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Sascha Ternes: Deposits Dedollarization is Impossible without Attraction of GEL-denominated Deposits

“Besides business freedom, consumer rights protection is also of crucial importance. Banking sector and microfinance organizations are subjected to regulations and online sector should be also regulated”,  Sascha Ternes told the Business Contract and added that borrowers should precisely know genuine burden and real costs of taking loans.

Member of supervisory agency, which was suspended by Constitutional Court, noted that dedollarization is a correct choice, but the mechanism is less efficient only in part of loans. The portfolio dollarization will not be reduced without drawing GEL-denominated deposits.

The regulator asserts that it is inadmissible to enforce any leverages in relation to deposits. In previous period, when the exchange rate was 12.5$, the NBG noted that interference  in the part of deposits was ruled out and Larization of loans would stimulate saving deposits in GEL.