Expectations for a 20-30% salary increase have disappeared

Lion Finance Group (BGEO LN) shares closed at GBP 114.40/share (+3.53% w/w and +5.44% m/m). More than 331k shares traded in the range of GBP 110.50 - 115.90/share. Average daily traded volume was 55k in the last 4 weeks. The volume of BGEO shares traded was at 0.77% of its capitalization.TBC Bank Group (TBCG LN) closed the week at GBP 45.30/share (-0.04% w/w and +1.34% m/m). More than 418k shares changed hands in the range of GBP 44.50 - 46.80/share. Average daily traded volume was 68k in the last 4 weeks. The volume of TBCG shares traded was at 0.75% of its capitalization.Georgia Capital (CGEO LN) shares closed at GBP 41.70/share (-1.53% w/w and +2.96% m/m). More than 285k shares traded in the range of GBP 40.10 - 43.20/share. Average daily traded volume was 53k in the last 4 weeks. The volume of CGEO shares traded was at 0.83% of its capitalization.

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According to available information, the businessman had been battling a severe form of lung cancer for the past few months and was undergoing treatment in the United States.Temur Ugulava is credited with founding the Adjara Group, a holding company that is crucial to the country's economy and tourism sector, and has set a completely new standard in Georgian hospitality. He created internationally recognized authentic Georgian brands: Rooms Hotels (in Tbilisi, Stepantsminda, Bakuriani and Batumi) and the Stamba Hotel. His name is also associated with the projects of the Tbilisi Holiday Inn, the popular multifunctional hostel "Fabrika", and the cultural space "Radio City".In addition to tourism, Temur Ugulava's business activities have included a number of sectors: Technology and online platforms: He founded the online shopping platform "Veli.store", the innovative scooter rental application "Scroll" and the coworking space D Block. Gambling and aviation: He owned the largest company in the Georgian online gambling sector "Adjarabet" and the casino "Adjara", which was acquired by the global giant Flutter Entertainment in 2019, which is considered one of the largest deals in the history of Georgian business. The "Aviator" brand is also associated with his name. Media and Sports: Among the projects implemented by the businessman is the international sports television and platform Setanta Sports, which broadcasts in several countries. Adjara Group also manages the Tbilisi Sports Palace. Agriculture: The holding owns the company Udabno, which is one of the largest managers of almond orchards in the country.

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“As of October 1, 2024, land under perennial plantations covered 176,000 hectares, exceeding the corresponding 2014 figure by 60.6 per cent.According to the 2024 agricultural census, the total area of agricultural land as of October 1, 2024, amounted to 809,100 hectares, surpassing the 2014 figure by 2.7 per cent. Arable land in use by holdings was recorded at 325,200 hectares, a decrease of 13.8 per cent on 2014, whilst the area of meadows and pastures stood at 305,600 hectares, marginally above the 2014 figure of 300,000 hectares by 1.9 per cent. As regards additional land categories, uncultivated land in use by agricultural holdings amounted to 116,900 hectares, land occupied by buildings and yards to 46,300 hectares, and greenhouse area to 2,300 hectares as of October 1, 2024.According to the 2024 agricultural census, the total number of grapevines on agricultural holdings in Georgia stood at 164.7 million, of which 96.4 per cent were fruit-bearing.According to the 2024 agricultural census, the number of cattle on agricultural holdings was recorded at 841,000 head, a decrease of 15.0 per cent compared with 2014. The number of cows stood at 412,500 head, down 18.3 per cent on 2014. The sheep population also declined by 25.4 per cent, from 944,000 to 704,400 head. Buffalo numbers fell by 22.8 per cent, whilst the pig population increased by 12 per cent. Poultry numbers grew by 18.9 per cent.As of 2024, agricultural holdings kept 191,500 bee colonies (hives), exceeding the corresponding 2014 figure by 27,600 (16.9 per cent),” reads the GeoStat report.

