Income of Microfinancing Organizations Decreased by 13.4 Million GEL in 2018

Last year, microfinancing organizations in Georgia earned 31.1 Million GEL which is 13.4 Million GEL less than their income from 2017.

The profits of microfinancing organizations have been on the decline during  the last couple of years. In 2017, organizations operating in Georgia made a total of 44.5 million GEL which is the lowest indicator from the last 6 years. For the sake of comparison, the sector’s profits in 2016 were 151.8 Million Gel, in 2015 – 124.2 Million, and in 2014 – 79.8 Millions, whereas in 2013 income reached 61.9 Million GEL and in 2012 came to 49.3 Million GEL.

In total, Georgian microfinancing organizations have issued more than 1.1 Billion worth of loans. The highest amount of these loans fall under the category of consumer loans (337 Million GEL). Pawnshops issued a number of loans similar to the microfinancing organizations , amounting to 101,243,299.80 Million GEL – according to reports from the National Bank of Georgia, pawnshops have given out 346,702 loans in total.

According to research by the National Bank of Georgia, by the end of 2018 in Georgia there were 67 microfinancing organizations and 1,020 registered currency exchanging bureaus. After 2017, the number of microfinancing organization has decreased by 8 units, whereas at the moment the number of currency exchanging bureaus has decreased to 106 units less.

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