The meeting of the Government of Georgia was held on September 1, 2010. The agenda consisted of 29 items.
Prior to beginning of the meeting the Georgian Prime Minister Nika Gilauri focused upon the several issues. Here is the speech of the Prime Minister:
"I want to furnish the society with macroeconomic information. I want to focus upon 2 particular topics -inflation and private foreign flows.
As to inflation, inflation growth rates are apparent. This is provoked by rise in food stuffs prices on international markets. The Russian market was blocked several weeks ago, I mean, wheat export. As to wheat export, a decision on blocking the Ukrainian market should have been made. Although nothing has happened.
The President gave a particular assignment to us to find alternative markets and diversify import of wheat to Georgia.
During the last week we worked together with the Minister of Agriculture and chose Ukraine as one of the main directions.
We received an initial consent on additional wheat import. It concerns 150 thous. tons. Accordingly, it will cushion the situation which may arise in the next 2-3 months due to increase of prices in the country.
We have also a long-term Action Plan the implementation of which we started at the beginning of this year. The Action Plan means wheat seed substitution program. Crop should be updated. We are importing a new, much better wheat seed and will start distribution thereof among farmers in the nearest future.
We are working with new suppliers over framework agreements in the USA and other countries to fully diversify delivery of crops in the country.
The prices, which are already fixed and inflated, were panic. Speculative increase of prices has finished and does not mean a great problem.
As to another topic, it touches private direct investments.
During the previous 6 months there was increase of the country's economic activity according to practically all parameters: gross domestic product, export, each industry and agriculture.
The only problematic and descending factor was foreign direct investments. Although, it was substituted by the sums transferred by donor organizations during this period.
I want to highlight that the data of Quarter II which are very positive. If during Quarter I the total foreign flows were 78 mln USD, the figures of Quarter II totaled 198 mln USD.
The total figure of the first 6 months reaches up to 290 mln USD which is a pretty good figure. We have a positive growth in this direction. I think that foreign direct investments in Georgia will be more improved in Quarter III and IV. The economy showed that it is very stable, very good increase is fixed within 6 months.
The only figure which was imperfect is the figure of foreign direct investments which has considerably improved in Quarter II".
Press Office of the Prime Minister