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As of November 14, 2024, Georgia’s population stood at 3,929,581, representing an increase of 5.8 per cent (215,777 persons) compared with the 2014 census figure of 3,713,804.According to the 2024 census results, the urban population numbered 2,455,444 (62.5 per cent), whilst the rural population stood at 1,474,137 (37.5 per cent). The urban population grew by 15.7 per cent (332,821 persons), whereas the rural population declined by 7.4 per cent (117,044 persons). As a result, the urban-rural balance shifted markedly compared with 2014, with the urban share of the total population rising by 5.3 percentage points to reach 62.5 per cent.The population of Tbilisi was recorded at 1,331,485, exceeding the 2014 census figure by 20.1 per cent (222,768 persons).Compared with 2014, the most significant population increases outside Tbilisi were recorded in the Autonomous Republic of Adjara (20.7 per cent) and the Kvemo Kartli region (4.2 per cent). All other regions saw population declines, with the steepest falls recorded in Guria (9.7 per cent) and Samegrelo-Zemo Svaneti (7.6 per cent). Notable decreases were also observed in Racha-Lechkhumi and Kvemo Svaneti (6.8 per cent), Kakheti (4.6 per cent), and Imereti (4.3 per cent).At the municipal level, the highest growth rate was recorded in Batumi, where the population increased by 54.2 per cent to reach 235,668. Significant growth was also observed in the municipalities of Kazbegi (28.8 per cent), Lentekhi (17.5 per cent), and Marneuli (11.0 per cent). Positive trends were likewise recorded in Kutaisi (9.0 per cent) and Rustavi (5.6 per cent).The most pronounced population declines compared with 2014 were registered in the municipalities of Khulo (29.9 per cent) and Shuakhevi (26.2 per cent). Downward trends were also observed in Tsageri (18.2 per cent), Tskaltubo (15.1 per cent), and Tkibuli (14.9 per cent).Age and sex compositionAccording to the 2024 census, 47.9 per cent of Georgia’s population are male (1,881,004) and 52.1 per cent are female (2,048,577). Compared with 2014, the share of the population aged 65 and over rose by 3.3 percentage points to 17.6 per cent (692,700 persons). The 0–14 age group increased its share by 1.0 percentage point to 19.6 per cent (770,823 persons), whilst the 15–64 age group saw its share fall by 4.3 percentage points to 62.8 per cent (2,466,058 persons).CitizenshipThe number of Georgian citizens rose by 2.5 per cent compared with 2014, reaching 3,775,415; however, their share of the total population declined from 99.2 per cent to 96.1 per cent over the inter-census period. The number of foreign nationals permanently residing in Georgia stood at 133,857.Among foreign citizens, the top five groups by country of origin were: the Russian Federation (37,715), India (23,925), Ukraine (11,542), Azerbaijan (8,309), and Armenia (5,381).Ethnic compositionAccording to the 2024 census, the number of ethnic Georgians increased by 2.5 per cent compared with 2014, reaching 3,304,075. Their share of the total population, however, declined from 86.8 per cent to 84.1 per cent. Azerbaijanis constitute the second-largest ethnic group at 268,832 persons (6.8 per cent), representing an increase of 15.4 per cent, whilst ethnic Armenians form the third-largest group at 169,296 persons (4.3 per cent), up 0.7 per cent on the 2014 census.The ethnic Russian population grew by 60.8 per cent over the inter-census period, reaching 42,545. The number of ethnic Indians rose from 446 to 23,996, whilst the Ukrainian community increased by 139.4 per cent to 14,443. The Arab population grew from 609 to 12,533, Belarusians from 431 to 4,558, and Iranians from 217 to 4,304.The Abkhaz population grew by 5 per cent to 907 persons. Meanwhile, the Ossetian population decreased by 12.3 per cent to 12,611, and the Yazidi community fell by 7.0 per cent to 11,324.ReligionAccording to the 2024 census, 82.0 per cent of Georgia’s population (3,223,206 persons) identify as Orthodox Christians, a figure 4.1 per cent higher than in 2014. Over the inter-census period, however, their share of the total population edged down from 83.4 per cent to 82.0 per cent.The number of Muslims reached 437,458 (11.1 per cent of the total population), exceeding the corresponding 2014 figure by 9.7 per cent. The number of adherents of the Armenian Apostolic Church declined by 6.7 per cent to 101,736. The number of Catholics remained broadly unchanged, whilst the number of Jehovah’s Witnesses fell by 13 per cent to 10,787.Mother tongueAccording to the 2024 census, Georgian is the mother tongue of 85.1 per cent of the population (3,343,987 persons). Compared with 2014, the number of Georgian speakers increased by 2.7 per cent, though their share of the total population declined from 87.6 per cent to 85.1 per cent.Azerbaijani ranks second as a mother tongue, cited by 265,534 people (6.8 per cent), representing a 14.7 per cent increase on 2014. Armenian is listed as the mother tongue by 139,438 persons (3.5 per cent), a figure 3.7 per cent lower than the previous census.Over the same period, the number of Russian speakers increased by 18.6 per cent to 54,460. Ossetian was recorded as the mother tongue by 3,839 persons, a decrease of 32.6 per cent on the 2014 figure. Abkhaz was cited as the mother tongue by 370 persons, an increase of 36.0 per cent on the comparable 2014 figure of 272.According to GeoStat, the census was conducted between November 14 and December 31, 2024.“The census spanned the whole of the country, except for the occupied territories. In line with international standards, the enumeration applies to all permanent Georgian residents, including any foreign nationals or stateless persons residing in Georgia.The reference moment for the population count, the census critical moment, was set at midnight between November 13 and 14, against which all facts were recorded. The agricultural census covered all households and legal entities that, as of October 1, 2024, owned or had temporary use of agricultural land, or kept livestock, poultry, or bee colonies, regardless of whether any agricultural produce had been generated during the reporting year.Data were collected electronically using modern technology. The process took place in two stages: an initial self-registration phase (CAWI) from November 14–23, 2024, followed by in-person computer-assisted interviews (CAPI) from November 29 to December 31. In view of the likelihood that deteriorating weather conditions during November and December would hamper fieldwork in certain high-altitude and hard-to-reach settlements, the census in the municipalities of Mestia, Kazbegi, Lentekhi, parts of Akhmeta (the Omalo administrative unit) and Dusheti (the administrative units of Gudamakari, Magharosikari, Ukanapshavi, Kvesheti, Shatili and Khevsureti, as well as villages within the Pasanauri administrative unit) was conducted in September 2024.

