Finance

The bank's customer service center (hotline) reported that the rate on pension loans is issued at an annual rate of 24-25%.It is also difficult to indicate the effective rate for consumer loans. The operator notes that it is possible only after filling out the application, during the session processing.The nominal rate is determined from 9.9% for Liberty's salary clients and from 15.9% for clients of other banks.Consumer loans, including pension loans, are issued for a term of up to 4 years. The borrower's age at the end of the loan should not exceed 84 (overdraft up to 76 years).As of Q1/2025, the volume of loans secured by pension (and other social payments) (total value, not principal amount) is 439.7 million GEL (2024 – GEL 431.3 million GEL).In the first quarter of 2025, the volume increased, while the number of loans decreased. Total, 286,877 units of credit have been issued (01.01.2025 - 294,991).Annually, the volume has increased by 4.7%, the number has decreased Q1/2024 – 420 million; 341,388 units of loans).

1749820875

Crystal to have the highest interest rate on a certificate of deposit

Including a certificate of deposit, an analogue of which, with the same parameters, Crystal has issued before its transformation into a bank (2023). The most secure, promissory note-type security is "Moneta", which will become even more flexible after being renamed a certificate of deposit.The microbank believes that along with small and medium-sized business loans, "Crystal" has a competitive advantage in the market with this deposit product.At this stage, the security with a maturity of up to 2 years is priced at 13.5% in GEL. The yield of the certificate denominated in USD and EUR is 2-2.5% higher than the market rate, respectively, the annual rate in USD is 6.25%, in EUR - 4.75%.Filling out consumer and auto loan applications in "Crystal" is already convenient remotely. The management has developed 95 projects for the formation of a bank, including the development of digital channels.The management believes that it is well positioned in the segment of lending to small and medium-sized enterprises, because it is a niche for "Crystal". It is closer to business and, accordingly, better knows their needs.At the moment, Microbank Crystal issues mortgage loans from 18% (effective from 22%), consumer loans from 20% (effective from 23.5%), car loans from 16% (effective from 28%) and also car pawnshops from 16% (effective from 30%). As of May 1, "Crystal" is represented in the banking market with a credit portfolio of 564 million GEL, with a market share of 0.9%. It has the largest portfolio among microbanks (2nd MBC holds 0.2%). It is also large in several banks operating in the former MFO market (Pasha Bank, Ziraat Bank, Silk Bank).

1749820343

Parliament Approves National Bank of Georgia’s 2024 Report

In her address to Parliament, Turnava outlined the NBG’s strategic priorities during the reporting period, emphasizing the Bank’s core mandate: maintaining price stability as a foundation for long-term economic growth. Georgia has followed an inflation-targeting regime since 2018, with a target rate of 3%.“In 2024, inflation remained low and stable, averaging 1.1%, while core inflation—excluding food, energy, and tobacco—stood at 1.6%,” said Turnava. “This low inflation environment was largely driven by domestic factors and effective monetary policy. The stable effective exchange rate of the lari also contributed significantly.”Turnava noted that the NBG reduced the refinancing rate by 1.5 percentage points to 8% in the first half of 2024. However, due to rising global risks in the second half, the Bank adopted a cautious stance, keeping the policy rate unchanged.“This policy supported a resurgence in credit activity, boosting aggregate demand. With rising domestic demand and improved productive capacity, Georgia experienced real GDP growth of 9.4% in 2024,” she said, adding that external demand also contributed positively.International Reserves & FX Market Management The President of the National Bank emphasized the importance of international reserves in maintaining macroeconomic stability. As of December 2024, Georgia’s reserves stood at $4.4 billion.She explained that while favorable conditions in early 2024 allowed the NBG to replenish reserves via FX interventions, the second half of the year saw market volatility and speculative pressures, prompting the NBG to intervene by supplying USD liquidity to stabilize expectations.“Despite short-term pressure, we resumed reserve accumulation by year-end. Total net FX sales in 2024 amounted to $434.75 million. As of May 2025, official reserve assets reached $4.6 billion, fully offsetting last year’s net sales,” Turnava stated.Turnava also addressed the ongoing challenge of financial dollarization, noting progress made due to structural reforms implemented by the NBG.“Loan dollarization decreased to 43.3% from 55.4% in 2019, and deposit dollarization fell to 52.2%, down from 64%. However, dollarization remains a key risk,” she noted. “To address this, we continued implementing our long-term de-dollarization plan, including further reductions in limits on unhedged FX loans, which will be capped at GEL 500,000.”

