American Statistics Against Georgia
21 June, 2012
American Statistics Against Georgia

Counting Paradox or Gross Crime?

How much of Georgian-American Trade is shadowed, how much is accordingly lost in unaccounted tax payments to the budget and who benefits from it? These questions have been answered by the recent study by Shalva Mekvabishvili, Doctor of Technical Sciences and former high-ranking official of the Control Chamber and Revenue Service. His findings are extremely worrying and attracts the interest of the American Embassy and Diplomatic corps.

The study reveals that the GeoStat data do

not fit into the corresponding data of American Statistical Agency. Notably, there is a great difference. For example, according to the American accounts, American export to Georgia for the period of 2004-2012 was estimated at 3.0087 billion US dollars. However, corresponding Georgian data quotes only 1.6624 billion US dollars for the same indicator. The mismatch – 1.3463 bln USD - is away beyond the imaginable.
For the year of 2011, 98.6% of the trade in oil products turns out to have been a part of the shadow economy. Namely, the American data indicate that Georgia imported oil products worth 56.685 million US dollars. In contrast, the Georgian data registered only 0.771 million US dollars, i.e. 74 times less. “It means 98.6% of oil products imported from America to Georgia in 2011 was not registered by the Georgian side and corresponded to smuggled goods!” – reads the study. In the same way, 89.2% of alcoholic commodities are unaccounted for.
By American statistics, the American export to Georgia in 2011 amounted to 538 million US dollars as opposed to the comparatively smaller Georgian export to America worth of 176 million US dollars. So the trade balance was negative for Georgia by 362 million US dollars. In contrast, the data obtained by us, indicates the trade deficit of only 102.3 million dollars.
Shalva Mekvabishvili, author of the study: “About three months ago I was reading the foreign press on the Internet when I came upon the article by Thomas De Vaal, a well-known researcher of the Carnegie Institute. In the article, he was noting that last year Georgia imported goods from America worth of 534 million US Dollars. By the way, the figure has climbed to 579.3 million by now. Of course, the figure given by the article stunned me (I easily remember figures and such a huge sum would not escape my attention) because the Georgian statistics claimed a 2.4 times lower rate for the American import – 245 million US Dollars. Initially I thought of arms import that could have been classified by Georgia. I searched further on and came across the data by the American Statistical Bureau published on its web site that covers all the groups of goods for the period from 1992 to 2012 (1st quarter). The local statistics mainly pivots on the data from Finance Ministry and Statistics Department. In Georgia, it is somewhat hard to collect information on specific indicators. Country-by-country import data is not available. Yet, this is not an insurmountable problem.
The study concludes that the discrepancy between the American and Georgian data on the size of the American import for the last eight years and four months is huge - 1.4 billion US Dollars. The most surprising for me was a similarly huge difference between the export figures as well. Whereas the Georgian side registers 700 million US dollar worth in exports to America, the American side comes up with 1.212 billion US dollars of goods exported from Georgia, i.e. the discrepancy is whopping 512 million US Dollars. No doubt it all goes down to the illegal profit mongering of some people. No less than 1 billion and something Lari has been lost by the State budget. It’s a massive amount for our country. Clearly, what we face is the rampant shadow economy.
Indeed, some supposed the difference might be stemming from a mere technicality of different methodologies used in various countries for counting such data. Yet, even in such circumstances, discrepancies between the data of the two countries could be no more than 5%, surely not 98% as is the case.”

