Investment Down, Capital Flight Up
By Messenger Staff
Friday, September 16The political party European Democrats of Georgia (formerly known as We, Ourselves) thinks that Georgia is on the edge of investment collapse. According the party, more capital flows out of Georgia than in.
In 2011, the Georgia government expected to attract about USD 1 bln in FDI. The same was expected in 2010, however only USD 815 mln entered the country. Political party leaders also mention that foreign currency flight from Georgia has become a clear tendency, as already in the first quarter of 2011 USD 53 mln was taken out of the country. The party thinks that the major reason for such a situation is the lack of democratic institutions and their efficient functioning in Georgia. The party urges the governing bodies to implement as soon as possible serious steps as regards improving taxation, and the political and legal environment of the country.