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Georgian foreign debt increases

Tuesday, December 7
Georgia’s foreign debt has increased catastrophically, stated MP Gia Tsagareishvili. By August 1 2010 Georgia’s foreign debt was more than USD 3.5 billion. In 2011 Georgia must pay back USD 191 million, USD 121 in capital and USD 70 in interest. In 2012 Georgia has to pay back USD 325 million, and in 2013 it will have to pay USD 817 million. Of this figure USD 500 million is in repayments for the Eurobond issue which were taken under the initiative of Georgia’s former Prime Minister Lado Gurgenidze. Analysts think that the government will take out new loans to pay back these old debts. So, according to Gia Tsagareishvili’s estimation the situation is very dangerous for the Georgian economy and the population.