Georgia’s banks thrive in 2025 with record profits and rising loans
Georgia’s banking sector has shown steady growth in 2025, with profits and assets both rising. In the first 11 months alone, banks earned nearly GEL 3 billion, marking a 4% increase from the same period last year. The trend reflects broader improvements in lending and financial stability.
From January to November 2025, Georgian banks reported combined profits of GEL 2.98 billion. This figure represents a modest but clear rise compared to 2024. Analysts now expect the full-year profit to reach around GEL 3.3 billion, supported by higher return on equity and strong performance of Georgian bank shares on the London Stock Exchange.
Asset growth has also accelerated, climbing by roughly 10% in the first 11 months. Double-digit expansion is now projected for the entire year. The increase has been driven largely by loan growth, particularly in retail and corporate lending.
In November, corporate loans expanded at a faster pace than those for small and medium-sized enterprises or microbusinesses. This shift highlights rising demand from larger companies. Meanwhile, efforts to reduce dollarization in loans and deposits have continued to make progress.
Policies aimed at cutting reliance on foreign currency lending appear to be working. International rating agencies, including Moody’s, have noted the improvements and are likely to keep this as a priority for 2026.
The banking sector’s performance in 2025 points to a solid financial footing. With profits nearing GEL 3.3 billion and assets growing steadily, the system is on track for a strong year-end. Reduced dollarization and sustained loan demand suggest ongoing stability in the coming months.
