Georgia’s hotel and tourism sector has the largest volume of overdue loans among business industries, according to financial data submitted by commercial banks to the National Bank of Georgia.
As of May 2026, total lending to the hotel and tourism sector stood at GEL 2.94 billion, of which GEL 135.4 million consisted of loans overdue by more than 91 days. This represents a 4.6% delinquency rate, up from 3% a year earlier.
The data also shows a slowdown in new lending to the sector. The total loan portfolio declined from GEL 3.19 billion in May 2025 to GEL 2.94 billion a year later, marking an 8% decrease. By contrast, overall business lending in Georgia increased by 12.9% during the same period.
The figures suggest that banks are becoming more cautious about financing hotel and tourism projects and are increasingly directing credit toward other sectors of the economy. The sector’s 4.6% overdue loan ratio is more than double the 2.2% average for Georgia’s overall business loan portfolio.
