The National Bank of Georgia’s Governor, Natia Turnava, spoke at the “Financial Sector 2025: Opportunities and Challenges” economic forum, setting out the central bank’s view on Georgia’s macroeconomic outlook and the resilience of the financial sector. Turnava pointed to a National Bank of Georgia forecast of 7.4% GDP growth for 2025, noting that international financial institutions had also revised their forecasts upward to the 7–8% range, while expecting growth to normalize toward its long-term trend. She stressed the importance of strong growth not translating into inflation pressures, referencing average inflation of 1.1% versus the 3% target and an expectation that inflation returns to the 3% target in the medium term and next year. On financial stability, she described the sector as highly capitalized with adequate buffers, high liquidity and asset quality, and a historically low non-performing loan ratio of 2.6% of the total portfolio, while flagging cybersecurity as a continuing challenge amid rapid digitalization. She also linked banking-sector profitability to foreign direct investment interest, citing the prominence of the financial sector and the United Kingdom in FDI preferences and pointing to the London Stock Exchange listings of Georgia’s two major banks as supporting investor interest in GEL-denominated instruments.
National Bank of Georgia 2025-11-21
National Bank of Georgia Governor Turnava highlights 7.4% 2025 growth forecast and 2.6% NPL ratio at financial sector forum
The National Bank of Georgia’s Governor, Natia Turnava, forecasted a 7.4% GDP growth for 2025 at the “Financial Sector 2025: Opportunities and Challenges” forum, with inflation expected to hit the 3% target. She emphasized the financial sector's strong capitalization, liquidity, and low non-performing loan ratio, while noting cybersecurity as a key challenge. Turnava also linked banking-sector profitability to foreign direct investment interest, particularly from the United Kingdom.