Loan portfolio up 13.2% y/y in Apr-23
In Apr-23, the banking sector loan portfolio grew by 13.2% y/y (+0.7% m/m), excluding FX effect, after a 13.8% y/y growth in previous month. In unadjusted terms, loan portfolio increased by 3.7% y/y (-0.2% m/m) to GEL 44.8bn (US$ 17.9bn), after growing by 3.6% in March. By sector, corporate loans growth slowed to 10.9% y/y (+11.8% y/y in March, exc. FX effect) and retail loans growth stood at 15.2% y/y (+15.7% y/y in March) in April. Notably, the mortgages growth remained almost unchanged at 11.5% y/y in April. In Apr-23, loan dollarization reduced further to 43.9% (-5.71ppts y/y and -0.42ppts m/m) and NPLs stood at 1.8% (-0.19ppts y/y and +0.06ppts m/m).
Bank deposits growth slowed to 28.7% y/y (+0.9% m/m, exc. FX effect) to GEL 43.1bn (US$ 17.3bn) in Apr-23, after a 30.4% y/y growth in March. In terms of currency breakdown, GEL deposits growth accelerated to 39.1% y/y (+33.7% y/y in previous month) and FX deposits growth (exc. FX effect) slowed to 21.5% y/y (+28.1% in previous month), hinting also on conversion of FX deposits into GEL. As a result, the level of deposit dollarization significantly decreased to 51.3% (-8.17ppts y/y and -2.21ppts m/m) in Apr-23, which is the lowest level observed since Sep-97.
NBG purchased US$ 322.4nm in Apr-23
In Apr-23, NBG purchased US$ 322.4mn through the BMatch platform, which is a record high monthly purchase. Overall, in 4M23, NBG’s FX purchases reached US$ 782.9mn.
