Page 36 - GEORptAug22

is a problem for tourism and a discomfort for the population.”
Some energy experts, however, criticised the authorities and the company for placing the blame on Svans and argued that they should continue to get free electricity for household use. Residents of Svaneti deserve compensation, among other things, for the many hydropower plants built in the region that produce electricity for the entire country, Davit Chipashvili, an expert with environmental think-tank Green Alternative, told the local news site Mtis Ambebi.
The authorities and Energo Pro are the ones with the responsibility to differentiate households from business users, which they could do by setting quotas, Chipashvili argued. “The government has done nothing to fix this,” he said.
8.0 Financial & capital markets
Georgia - Commercial banks June 2022 2021 2020 2019 2018 2017 2016 lead indicators (end of period)
Interest income (GEL mn)
459.32 446.22 381.66 339.90 296.86 275.70 227.44
Net profit / loss (GEL mn)
154.15 114.01 100.73 132.02 119.10 152.56 112.52
Bank assets (GEL mn)
64,185.4 60,568.5 56,871.0 47,183.4 39,682.0 34,593.5 30,149.3
Bank deposits (GEL mn)
38,265.7 30,303.9 26,647.0 21,135.8 17,907.1 15,514.4 13,514.5
Bank loans (GEL mn)
42,804.5 42,189.4 37,374.3 31,078.6 25,918.1 21,761.9 18,512.3
ROA (%)
3.1% 3.9% -2.5% 2.5% 3.0% 3.1% 3.1% (2Q22)
ROE (%)
24.9% 34.4% -20% 20.3% 23.3% 23.3% 22.1% (2Q22)
CAR (%)
20.3% 19.6% 17.6% 19.0% 18.4% 19.1% 15.1% (2Q22)
NPL to total gross loans (%)
Source: National Bank of Georgia
4.7% 5.1% 8.2% 4.4% 5.5% 5.9% 7.3% (2Q22)
8.1 Bank sector overview 8.1.1 Earnings
Georgia’s banks post impressive 1H22 annualised return on equity
Georgian banks recorded enough profitability to post an impressive 1H22 annualised return on equity (ROE) ratio of 21% (down from 34% in 1H21) while the annualised return on assets (ROA) ratio was 2.7%, according to data published by the National Bank of Georgia (NBG).
In all, the banks reported an aggregated net profit of GEL836mn (€279mn) in the first half, down 21% y/y.
The banking system's average assets in January-May increased by 7.4% y/y
36 GEORGIA Country Report August 2022 www.intellinews.com