Azerbaijan remains the top investor in neighboring Georgia, according to a preliminary report issued by the Georgian National Statistics Service (Geostat). Baku allocated $434 million in the first half of 2016, which amounts to 33 percent of the total foreign direct investments in Georgia.
Notably, Turkey and Luxembourg rank second and third top investors in Georgia, allocating $196 million and $68 million respectively over the same period, said the Geostat’s report.
Azerbaijan’s State Oil Company (SOCAR) is the largest investor in Georgia’s economy, currently. SOCAR has a wide network of gas stations in Georgia and operates the oil terminal in Kulevi port, which is used for transporting of untreated oil and combustible products to the world markets.
“Currently, more than 250 Azerbaijani companies are operating in Georgia, while 243 Georgian companies are registered in Azerbaijan. In recent years, «SOCAR Georgia» (Azerbaijan’s State Oil Company’s subsidiary) is the largest taxpayer in Georgia,” said Shahin Mustafayev, Azerbaijan’s Economy Minister as part of meeting with his Georgian counterpart late October.
Azerbaijan, Georgia’s eastern neighbor, has been its largest investor the third year in a row in. According to previous reports, other country’s direct investments in Georgia amounted to $891 million for the period of 2014-2015. Baku's interest stems from an investment climate in Georgia that is favorable for those engaged in transport and communications, construction, manufacturing and financial sectors, as well as hotels and restaurants.