1749723763

Problem mortgages increased in USD, while decreased in GEL

As of 01.05.2025, non-performing mortgages in the GEL portfolio amounted to 112 million GEL (L/m -109.4 million). In EUR, it exceeds the equivalent of 37 million GEL (L/m - 35.7 million).At the same time, the problem ratio is still at a low 1.4% in GEL. In USD, it exceeds 2% (1.9%). In EUR, it exceeds - 2.3%.Of the 195 million GEL of overdue mortgages, the USD portfolio accounts for the equivalent of 46.2 million GEL, which is 1.5% less than the previous month and 2.7% less than the previous year (L/m – 45.9 million), 01.05.2024 – 47.5 million).According to the interactive statistics of the Bank of Georgia, as of May (01.05.2025), there are 12.3 billion GEL of mortgage loans in the banks' portfolio. Of which 66.66% are denominated in GEL (L/Y – 62.1%)

1749723582

AI in Finance Awards Winner in 9 Categories

Chatbots and Virtual Assistants; Improving Customer Experience; Personalized Financial Advice; Private Banking; Financial Fraud Detection and Prevention; Credit Assessment. And one each in the nomination “Best Bank in Retail”In corporate and investment services, Bank of Georgia received 4 awards, in the nominations:• Best, Corporate in the Country and Region (Central and Eastern Europe);• Award in the Fintech subcategory, as well as at the country and regional levels.“The use of artificial intelligence is our strategic direction. Through technology, we create a simple, fast and personalized experience for both retail and business customers. These awards are a testament to the tireless work of our team, constant pursuit of innovation and customer-centric approach,” said Mikheil Nadareishvili, Head of the Data Analytics Department at the Bank of Georgia.

1749723404

US-China Trade De-escalation Boosts Georgian Pension Fund Returns

According to the report, the global market rally had the most significant effect on the dynamic portfolio, which saw a monthly return of 2.42%. In comparison, the balanced and conservative portfolios yielded 1.84% and 1.25%, respectively.Portfolio Breakdown by International Equity Allocation: Dynamic Portfolio – 47.9% Balanced Portfolio – 30.3% Conservative Portfolio – 16.3% Since the launch of the dynamic portfolio on August 6, 2023, its annualized return has reached 13%. Over the same period, the balanced and conservative portfolios have posted nominal returns of 12.3% and 11.4%, respectively.As of the end of May 2025, the total assets of the Pension Fund of Georgia amounted to GEL 6.9 billion, with GEL 1.7 billion generated in investment returns.Let me know if you'd like a shorter version for headlines or social media posts.

1749722541

Pension Fund Savings Reach GEL 6.9 Billion

As of the end of May, the number of participants in the system has grown to 1.4 million, according to the Pension Agency.Under Georgia’s current funded pension legislation, all employers are required to enroll their employees in the system. Contributions are structured as follows: 2% from the employer 2% from the employee 2% from the state, transferred from income tax This results in a total monthly contribution of 6% of an employee’s salary into the pension fund. These contributions are then invested to generate additional returns, growing the fund’s overall value.

1749553307

Shares of all three Georgian companies listed on the London Stock Exch...

