Natia Turnava: A decline in certain interest rates has been observed; for example, interest rates on newly issued lari-denominated mortgage loans have fallen by approximately 3 percentage points over the past year and a half, while consumer loans remain higher-interest

“A decline in certain interest rates has been observed. For example, interest rates on newly issued lari-denominated mortgage loans have fallen by approximately 3 percentage points over the past year and a half,” National Bank of Georgia President Natia Turnava said while presenting the draft of the Main Directions of Monetary and Foreign Exchange Policy for 2027-2029 at a meeting of the Finance and Budget Committee.

According to Turnava, a downward trend has also been observed in business lending rates.

“As for loan interest rate statistics, I would also like to point out that, if you look at market developments, you will notice a decline in certain interest rates. For example, interest rates on newly issued lari-denominated mortgage loans have fallen by approximately 3 percentage points over the past year and a half. Banks periodically launch promotional campaigns, and it is even possible to obtain a lari-denominated mortgage loan at an interest rate of 9%.

“This is linked to various factors, including a reduction in certain risks, partly as a result of increased reserves, and it is a positive development. A downward trend can also be observed in business lending rates, although it is not as pronounced. Consumer loans, of course, continue to carry higher interest rates. The first factor that will help bring these rates down is the development of competition,” Turnava said.