According to the NBG’s Financial Stability Committee’s decision, the cyclical component of the countercyclical capital buffer remains unchanged. As of January 2026, banks maintain healthy capital and liquidity indicators. Annual growth of credit portfolio, excluding the exchange rate effect, amounted to 13.4% in January 2026, with business loans once again contributing a significant share. As of the fourth quarter of 2025, credit-to-GDP ratio remains below its trend, which results in a negative gap. The strong economic growth observed in 2025 contributed to the persistence of the negative gap; however, according to the Committee’s assessment, the credit-to-GDP ratio will gradually approach its long-term level. Therefore, at the current stage, there is no need to change the cyclical component of the countercyclical capital buffer. Moreover, commercial banks continue to gradually accumulate the neutral countercyclical capital buffer.

 

Source: NBG, Geostat
*Nominal GDP growth reflects the YoY GDP growth of the last 4 quarters.
**Credit includes loans directly issued by commercial banks, microfinance institutions and loan issuing entities, as well as bonds issued domestically by the non-financial sector.
***Credit-to-GDP gap is the deviation of credit-to-GDP ratio from its long-run trend. The trend is estimated using HP filter in line with the Basel recommendations.

The National Bank of Georgia continues monitoring the country’s financial stability and assessing domestic and foreign risks. If necessary, it will use all available instruments to minimize potential risks.

The Financial Stability Committee’s next meeting will be held on June 3rd, 2026.