Georgia’s banking sector began
the year with a profit of GEL 113.3 million but compared to December 2020,
interest income of banks decreased by 14 million and amounted to GEL 367.5
At the same time, non-interest
income increased by $ 3 million.
banks suffered a loss in the
amount of GEL 13.4 million from foreign exchange operations. In January 2021 commercial
banks expenses decreased by GEL 24.4 million compared to December despite an
increase in income.
As of February 1, 2021 a
volume of deposits amounted to GEL 34.8
billion which is 0.72% more than in December. The deposit larization ratio stood
at 38.5% that is 0.06% less than in December 2020.
Unlike deposits, the volume of
lending decreased by GEL 48,2 million compared with December, the loan
larization ratio increased by 0, 18% and amounted to 44, 14%.
It’s worth mentioning that interest rates on all banking products increased
in January 2021. In particular, interest on mortgage loans stood at 10.9%, that is 0.26% more than in December
2020. Car loans rose by 2% to 23.6%, interest on pawn shop loans increased from
18.1% to 19.3%.
The interest rate on consumer loans which are the most popular, has remained almost unchanged and amounted to
20.56% against 20.28% in December 2020.
business loans in national currency also increased from 11.5% to 12.09%.
rates declined only on business loans in
foreign currency - from 7.13% to 6.17%.
In January Georgian banks earned GEL 410.9 million,
operating expenses stood at GEL 305.9 million.