Lion Finance Group (BGEO LN) shares closed at GBP 68.90/share (+3.14% w/w and +8.93% m/m). More than 156k shares traded in the range of GBP 66.10 - 68.90/share. Average daily traded volume was 53k in the last 4 weeks. The volume of BGEO shares traded was at 0.35% of its capitalization.TBC Bank Group (TBCG LN) closed the week at GBP 45.10/share (+1.01% w/w and -6.24% m/m). More than 214k shares changed hands in the range of GBP 43.45 - 45.65/share. Average daily traded volume was 59k in the last 4 weeks. The volume of TBCG shares traded was at 0.38% of its capitalization.Georgia Capital (CGEO LN) shares closed at GBP 19.16/share (+2.24% w/w and +13.91% m/m). More than 163k shares traded in the range of GBP 18.46 - 19.30/share. Average daily traded volume was 50k in the last 4 weeks. The volume of CGEO shares traded was at 0.41% of its capitalization.

1749464080

ProCredit loses return on equity

The market share in lending has decreased to 2.1% (01.05.2024 -2.24%). In deposits, ProCredit maintains a 2.17% share.ProCredit expects long-term returns from the bank's shareholders' investments. As the bank's CEO Alex Matua stated on BMG, there is no pressure to maximize profits, priority is given to caring for the environment, developing the economy, and supporting small businesses.The bank, with German capital and the highest credit rating (BB+), is ranked 7th among large-portfolio banks with a share of 2.04%. (L/y №6 2.21%).The bank's net profit has decreased. The January-April (2025) figure is 9.7 million GEL (L/Y – 12.6 million; -22.5%Y.Y).

1749463638

Pave Bank is in loss

“Our goal is to provide an efficient and secure environment for businesses of all sizes. Our access to foreign exchange services, corporate treasury tools and global banking infrastructure makes us more attractive to international investors and enterprises,” notes Salim Dhanani, CEO of Pave Bank Georgia, who informed Business Media last week about the expansion of the network of correspondent banks. In the USA, Great Britain, Switzerland, Luxembourg and Turkey.Dhanani did not discuss the European direction in detail with the media (he visited several TV stations and told the media about the plans for the programmable bank).So far, Paysera has the market advantage in Europe, with a commission of 7 Euros, which is due to its involvement in SEPA (Single Euro Payments Area).However, Pave Bank is the largest among digital banks, with assets of 37.4 million GEL. (Paysera - 24.3 million; Hash: 36.2 million).Pave is also the largest in terms of deposits. The bank has 27 million GEL of accounts of legal entities (Paysera - 2.07 million).

1749463115

The trade deficit of foreign trade is below 50%

1749812623 • Economics

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ProCredit loses return on equity

1749463638

IMF mission has issued a conclusion. Recommendations have been given t...

1749037003

TBC Bank Group Issues $200 MLN For Uzbekistan

1749206993

Pave Bank is in loss

1749463115

Politics

1749817068

Zourabichvili participates in GLOBSEC Forum in Prague

During the forum, Zourabichvili held discussions with Czech President Petr Pavel and French Minister for Europe Benjamin Haddad, focusing on the ongoing developments in Georgia.The press service reported that, in the course of these conversations, Salome Zourabichvili spoke about: “the current situation in Georgia, including the widespread repressions carried out by the Georgian Dream government, the imprisonment of political figures, heavy fines, and the large-scale fines imposed on those who oppose or criticize the government’s foreign policy and domestic policies”.

1749812813

Gvaramia, sentenced to imprisonment, arrived at Rustavi Prison No. 12...

