Government expects USD 1 bln FDI in 2012

The Georgian Government expects USD 1 bln direct foreign investment in the country in 2012. A similar figure was projected at the beginning of 2011, however according to data available today the country instead had FDI of a total of USD 643 mln last year. Independent analysts challenge these official projections and suggest that this year such a figure is also unrealistic. Different reasons are being cited for that. Firstly the world economy is still in a state of crisis, secondly Georgia has not presented anything new to attract investors with. As is well known, it is easy to start business in Georgia but not that easy to continue it. In addition there is an unstable political background in Georgia. The two forthcoming elections are creating unfavourable conditions for the inflow of investments.