Fixed Income Securities in Georgia Report Update 3Q2019

  • The total stock of outstanding Georgian bonds increased by 41% Y-o-Y (32% excluding FX effect) by the end of 3Q2019, mainly on the back of local corporate bonds and Eurobonds.
  • Georgia is getting closer to an investment grade rating, which is reflected on the sovereign Eurobond performance as well as increased ownership of local treasuries from non-resident individuals and institutions.
  • Bringing in new investment opportunities for those with USD appetite, four new Eurobonds from Georgian corporates increased the outstanding stock by 72% Y-o-Y in 3Q2019.
  • The outstanding amount of IFI bonds issued in Georgia, represented by 16 bonds from five IFIs, saw a 24% Y-o-Y increase in 3Q2019.
  • The value of newly issued local corporate bonds saw a 161% Y-o-Y increase in 3Q2019. Additionally, a USD 35mln bond by M2 Real Estate and a GEL 28mln bond by Nikora were issued in early October 2019.
  • At end 3Q2019 in total 22 bonds with total nominal value of GEL 2,851mln were listed on the GSE.
  • A new trend of dual-listing has emerged, with three new Eurobonds listed on the GSE at end 3Q2019.
  • With the investment council as well as the chief risk officer in place and GEL 351mln at end 3Q2019, the Pension Agency is expected to start investing in plain vanilla financial instruments from the beginning of 2020.


FMCG Sector Analysis: Moving Fast

November 29, 2019
A pie is getting bigger. The Georgian FCMG market is expected to reach GEL 9.4bn in 2019, up 7% y-o-y. Ongoing urbanization, decreasing unemployment and higher purchasing power drive the domestic FMCG consumpti ... learn more

Residential Real Estate Sector Analysis

November 7, 2019
Sales are down, with the decrease observed both in sold residential units and in sold apartment area. We believe that somewhat steeper decline might be concealed by the lag in the registration of sales.While th ... learn more