Bank of Georgia Earnings and Strategy Update slide image

Bank of Georgia Earnings and Strategy Update

SOLID ECONOMIC GROWTH IN 2021 REAL GDP GROWTH IN 2021 EXCEEDING 2019 LEVEL Source: Geostat 70% Real GDP growth in 2021: 10.6% y-o-y 3.1% compared with 2019 60% 44.8% 50% 40% 30% 20% 25.8% 20.8% 18.7% 8.8% 9.9% 10.3% 12.0% 9.6% 9.5% 6.9% 6.9% 10% 4.0% -3.0% 0% -7.0% 1.2% 3.8% 4.5% 6.1% 2.7% 3.4% 0.9% -10% -5.1% -11.5% -20% -30% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Real GDP growth, 2021 vs. 2020 Real GDP growth, 2021 vs. 2019 GDP contracted by 6.8% in 2020 and by 4.1% in 1Q21, mainly due to the COVID-19-related restrictions As restrictions were gradually lifted, the economy has gained momentum since 2Q21, with real GDP up 28.9% y-o-y in 2Q21, up 9.1% y-o-y in 3Q21 and up 9.5% y-o-y in 4Q21 Estimated real GDP growth was 10.6% y-o-y for full year 2021, exceeding the 2019 pre-pandemic level by 3.1% Robust growth in remittances and exports, and a faster than expected rebound in tourism, together with fiscal stimulus and accelerated banking sector lending, have supported the recovery In 2021: Exports were up 26.9% y-o-y and up 11.7% compared with 2019 Remittances were up 24.6% y-o-y and up 35.6% compared with 2019 Tourism revenues were at 38.1% of the 2019 level, with tourism arrivals accelerating since April 2021 5
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