Exports up by 30.8% y/y in March 2021
In March 2021, exports surged by 30.8% y/y to US$ 326.3mn after a 2.9% growth in previous month. Imports also increased by 17.8% y/y to US$ 767.9mn, recording growth for the first time since March 2020. As a result, trade deficit widened by 9.8% y/y to US$ 441.6mn. Overall, in 1Q21, trade deficit was down 7.3% y/y to US$ 1.1bn as exports increased by 5.3% y/y to US$ 821mn and imports decreased by 2.4% y/y to US$ 2.0bn.
Money transfers up by 49.5% y/y in March 2021
In March 2021, money transfers surged by 49.5% y/y to US$ 188.2mn, after growing 17.5% y/y in previous month, according to NBG. From major remitting countries, money transfers increased strongly from Russia (+26.8% y/y, 17.1% of total), Italy (+76.3% y/y, 16.2% of total), USA (+59.8% y/y, 12.8% of total), Greece (+27.3% y/y, 11.0% of total) and Israel (+32.7% y/y, 8.3% of total). Overall, in 1Q21 money transfers were up 28.4% y/y to US$ 499.3mn.
NBG sold US$ 25.4mn
On 15 April 2021, the NBG intervened on the FX market and sold US$ 25.4mn out of offered US$ 40mn to limit GEL’s depreciation. This was 6th FX intervention YTD for a total sale of US$ 212.9mn through FX auctions.
Georgia successfully priced a US$ 500mn 5-year Eurobond
On 15 April 2021, Georgia successfully priced a US$ 500mn, 5-year Eurobond. The coupon rate for the bond was determined at 2.750%. The Eurobond was met with strong investor demand, with orders reaching US$ 2.0bn. After the book building the yield on the Eurobond was determined at 2.875%, representing c. 207bps spread over comparable US treasury (UST 0.750% due Mar 2026). Goldman Sachs International and J.P. Morgan Securities plc acted as a Joint Global Coordinators and Joint Bookrunners on the transaction along with ICBC Standard Bank Plc (the “Joint Bookrunner”) while local investment banks JSC Galt & Taggart and TBC Capital LLC acted as Co-managers.
