The pace of bank lending in Georgia has moved closer to its sustainable level, according to Davit Utiashvili, head of the Financial Stability Department at the National Bank of Georgia. He said the recent moderation in loan growth reflects current economic conditions rather than a slowdown.
Speaking on BMGTV, Utiashvili said annual lending growth of around 13–14% is considered sustainable, allowing household debt levels to grow in line with income growth. He noted that credit expansion remains consistent with the current pace of nominal economic growth.
Utiashvili said mortgage lending growth has accelerated slightly, while consumer lending remains strong. At the same time, activity in the SME sector appears somewhat weaker than desired, though he emphasized that market forces determine lending trends and the National Bank cannot direct banks toward specific sectors.
According to the National Bank, total bank loans reached GEL 73.39 billion at the end of May 2026, increasing by GEL 504.46 million during the month. Annual loan growth, excluding exchange rate effects, stood at 14.22%.
