Dec .2020 23:00

Georgian External Debt Higher Than of Armenian

Georgian External Debt Higher Than of Armenian
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Pursuant to the final version of the state budget for 2021, the Georgian government is going to borrow an additional US$ 1.6 bln (GEL 5.3 bln) from multilateral and bilateral donors and partners in external debt in 2021. As of October 31, 2020, the debt of the Government of Georgia amounted to US$ 8.3 bln (GEL 27,704,100,000) which is the higher figure as compared to neighboring Armenia – US$ 6 bln. 
Since the beginning of the year, the total public debt of Armenia has grown by US$618,269 million. According to the National Statistical Committee, the external public debt at the end of July 2020 amounted to US$6.055, 237 billion, an increase of US$73.591 million from the previous month.
About US$5.576.651 billion of the external debt were owed by the Armenian government (an increase of US$70.015 million), and US$478,586 million were owed by the Central Bank (an increase of US$3,576 million).

Armenia's domestic debt at the end of July amounted to the equivalent of US$1.884.288 billion, an increase of US$147.092 million. About US$1.742.302 billion were owed to resident holders of government bonds and US$141,986 were owed to holders of foreign currency-denominated bonds.

At the end of 2019, Georgia's state debt was GEL 21.3 billion, 42.6% of GDP. In January-February 2020, the debt decreased to GEL 20.7 billion, which was due to the strengthening of the GEL. From March 2020, due to the depreciation of the lari and the increasing need to borrow more, public debt began to grow rapidly. As of May 31, 2020, Georgia had a foreign debt of GEL 19 billion and a domestic debt of GEL 5.5 billion, for a total of GEL 24.5 billion.