Rate of FDI in Georgia Reached a Historical Maximum and Exceeded $2 Billion
The Vice Prime Minister and Minister of Economy and Sustainable Development announced that Georgia received over 2 billion dollars in foreign direct investment in 2022, a historic high for the country.
The Minister, Levan Davitashvili, explained that according to Geostat, foreign investments of 1 billion 600 million US dollars were made in the economy of Georgia in the first three quarters of the year, but when the fourth quarter data was included, the total amount exceeded 2 billion US dollars.
Furthermore, the Minister highlighted that the majority of foreign direct investment came from EU countries, with almost half of the incoming investments originating from them. Specifically, direct foreign investments from the European Union increased by over 142.5% and amounted to 859.6 million US dollars, or 43% of the total direct foreign investments. The UK was the source of almost half a billion dollars of foreign direct investment (US$428.3 million), followed by the US and other partner countries.
The investment sectors were highly diversified, with activity in energy, real estate, construction, tourism infrastructure improvement, transport, logistics, and warehousing. The largest amount of investment in 2022 was made in the financial and insurance activities sector, followed by the real estate sector. Additionally, foreign direct investment has increased significantly in the sectors of water supply and waste management, information and communication, construction, transport and warehousing, and hotels and restaurants.
The Minister noted that this diversity in investment sectors is essential for the country's economic growth, as it helps to ensure stability and sustainability. The increase in foreign direct investment indicates a growing confidence in Georgia's economic potential, and the government is committed to creating an even more favorable business environment to attract more investment.