Deficit of the current account of the balance of payments for the 3rd quarter of 2009 has decreased by 8.1 percent as compared to the previous quarter and amounted to 228.6 million of USD. Reduction was considerably higher comparing with the 3rd quarter of the previous year (circa 3-times).

During the accounting period, comparing with the 2nd quarter of the current year exports of goods increased by 24.2 million of USD, and imports of goods - by 96.4 million of USD. Therefore balance trading with goods has deepened totaling 583.3 million of USD. That is 14.1 percent higher as compared to the previous quarter and 34.7 percent less than it was in the 3rd quarter of 2008.

Balance of services is positive and equals 130.0 million of USD for the 3rd quarter of 2009. From this amount the export of services is 378.6 million of USD. It has increased by 20.8 and 16.5 percent as compared to the preceding quarter and analogous period of 2008, correspondingly. As for imports of services, it amounts to 248.6 million. That is increase by 5.9 percent and decrease by 26.9 percent as compared to the previous quarter and the same period of the last year relatively.

In the trade with services usually the tourism service has notable positive balance (105.1 million of USD). It has enlarged by 45.3 percent year-on-year and 64.9 percent quarter-on-quarters. The second positive component is communication services constituting 29.3 million of USD. The export of that item has increased by 10.6 percent comparing with the previous quarter. As compared to the same quarter of 2008 it has enlarged by 10.2 percent. As for imports, it has grown by 12.1 percent in comparison with preceding quarter and lessened by 21.8 percent as compared to the 3rd quarter of 2008. The insurance services is the only item distinguished with a negative balance (-22.7 million of USD).

Balance of income is negative equaling -27.8 million of USD in the 3rd quarter of 2009. Income credit has amounted to 118.7 million of USD which is 10.8 percent higher than the same indicator for the previous quarter and 8.6 percent less than the figure for the 3rd quarter of 2008. Debit of income has increased considerably totaling 146.5 million of USD. That is 32.77 and 18.6 percent increase quarter-on-quarter and year-on-year accordingly.

Volume of current transfers is the highest positive component of the current account constituting 252.6 million of USD. It has risen as compared to both, preceding quarter and the same period of the last year (35.1 and 13.2 percent relatively). Inflow of current transfers amounted to 271.2 million of USD, while outflow equaled 18.6 million of USD. In the 3rd quarter of 2009 current transfers of the public sector grow 2.6-times. An increase of other sectors’ current transfers amounted to 27.2 percent.

Capital transfers for the 3rd quarter of 2009 equals 43.4 million of USD. That is increase by 22.3 percent in comparison with the 2nd quarter and nearly 2 times growth as compared to the same period of 2008. During the accounting quarter, capital transfers of the government sector equaling 39.8 million of USD, increased by 21.1 percent comparing with the previous fourth and circa 2 times relative to the same period of 2008.

In the 3rd quarter of 2009 direct investments amounted to 228.2 million of USD which is 49.6 percent higher than it was in the previous quarter and 2.3 times larger as compared to the analogous period of 2008. Direct investment enlargement took place in equity capital, while it lessened in other capital.

Balance of other investments amounted to 391.3 million of USD in the reporting period and it has been enlarged as compared to the previous quarter as well as compared to the same period of the last year (7.0 times and by 2.9 percent correspondingly). That was caused by a substantial growth of both assets (147.0 million of USD) and liabilities (538.2 million of USD). Increase in assets of other investments mainly comes from growth of currency and deposits, predominantly in the banking sector (163.8 million of USD). Enlargement of liabilities entirely was resulted by the new debt drawings. During the reporting period, loans of public sector have increased by 284.9 million of USD. External debt of the National Bank has augmented by 37.7 million of USD. Indebtedness of other sector has deepened as well (by 34.4 million of USD). In the 3rd quarter of 2009, the banking sector was the only sector in which an external indebtedness improving has taken place (by 102.2 million of USD).

In August-September of 2009, the International Monetary Found (IMF) approved a proposal for a new allocation of Special Drawing Rights (SDR) for all members. As a result, Georgia received a sizeable increased amount of SDR.  Later on, IMF determined to consider changes in SDR account as a BOP operation and gave instructions to include this operation in reserve assets on the one hand and in the long term liabilities of other investments item on the other hand. Due to this, in the 3rd quarter of 2009, the long term liabilities of the National Bank of Georgia have amounted to 225.5 million of USD.

During the reporting period, reserve assets increased by 467.0 million of USD. As mentioned above, growth in the SDR account was substantial equaling 210.4 million of USD. The total foreign currency reserves have enlarged by 256.5 million USD.