Georgia's net international investment position is negative

Business Materials 31 March 2010 17:34 (UTC +04:00)

Georgia, Tbilisi, March 31 / Trend N. Kirtskhalia /

Georgia's net international investment position is negative. At the end of the fourth quarter of 2009 it amounted to $11,3 billion or 10.8 percent more than the same period of the previous year and 2.7 percent rate for the third quarter of 2009.

Georgian Statistical Department said that total assets amount to $3.2 billion, of which 66.7 percent fall to reserve assets. Reserve assets increased by 42.6 percent and amounted to $2.1 billion March 31.

As to the commitments during the reporting period, total liabilities exceeded $14.4 billion. Obligations in the form of portfolio investment amounted to $869.4 million, of which $ 500 million fall to Eurobonds issued by the Government.

Credit obligations of the National Bank increased by 49.3 percent through loans from the International Monetary Fund and totaled $687,1 million. Credit commitments of the governmental sector increased by 28.6 percent and credit obligations of the banking sector reduced by 24 percent. The long-term loans decreased by 11.3 percent and short-term - by 70.7 percent.

Obligations in the form of cash and deposits increased by 61 percent. In August-September 2009, the International Monetary Fund implemented a new distribution of quotas. As a result, Georgia has received 144 million SDR ($ 225 million). It was reflected in the reserve assets and long-term liabilities of other investments. Other liabilities of the National Bank amounted to $225,7 million.