Systemic banks continue to reduce their capital

The placement agent is G&T and TBC Capital. The prospectuses of the issue approved by the NBG include detailed information on the issuer's activities, share distribution, related risks, etc. On the risks characteristic of the industry and economy.

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According to the NBG’s “Monthly Review”, demand for cash increased by 103.2 million GEL in May. A large part of the refinancing loan was returned. The balance in May decreased by 1.04 billion GEL. The balance of overnight loans was 750 million at the end of May. In June, 715 million were reduced.In May, the volume of reserve money increased by 448 million GEL (+6.1% m.m.), to 7.8 billion GEL. The monetary base, according to the average indicator, increased by 140 million GEL.The National Bank of Georgia did not apply for a foreign exchange auction in the reporting month. It purchased 245.4 million USD on Bmatch. It spent up to 100 million on internal government conversions. Accordingly, reserves increased by $147 million instead of $245 million.In May, funds on government deposits increased by 77.2 million GEL, to 993 million.

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According to newly published statistics, reserve assets amount to $4.7 billion.More than $600 million has been purchased on Bmatch this year (03 - $101.7 million; 04 - 266.4 million; 05 -$245.4 million). The June transaction will be published on 25/07. Data on reserves will be updated on August 6.The share of gold in total international foreign exchange reserves is 16.1% (754.4 million USD). The value of monetary gold, since the moment of its purchase (03/2024), has increased by 254.4 million USD.

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Fully integrated into the wider TBC Uzbekistan ecosystem and available via the TBC UZ banking app, the new product is transforming the customer experience for insurance users in Uzbekistan by providing a seamless and fully digital service. Beginning with credit life insurance, the offering will be expanded to provide a full suite of personal insurance products.TBC Insurance was initially soft launched in April 2025, after obtaining a life insurance license from the National Agency of Perspective Projects of Uzbekistan in March 2025.This move comes as TBC Uzbekistan continues to broaden its product offering and strengthen its position as the leading digital banking ecosystem in Central Asia. Building on strong momentum, including a registered user base that now exceeds 50% of the country’s population and year-on-year growth that saw revenue and the loan book double in Q1 2025, the company has launched a series of new products over the past year. These include the Salom debit card, Osmon credit card, as well as SME banking and lending services, creating powerful synergies across the ecosystem and driving deeper customer engagement.Nika Kurdiani, CEO of TBC Uzbekistan, commented: “We see insurance as a natural extension of the TBC Uzbekistan ecosystem - a product that empowers customers to feel more secure and in control of their financial lives. With the launch of TBC Insurance, we’re continuing to thoughtfully expand our digital banking ecosystem, ensuring each new product complements the others and enhances the overall value we deliver to our customers. Insurance will be a key part of this journey, helping to deepen engagement and strengthen trust in the ecosystem.”

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Lion Finance Group (BGEO LN) shares closed at GBP 69.85/share (- 0.14% w/w and +2.42% m/m). More than 171k shares traded in the range of GBP 67.40 - 70.95/share. Average daily traded volume was 44k in the last 4 weeks. The volume of BGEO shares traded was at 0.39% of its capitalization.TBC Bank Group (TBCG LN) closed the week at GBP 47.90/share (+4.59% w/w and +5.74% m/m). More than 293k shares changed hands in the range of GBP 45.45 - 48.60/share. Average daily traded volume was 62k in the last 4 weeks. The volume of TBCG shares traded was at 0.52% of its capitalization.Georgia Capital (CGEO LN) shares closed at GBP 20.25/share (+6.58% w/w and +5.80% m/m). More than 340k shares traded in the range of GBP 18.98 - 20.60/share. Average daily traded volume was 49k in the last 4 weeks. The volume of CGEO shares traded was at 0.86% of its capitalization. 

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In detail:⦁ The residential segment index increased by 0.3 percent compared to the previous month and increased by 8.9 percent compared to the same month of the previous year;⦁ The non-residential segment index decreased by 0.7 percent compared to the previous month and increased by 1.6 percent compared to the same month of the previous year;⦁ The civil segment index increased by 0.5 percent compared to the previous month and increased by 2.2 percent compared to the same month of the previous year.In May 2025 the Construction Cost Index (CCI) increased by 0.2 percent compared to the previous month. The change was mainly due to a 0.3 percent increase in the prices for constructionmaterials, which contributed 0.18 percentage points to the total index change.Compared to May 2024 the CCI increased by 5.0 percent. The latter was largely caused by the 17.8 percent increase in average monthly nominal wages of employees in the construction sector and by the 2.0 percent increase in the prices of construction materials, which contributed 3.62 and 1.23 percentage points to the total index change, respectively. Along with this, the Construction Cost Index posted a 23.1 percent increase compared to February 2022.The following table presents the CCI in May 2025, compared to the previous month and the same month of the previous year, as well as the contributions of cost categories and segmentsto the total index.

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However, it is higher than optimal. 18-20% is considered optimal for shareholders, and the higher the better.In turn, investor satisfaction is reflected in the country's financial market, and ultimately on the price of money and lending rates.However, the Georgian banking sector manages to maintain high profitability, even in conditions of increased resource prices.TOP -7 +3 Banks With ROE

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Of this, 97% comes from billionaires (banks with assets > 1 billion).As of 01.06.2025, Halyk Bank, with Kazakh capital, has joined the list of large-asset banks.There are 9 banks with assets exceeding 1 billion on the market. Including 8 with foreign chartered capital and 1 - Cartu.According to 5-month reporting, the sector is represented by 19 banks. Including 2 micro and 3 digital banks. Total capital is 14.569 billion GEL, 14.8% of the banks' total assets.TOP-9 Billionaire Banks (000GEL):

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