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The placement was conducted in the domestic market in accordance with local regulations and represents the second tranche of a USD 100 million issuance programme. The first tranche was successfully placed in February 2026.Key details of the Notes are as follows: Denomination: USD, with a face value of USD 10,000 per Note. Minimum Investment: A minimum purchase quantity of five (5) Notes. Term: The Notes are perpetual, with an option for the Bank to call them for early repayment after the fifth year. Coupon: An 8.0% coupon rate, payable semi-annually. Ameriabank CJSC acted as the arranger for the placement. The Notes will be listed on the Armenia Securities Exchange."Following the success of the first tranche, the second tranche of AT1 notes was also fully allocated well ahead of the planned timeline, further demonstrating Ameriabank's strong franchise value and the high level of investor trust in the Bank. The second tranche was placed at a yield to maturity (YTM) 50 basis points lower than the first tranche, reflecting robust investor demand. By further strengthening our capital position, this transaction enhances our financial resilience and provides greater capacity to support our growth”, - Hovhannes Toroyan, Ameriabank's CFO, commented.“This second AT1 issuance at a lower coupon rate underscores the market's confidence in Ameriabank's credit fundamentals and capital strength. The transaction enhances our financial flexibility and supports sustained growth across the Armenian market. I would like to thank the Ameriabank team for their excellent execution of this transaction”, - Giorgi Shagidze, Group CFO said.

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From May 19, the deadline for submitting the calculation of minimum reserves to the National Bank of Georgia has become June 18.According to central and commercial bankers, the reduction, which frees up $250 million for the sector, will not affect loans.It will potentially be transferred to deposits, although given the high deposit margins, it does not pose a risk of slowing the pace of larization.Moreover, the norm increased to 25% was already temporary, as it was announced when it was introduced (the purpose - to contain dollarization before the elections).According to the National Bank of Georgia statistics, as of June (01.06.2026), banks have 6.8 billion lari in deposits at the National Bank, of which 5.6 billion lari are required reserves.

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According to GeoStat, the sectors that made the most significant positive contributions to growth in the first quarter of 2026 were Information and Communication (36.0 per cent), Transport and Storage (18.0 per cent), Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles (5.5 per cent), Financial and Insurance Activities (11.7 per cent), and Arts, Entertainment and Recreation (14.5 per cent).Conversely, the sectors that saw a notable contraction were Agriculture, Forestry and Fishing (-3.3 per cent) and Construction (-2.0 per cent).The agency’s report notes that within the sectoral structure of GDP, the largest shares were held by Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles (13.2 per cent) and Information and Communication (10.4 per cent). These were followed by Real Estate Activities (10.0 per cent), Manufacturing (8.2 per cent), Public Administration and Defence; Compulsory Social Security (7.2 per cent), Education (6.5 per cent), Construction (6.4 per cent), Transport and Storage (6.1 per cent), and Financial and Insurance Activities (5.9 per cent).

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GeoStat reports that domestic exports, excluding re-exports, accounted for 62.1 per cent of total exports. This figure increased by 66.1 per cent compared to the corresponding period of the previous year, reaching USD 1,929.1 million.According to the agency’s report, the share of the top ten largest countries constituted 66.9 per cent of Georgia’s total domestic exports in January–May 2026. In this regard, the largest export partners are China with USD 317.4 million, Russia with USD 229.0 million, and Turkey with USD 207.2 million.Information from GeoStat shows that petroleum and petroleum products ranked first at USD 352.2 million among the top ten domestic export commodities in January–May 2026. This commodity group’s share accounted for 18.3 per cent of total domestic exports. Precious metal ores and concentrates ranked second at USD 255.6 million, while ferro-alloys took third place at USD 130.8 million.

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