Real GDP grew 2.8% y/y in 2015
According to GeoStat’s rapid estimates, Georgia’s real GDP growth averaged 2.9% y/y in 4Q15 (growth was 3.0% in October, 5.3% in November and 0.3% y/y in December), after growing 2.5% y/y in 3Q15. Based on preliminary data, Georgia’s economy expanded by 2.8% y/y in 2015, after growing 4.6% y/y in 2014. Monthly rapid estimates are based on VAT turnover, fiscal and monetary statistics.
NPLs at 2.7% in December 2015
In December 2015, the loan portfolio grew 5.8% y/y excluding the exchange rate effect (+23.5% y/y and +1.6% m/m in unadjusted terms), to GEL 16.0bn (US$ 6.7bn). Deposits grew 5.0% y/y excluding the exchange rate effect (+23.5% y/y and +2.0% m/m in unadjusted terms), reaching GEL 14.3bn (US$ 6.0bn). NPLs remain under control at 2.7% in December 2015, down 0.3ppts y/y.
NBG sold US$ 20mn
NBG sold US$ 20mn on the FX market to support the GEL on January 26, 2016, and the GEL’s official exchange rate weakened 0.9% against the US$ over the previous day. It was the bank’s third intervention on the currency market this year. NBG sold US$ 40mn at two previous foreign currency auctions this year to support the GEL.
Georgia exports machinery to Saudi Arabia
Delta – Georgia’s state military manufacturer – beat out LENCO (USA) in the final stage of the tender and won a contract to supply Saudi Arabia with armored medical evacuation vehicles. The contract is valued at GEL100mn and the first lot of 12 vehicles has been sent to Saudi Arabia on January 30, 2016. According to the CEO, Delta is now in preliminary talks on two other separate contracts with a combined value of GEL 290mn.
