According to initial estimates, foreign direct investments decreased by 48.2% YoY from 623 mln USD in Q3 2017 to 323 mln USD in Q3 2018. Level of FDI inflows continues to normalize following the completion of South Caucasus Pipeline Extension project. In addition, according to Geostat, some non-resident companies registering as residents also contributed to the one-off decline of FDI inflows in Q3 2018.
In Q3 2018 FDI inflows increased in manufacturing (+28.5% or 13 mln USD YoY), hotels and restaurants (+21.3% or 6 mln USD YoY) and real estate (+20.7% or 7 mln USD YoY). Decrease of FDI was registered in construction (-94.7% or -111 mln USD YoY), transportation (-72.3% or -119 mln USD YoY), financial (-70.3% or -50 mln USD YoY) and energy sectors (-49.9% or -46 mln USD YoY).
Source: TBC Research