Earlier, Nika Gvaramia wrote on social media: "Not a single step back! Our homeland is behind us! The oligarchy must fall! Glory to Georgia!".During the trial, the prosecutor's office requested that the preventive measure imposed on Nika Gvaramia, the 30,000-GEL bail, be replaced with imprisonment. The judge granted the prosecutor's request and replaced Gvaramia's bail imposed as a preventive measure with imprisonment.The accused politician did not pay the bail imposed on him within the period established by law.Nika Gvaramia was summoned to give an explanation before the Temporary Investigative Commission of the Parliament of Georgia, where he did not appear. In this regard, he has been charged under Article 349 of the Criminal Code, which refers to "failure to comply with the request of the Temporary Investigative Commission of the Parliament of Georgia", which is punishable by a fine, or imprisonment for a term of up to one year, or deprivation of the right to hold a position or engage in activity for a term of up to three years.Nika Gvaramia was granted bail of 30,000 GEL as a preventive measure, which was set at 50 days. The aforementioned period expired on June 7.Several other politicians have been arrested on charges of failing to appear at the Tsulukiani Commission. Among them: former Defense Minister Irakli Okruashvili, Nika Melia, co-founder of the Akhali party and leader of the Girchi More Freedom party Zura Japaridze.Criminal cases have also been opened against other politicians for failing to appear at the Tsulukiani Commission, who chose to pay bail rather than imprisonment. These are: Mamuka Khazaradze and Badri Japaridze - 50,000 GEL each, Givi Targamadze - 10,000 GEL, and Giorgi Vashadze - 50,000 GEL.

1749722653

Kobakhidze: Hate campaigns in Georgia are externally funded and will b...

“A campaign of hate and contempt is underway in Georgia, and this phenomenon is not unique to our country. Similar externally funded campaigns are taking place in other nations as well, including Hungary. We are closely monitoring these developments and cannot allow such efforts to be successfully planned or carried out.In Georgia, these campaigns are clearly supported by foreign funding, and we will confront them using all legal means. Hatred and contempt hinder the country’s progress, and we have every right—within the bounds of the law—to resist these artificially imposed narratives. There should be no place for such destructive sentiments in Georgian society,” he added.

1749555898

Tamar Taliashvili's candidacy for the position of Georgian Ambassador...

“In accordance with subparagraph “a” of paragraph 1 of Article 52 of the Constitution of Georgia and subparagraph “g” of Article 5 of the Law of Georgia “On the Structure, Powers and Procedures of the Government of Georgia”, the candidacy of Tamar Taliashvili shall be submitted to the President of Georgia for appointment to the position of Ambassador Extraordinary and Plenipotentiary of Georgia to the United States of America from July 10, 2025,” reads the document signed by Kobakhidze.Another decree is dated June 9, according to which Irakli Kobakhidze addresses Mikheil Kavelashvili with a proposal regarding the dismissal of Tamar Taliashvili from the position of Permanent Representative of Georgia to the Council of Europe from July 10.According to state media, Taliashvili has already received an agreement from the Trump administration.Who is Tamar Taliashvili? Tamar Taliashvili has been Georgia's Permanent Representative to the Council of Europe since October 2022, having previously resigned from her parliamentary seat, which she won in October 2020 under the Georgian Dream parliamentary list. Tamar Taliashvili (two terms) was a member of the Tbilisi City Council from 2014 to 2020, during which time she chaired the Education and Culture Commission. Taliashvili was nominated for the US Secretary of State's Women in Public Service nomination in 2011. Before entering politics, Tamar Taliashvili worked at various times as a legal assurance program manager for the USAID Fiscal Reform Project and as a legal advisor to the German foundation GIZ.

1749553560

Zviad Kharazishvili was replaced by Roman Kartsivadzi

“Another change in the Ministry of Internal Affairs concerned the Special Tasks Department - Roman Kartsivadze was appointed to the position of Director of the said department,” the information released by the agency says.Against the backdrop of the pro-European protests that began after November 28, 2024, Zviad Kharazishvili has been in the spotlight several times. Once, when he cursed citizens gathered at the rally with a loudspeaker.Also, employees of the Special Tasks Department of the Ministry of Internal Affairs have raped participants of the rally and journalists. No one has been punished so far.This fact was followed by the sanctioning of “Khareba” by a number of countries. Among them, he was sanctioned by the US and Great Britain.According to the Ministry of Internal Affairs, the new Minister of Internal Affairs, Gela Geladze, has a new deputy - Mariam Tabatadze has been appointed to the vacant position, who will head the economic and logistics departments, as well as the LEPL Health Care Service.