Foreign direct investment into Georgia slowed in the first half of 2026. Total FDI came to about $750 million, down $211 million, or 22%, compared with the same period a year earlier.
Where the money came from
China was the largest source of investment, at $236 million, a sharp turnaround from a negative figure of $29 million in the first half of 2025. The United Kingdom followed with $176 million, then Malta ($63 million), the United States ($58 million) and the United Arab Emirates ($52 million).
Energy was the weakest sector. FDI into energy fell 66.9% to $41.2 million, with the Netherlands and Türkiye among the main contributors.
A reminder on contract risk
In September a US federal court in Washington, D.C. confirmed an arbitration award requiring Georgia to pay the Turkish contractor ENKA more than $400 million over the collapsed Namakhvani hydropower project. The original 2024 award was about $383 million, and interest has since pushed the total higher. Georgia is separately challenging the award in France.
Why it matters for leaders
Headline growth is strong, but long-term capital is more cautious, especially in energy. For Georgian companies looking for foreign partners, predictability of contracts and regulation is now as important a selling point as growth rates.
Sources
Photo: Bao Menglong / Unsplash