BAKU, Azerbaijan, July 1
By Tamilla Mammadova – Trend:
Deposit liabilities of the banking system of Georgia increased by 2.5 percent in May 2020 compared with the previous month and amounted to 28.2 billion lari ($9.2 billion), Trend reports with reference to National Bank of Georgia (NBG).
Compared to the corresponding period of 2019, in May 2020, the volume of total deposits increased by 17.8 percent.
According to the bank, an increase in deposit liabilities occurred mainly due to an increase in deposits in national currency.
The volume of deposits denominated in lari increased by 700.3 million lari ($229.9 million) compared to the previous month and amounted to 10.12 billion lari ($3.3 billion), which, according to NBG, is mainly due to the growth of deposits in commercial banks.
Deposits in foreign currency increased by 0.7 percent to $40.6 million and amounted to $5.71 billion. According to NBG, this increase is mainly due to the increase in term deposits of legal entities.
Due to the growth rate of foreign currency and cash deposits, the dollarization rate of deposits in May 2020 decreased by 0.7 percentage points to 64.2 percent.
Interest rates on deposits of legal entities in foreign currency decreased by 2.2 percentage points and made up 4.3 percent, while on deposits of individuals remained unchanged at the level of 2.8 percent.
Compared to the rates in May 2019, interest rates on deposits in the national currency increased by 2.4 percentage points to 9.5 percent in May 2020.
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