Economy Annex slide image

Economy Annex

7.4% 7.2% 7.2% FDIS and Donor Assistance Liberal regulatory environment for foreign businesses, resulting in FDI averaging at 16% of GDP during past three years, with cumulative FDI (2004 -2009) in country reaching 60.5% of GDP as of YE 2009. Unequivocal support from the West and IFIs with total financial pledge through 2011 of US$4.5 bln (42% of 2009 GDP). Approximately one third of the package is earmarked for financial sector. By end of FY 2010, cumulative donor commitment to Georgia under the Brussels pledge will total circa US$4.2 billion, with possibility of further upward adjustment. As of YE 2009, US$ 1.4 billion was disbursed In addition: Approved access to US$1.2 bln under SBA by IMF until 2011 U.S. Committed US$ 124 mln investment in energy infrastructure development (February 2010) US$70 million from ADB for infrastructure repairs Quarterly FDI inflows Net remittances US$ mln 1000 900 800 700 5.4% 600 4.9% 4.2% 500 400 300 420.5 200 315.4 100 212.7 0 2004 A 2005A FDI Inflows 2006A Net remittances (LHS) US$ mln 800.0 700.0 600.0 500.0 400.0 300.0 200.0 100.0 0.0 280.7 421.4 01.5 489.1 Q1 Q2 Q3 Q4 Q1 Q2 Q3 04 Q1 Q2 Q3 Q4 '05 '05 '05 '05 '06 '06 '06 '06 '07 Source: National Statistics Office of Georgia '07 '07 '07 Lobko BANK OF GEORGIA www.bog.ge/ir 34.7 Q2 Q3 Q4 22 8 2 2 '08 '08 '08 '08 US$ mln 3,000 2,500 2,000 1,500 917.9 766.5 755.4 2007A 2008A 9% 8.4% 8% 7% 6% 5% 950.0 4% 3% 2% 1% 0% 2009 2010F Net remittances as % of GDP (RHS) 25.0% 19.8% 20.0% 942.0 276.2 15.3% 15.0% 261.7 12.2% 1,092.6 10.0% 658.0 1,000 7.0% 2,015.0 9.4% 1,564.0 7.7% 82 114.C 77.2 173.2 194.0 75.7 196.5 160.3 176.7 1,190.0 6.1% 5.0% 500 870 658.0 483.0 450.0 0 0.0% 2004 2005 2006 2007 2008 2009 2010F Q2 Q3 Q4 Q1 02 '09 '09 '09 '09 '10 '10 Net FDI Source: Government of Georgia presentation Donor inflows Net FDI as % of GDP October 2010 Page 12
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