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Banking Sector has Reserved More than 1 bln Due to the Problem Loans

The share of problem loans are still sustained on the low point in the banking sector, the figure amounts to 3.8%.

The volume of non-performing loans is up to 733 million GEL by February 1 (01.01.17 – 661 mln; +11%m.m). The sector has reserved 1.175 billion by February 1, 2017, at that 113 million accounts for Cartu Bank, respectively the bank has the most negative coefficient.

Loans (substandard, doubtful, hopeless) of 30%, 40% and 100% are regulated by reserve requirements (reliable, watchful -2%, 10%).

    mln coefficient
1 Cartu Bank 113 12.5%
2 Liberty Bank 82 11%
3 Bank of Georgia 387  6.2%
4 TBC Bank 317  5.3%
5 Bank Republic 69 4.6%
7 ProCredit Bank 35 3.9%

Source: Commercial Banks