- Russian FDI in Georgia rose 16.8% year-on-year to $56.7 million in the first nine months of 2025, ranking Russia ninth among investor countries.
- Most inflows went to real estate ($15.3M), construction ($11.7M), and hospitality ($10.9M), with smaller amounts in manufacturing, IT, and other sectors.
- Recipient firms cited include Samsung Electronics Caucasus, KDV Georgia, and Delivery Technologies Georgia, though investment amounts by company are not disclosed.
- Georgias overall FDI was volatile in 2025, falling in Q1 and Q2 before surging to $533.2 million in Q3.
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The latest Geostat data and reporting confirm a significant uptick in Russian FDI into Georgia in the first nine months of 2025: US$56.7 million, up 16.8% year-on-year, placing Russia as the 9th largest source of investment over that period. While sizeable in percentage growth, the absolute figure remains modest when compared to largest FDI inflows from other countries. This suggests Russia remains a secondary investor, with influence in select sectors rather than broad commercial dominance.
Sectoral allocation reveals strategic choices and patterns. Nearly 60% of Russian FDI is concentrated in real estate, construction, and hospitality—three sectors sensitive to regulatory regimes, land use, tourism, and consumer demand. Smaller investments in manufacturing (US$8.3M), IT (US$3.8M), agriculture, transport, and professional services indicate either high barriers or lower incentive in those sectors for Russian capital.
Corporate recipients include major names such as Samsung Electronics Caucasus, KDV Georgia, and Delivery Technologies Georgia among others. While not ranked by investment size, presence of well-established consumer brands suggests Russian capital may be targeting visibility and integration into consumer goods and services value chains.
Broader investment trends in Georgia during 2025 show both growth and decline: FDI overall fell by 7.7% in Q1 and 12% in Q2 relative to 2024, but surged in Q3 to US$533.2 million, doubling year-on-year. These swings suggest that while Russian FDI is increasing, it remains vulnerable to macroeconomic, geopolitical, and policy-driven pressures affecting investor risk assessments.
Strategic implications include potential pressure on Georgian policy from both domestic and international stakeholders concerning Russian involvement in sensitive sectors like real estate and hospitality; regulatory or sanction risk; and the need for Georgia to balance investment attraction with political and economic security. Open questions involve the trend for the remaining three months of 2025, the relative returns of these investments, and whether policy will shift to discourage or restrict Russian capital in certain domains.
Supporting Notes
- Russian FDI in Georgia in first nine months of 2025: US$56.7 million, up 16.8% YoY; Russia ranked 9th among investing countries.
- Sectors by Russian investment: real estate US$15.3M; construction US$11.7M; hospitality US$10.9M; manufacturing US$8.3M; IT US$3.8M; trade & vehicle repair US$2.5M; professional/scientific activities US$1.4M; agriculture US$1.1M; administrative/support services US$719,000; transport & warehousing US$230,000.
- Top companies receiving Russian investment include Samsung Electronics Caucasus, Lermont LLC, KDV Georgia LLC, C.I.G LLC, Legero LLC, Delivery Technologies Georgia, NGS Group, Alliance Privilege, Alazani, Chateau Gremi—all unranked by investment size.
- Total FDI in Georgia dropped 7.7% in Q1 2025 (US$179.4M) vs Q1 2024; in Q2 dropped 12%, but in Q3 surged to US$533.2M, about double that of Q3 2024.
- In Q2 2025, the financial and insurance sector made up 56.4% of total FDI, with real estate second highest at 11.4%, illustrating sectoral shifts in foreign capital sources.