Print
Other Stories
16 persons detained in connection with release of secret recordings
According to the Ministry of Internal Affairs, 16 persons have been detained in connection with the release of secret recordings.
Eka Beselia: “You will not be able to stop me, to make me stay silent, to disappear me!!!
MP Eka Beselia has posted an open letter on her Facebook page, following reports of sex tape leak.
CORRUPTION PERCEPTIONS INDEX 2018: Georgia got 58 out of 100
According to the CORRUPTION PERCEPTIONS INDEX 2018, Georgia scored 58 and was consequently ranked as 41 among 180 countries.
83% of Georgians support integration into the NATO, 78% into the EU – NDI
83% of NDI respondents support Georgia's integration into the EU, - the poll results of the National Democratic Institute say.
January 25 – birthday of the second president of Georgia
The 25th of January marks the 91st birthday of the second president of Georgia Eduard Shevardnadze.
Jack Shepherd from the UK detained in Georgia
A British man who went on the run last year after killing a woman in a speedboat crash on the River Thames has been detained in the former Soviet state of Georgia - says Reuters.
Georgia recognizes Juan Guaido as an interim president
Georgia recognized Venezuelan parliament speaker Juan Guaidó as an interim president.
Georgian PM aims to turn Georgian into a center of the region
Georgian PM Mamuka Bakhtadze is in Davos to participate in World Economic Forum. He gave interviews to two media outlets – CNBC TV and Deutsche Welle.
Judges that served the violent regime of Saakashvili should not be in the Supreme Court, says Eka Beselia
Eka Beselia, a member of the parliamentary majority, held a press conference in the Parliament today.
Possible confrontation within the Georgian Dream Party?
Eka Beselia, a member of the ruling party, will hold a news conference in the Parliament at 12:00 today.
13 dead from swine flu in Georgia, emergency treatment to be free for all
13 people died from swine flu in Georgia so far, but there is no risk of epidemy, says Georgian Minister of Health.
Georgian president Salome Zurabishvili not ready for launching diplomatic dialogue with Russia
I'm not ready to give any advice to the legislative body about the launch of the diplomatic relations or dialogue with Russia
Georgia suffering the steepest drop in democratic quality in eastern Europe
According to the statistics for the Democracy Index 2018, published by Economist Intelligence Unit (EIU),
“Let’s see if you can wrestle with women”- Interior minister to the opposition
Female Police officers were mobilized in front of the Gurjaani District Court where the case of Davit Kirkitadze, the member of the United Opposition was considered.
Georgian citizens can apply for temporary residency in France
150 permits for young specialists as well as additional 500 permits will be granted each year to go to work to France.
Numbers of Georgians seeking asylum in Germany has significantly decreased
According to Ambassador of Georgia to Germany Elguja Khokrishvili, the drop of asylum requests has been due to recently taken steps.
U.S. Congress supports Georgia with a new bill
Unanimously the U.S. approved the act, which calls for imposing sanctions on Russian actors for the commission of serious human rights abuses in the occupied Georgian territories of Abkhazia and South Ossetia.
‘Horn wrestling’ between opposition party leader and police chef
Yesterday on the 16th of December, clashes occurred between Nika Melia, leader of the United National Movement and Teimuraz Kupatadze, head of patrol police department in the village of Velistsikhe, Kakheti region (eastern part of Georgia).
Salome Zourabichvili officially becomes the fifth president of Georgia
The inauguration ceremony of president-elect Salome Zourabichvili took place in Telavi, Kakheti (eastern region of Georgia) on the 16th of December.
Fight erupt in paliament between Georgian MPs during session
Verbal and physical confrontation has occurred between MPs in the parliament.
Famous Georgians invited at the Inauguration of Salome Zourabichvili
The inauguration ceremony of president elect Salome Zourabishvili will be held in Telavi, Kakheti (eastern region of Georgia) on the 16th of December.
Exclusive interview with Lincoln Mitchell, American political analyst and Georgia expert
More than 20,000 people responded to the appeal of the opposition and gathered in front of the former parliament building in downtown Tbilisi last Sunday.
The after-pains of the presidential election in Georgia
Yesterday evening, at a meeting with his supporters in the Philharmonic Hall, the defeated candidate Grigol Vashadze made it clear that he didn’t recognize the result of the presidential elections and called for early parliamentary elections.
National democratic institute publishes their findings about the presidential elections in Georgia
A delegation of the National Democratic Institute, which included observers from five countries, analyzed the election process.
International media about the runoff presidential elections in Georgia
Although it didn’t hit the headlines, newspapers and broadcast around the world report about Salome Zurabishvili as the first woman who became president in Georgia.
PHOTO OF THE DAY
GEL Exchange Rate
Convertor
19.02.2019
20.02.2019
USD
1
USD
2.6404
2.6498
EUR
1
EUR
2.9908
2.9977
GBP
1
GBP
3.4130
3.4246
RUB
100
RUB
3.9898
4.0023
Other Stories
On 26 May, Jean-Claude Juncker, President of the European Commission, joined celebrations in the Georgian capital of Tbilisi
Violation of Georgia’s sovereignty and territorial integrity by Assad regime has been strictly criticized
Exactly one year ago, Georgia was granted visa-free travel with the European Union.
Georgia’s ex-president president Mikheil Saakashvili's supporters managed to free detained Mikheil Saakashvili in the center of Kiev.
The US Ambassador to Georgia Ian Kelly congratulates Georgia on Independence Day.
The regulations on the introduction of visa-free travel for citizens of Georgia have been officially signed in Brussels.
The entire Georgia is involved in Secret Santa game, which means that people are sending gifts to each other secretly
The Minister of Foreign Affairs of Georgia is taking part in NATO Ministerial underway in Brussels, Belgium.
A special squad has been mobilized at the 48th polling station in Marneuli, Kvemo Kartli region.
Two politicians in Georgia have come to blows during a live TV debate ahead of the country’s parliamentary elections, Euronews reports.
GEL Exchange
USD
1
USD
2.6498
EUR
1
EUR
2.9977
GBP
1
GBP
3.4246
RUB
100
RUB
4.0023
February 2019
Mon Tue Wed Thu Fri Sat Sun
1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28