Georgian Banks Ended January with a Profit of 113 Million

In January 2021, Georgian banks generated a net profit of 113 million GEL, according to the financial data submitted by them to the National Bank. The annual profit margin has increased by 18%.

The total income of the banks in January was 453 million GEL, which is an increase of 10%. Of this, interest income, or interest paid by consumers, amounted to 367 million GEL. Among them, income from loans to individuals amounted to GEL 192.6 million (increase 13), while income from loans to legal entities amounted to GEL 128 million (an increase of 15%).

As for other income of banks, the sum of commissions is reduced by 4% on an annualized basis and amounts to GEL 29 million, while banks suffered a loss of GEL 13 million from conversion operations instead of profits.

In total, banks spent GEL 325 million in January. Of this, interest expenses were GEL 197 million. Among them, the interest accrued on deposits was 111 million GEL, while the service fee for other liabilities of banks was 63 million GEL. At the same time, the banks spent a total of GEL 63 million on the maintenance of their equipment - offices, employees and directors. 18.7 million were put in the buffer of possible asset losses. As a result, net profit amounted to GEL 113 million, while the amount paid as profit tax amounted to GEL 14.7 million.