Georgia's Banking Sector is represented by 19 Commercial Banks

As of July 1, 2011, the banking sector in Georgia is represented by 19 commercial banks, including 15 foreign-controlled banks and two branches of non-resident banks.

According to the National Bank of Georgia, compared to the previous month total assets of Georgian commercial banks (in current prices) increased by 4.1 percent, or 444.7 million GEL to a total of approx. 11. billion GEL.

The banking sector’s own funds (equity capital) equal to 1.84 billion GEL, or 16.4 percent of the commercial banks’ total assets.

The share of foreign capital in banks’ total paid-in capital constituted to 81.4 percent.

In June 2011, as well as in the previous month, the banking sector finished with a profit. The net profit constituted 20.9 million GEL and net profit year-to-date constituted 119.1 million GEL.

The share of five banks having the largest assets within the total amount of the banking sector assets increased by 0.6 percentage points compared to the previous month and constituted 78.5 percent. The total volume of deposits in the country’s banking sector (including term deposits and current accounts of non-financial and household sectors, including payable interest) increased by 2.5 percent or 123.5 million GEL compared with the June 1, 2011, and exceeded 5.0 billion GEL by July 1, 2011.

In June, compared to the previous month, the volume of transferable deposits of non-financial and household sectors increased by 33 million GEL (1.8 percent) and term deposits of the same sectors increased by 88.9 million GEL (3.0 percent).

The dollarization ratio of deposits constituted 70.1 percent by July 1, 2011. Compared with June 1, 2011 it increased by 1.0 percent.

The annual average weighted interest rate on term deposits is 8.6 percent. In particular, the interest rate for national currency denominated deposits was 11.7 percent and the interest rate for foreign currency denominated deposits 8.1 percent. The share of the US dollar in the total volume of foreign currency denominated deposits amounts to 73.7 percent and the share of Euro is 19.1 percent.
(Prime-News)