Page 29 - GEORptJul19

8.0 Financial & capital markets
Georgia - Commercial banks lead Jan-May’ 2018 2017 2016 indicators (end of period) 19
Interest income (GEL mn)
290.08 296.86 275.70 227.44
Net profit / loss (GEL mn)
326.78 914.72 869.80 679.11
Bank assets (GEL mn)
41,223,955 39,682.98 34,593.50 30,149.32
Bank deposits (GEL mn)
19,253.19 18,273.92 15,717.54 13,662.0
Bank loans (GEL mn)
27,024.50 25,473.45 21,761.90 18,512.30
ROA (%)
2.4% 3.0% 3.1% 3.1%
ROE (%)
18.0% 23.3% 23.3% 22.1%
CAR (%)
19.1% 18.4% 19.1% 15.1%
NPL (%)
3.0% 2.6% 2.8% 3.4%
Source: National Bank of Georgia
8.1 Bank sector overview 8.1.1 Earnings
Georgian banks’ achieve high profitability in 2018
The aggregate net profits of Georgia’s banks rose by 5.3% y/y to GEL915mn (€340mn) in 2018, resulting in a return on assets (ROA) ratio of 2.5% and a return on equity (ROE) ratio of 20%, according to central banks reports.
The banks’ incomes increased by 16.4% y/y to GEL4.2bn driven by a 19% rise in interest incomes to GEL3.29bn. Expenses rose as well, moving up by 17.4% y/y to GEL3.06bn.
Provisions for asset losses climbed 45% y/y to a still moderate level of
29 GEORGIA Country Report July 2019 www.intellinews.com