Major Foreign Direct Investments in Georgia - December 2008

Georgia’s economy started to evolve mainly in 2003-2004, when the new government came into power, initiating liberal reforms and radical deregulation of the economy. In the World Bank’s Doing Business 2007 report, Georgia was named as the world’s top reformer in improving the ease of doing business. Since 2003, average growth rate of real GDP has averaged 10.5%, reaching a record rate of 12.4% in 2007. Growth in domestic consumption, high Foreign Direct Investment (FDI) inflows, rapid credit expansion, rehabilitation of infrastructure and booming entrepreneurial activity have been driving the growth of the economy in recent years. The active privatisation process of state-owned enterprises played an important role in accelerating FDI inflows in the country. Net sales of state-owned enterprises amounted $ 1.3 bn during 2004-2008 YTD.