In its final report on foreign direct investment, released on August 15, the Georgian state statistics agency, Geostat, revised its preliminary figures of 2010 FDI upwards from USD 553.1 million to USD 814 million.
Geostat said that this “sharp difference” between the preliminary and final data is caused with a new methodology of compiling the report. The new method, according to Geostat, uses companies’ consolidated financial statements – an aggregated data of financial position of a parent and its subsidiaries – making scope of surveyed entities broader.
According to preliminary figure released in March the FDI in 2010 declined over previous year by 16%; but the final figure of USD 814 million is 24% increase year-on-year.
The revised FDI figure made 7% of Georgia’s GDP in 2010, up from 6% in 2009 and down from 12% in 2008.
A breakdown of FDI inflows by country has also been revised in final data.
In the preliminary data most of the FDI came from companies registered in the Netherlands – USD 143.2 million; in the final report the figure was revised down to USD 73.4 million making it on the third place after the U.S. with USD 135.8 million and Turkey - USD 91.8 million. Other major sources of FDI, according to final report, in 2010 were UK with USD 59 million; Azerbaijan - USD 58 million; United Arab Emirates - USD 55.5 million.
Breakdown of FDI inflows by sectors has also been revised. Extraction and processing industry attracted the biggest share of FDI in 2010 with USD 228.8 million or 28.1%, according to final figures; followed by transport and communication sector USD 215.1 million (26.4%); real estate - USD 119.3 million; financial sector - USD 107.4 million (17.7%).