International Investment Position of Georgia
Net international investment position (IIP) of Georgia amounted to -16.1 billion of USD (-26.5 billion GEL) by 30th of June 2013, that is 100.9 percent of Georgian GDP. This figure is decreased by 1.4 billion USD (2.2 billion GEL) compared to the number of the second quarter of 2012 and by 176.7 million USD (291.7 million GEL) compared to the previous period data. Transactions and exchange rate changes were negative; and price changes and other changes were positive during the quarter. Total international assets amounted to 5.8 billion of USD (9.6 billion GEL) as for 30th of June 2013. 51.3 percent out of total international assets consists of reserve assets; 25.2 percent - of other investments; 22.9 percent - of direct investment abroad; and 0.6 percent of portfolio investment and financial derivatives. 16.9 percent of total international assets consists of currency and deposits; 5.9 percent - of trade credits; 2.1 percent - of loans. Reserve assets increased by 200.7 million of USD (331.4 million GEL) compared to the record of 30th of June 2012. By the end of the second quarter of 2013 Reserve assets amounted to 3.0 billion of USD (4.9 billion GEL). 201.0 million of USD (331.9 million of GEL) out of net annual changes of reserve assets was due to transactions and -4.9 millions of USD (-8.1 million of GEL) - due to exchange rate changes.
As for liabilities, by the end of same period, total liabilities amounted to 21.9 billions of USD (36.1 billion of GEL), that is 2.0 billion of USD (3.3 billion of GEL) increase on annual base. The liabilities to direct investors has increased by 13.1 percent compared to the second quarter of 2012 and amounted to 11.4 billions of USD (18.8 billion GEL). Portfolio investment liabilities grew by 5.5 percent annually, and amounted to 2.0 billions of USD (3.2 billion of GEL). Out of total portfolio investment liabilities 545.4 million USD (900.4 million of GEL) are Georgian government's Eurobonds, 596.9 millions of USD (1.0 billion GEL) - Eurobonds of Georgian railway and 261.9 millions of USD (432.0 million of GEL) - Georgian Oil and Gas Corporation bonds. Treasury bills and treasury notes bought by non-residents, total 96.0 millions of USD (158.6 million GEL) is included in this component.
By the end of the second quarter of 2013 other investments liabilities increased by 7.5 percent compared to the same period record of preceding year, and amounted to 8.6 billion of USD (14.2 billion of GEL). Out of that amount, 6.7 billion of USD (11.0 billion GEL) is comprised by loans. Monetary authorities' loans decreased by 55.3 percent as compared to the same period record of the previous year and amounted to 217.7 million of USD (359.3 million GEL). External liabilities of general government grew by 9.1 percent annually due to increase of long-term liabilities. Liabilities of other sectors increased by 21.7 percent annually and amounted to 1.8 billion of USD (2.9 billion of GEL) by 30th of June 2013. On the contrary, banking sector loans decreased by 3.7 percent totaled to 1.3 billion USD (2.1 billion GEL). This fall was mainly conditioned by the decrease of short-term external liabilities in banking sector. Currency and deposits liabilities increased by 37.7 percent compared to the previous year record and reached 906.6 million USD (1.5 billion GEL).
By the end of June 2013, other long-term liabilities of the National Bank of Georgia amounted 216.5 millions of USD (357.5 million GEL), which is the allocation of Special Drawing Rights (SDR).