Georgia Settles Its 'Historical Debt' to Azerbaijan

The Ministry of Finance of Georgia has announced that the country has settled its 'historical debt' to Azerbaijan. According to the agency, Georgia has fully paid off the remaining balance of its restructured external debt under an agreement signed with Paris Club creditors back in July 2004.

In addition to Azerbaijan, debts have also been settled with Russia, Turkey, Kazakhstan, Armenia, Iran, and the Netherlands. All debts relate to external obligations incurred during the early years following Georgia's independence.

The payments include a $160 million debt accrued prior to 1999, interest on obligations accumulated from 1999 to May 2004, and debts due for payment from 2004 to 2006 according to a previously established schedule. The total amount of payments has exceeded $225 million.