1Q20 Results Discussion

COVID-19 update | Government measures US$ 3 billion funding facility US$ 3b (predominantly loans) from international donors (incl. US$ 450m from IMF): o US$1.5b intended for the private sector o US$1.5b for the public sector Monetary policy Easing non-price credit conditions (LTV, PTI, etc.); Intervening in the FX auctions (US$ 120m in March-April); Monetary policy rate reduced to 8.5% and gradual exit from strict monetary policy announced (April 2020); ➤Introducing US$ 400m currency swap facility for the financial sector to provide GEL liquidity; Reduced capital conservation buffer (2.5% of Risk Weighted Assets) and 2/3 of currency induced credit risk buffer total of GEL 1.6b. Government Economic Plan ➤ Special support package for the tourism and agriculture sectors, to be followed by construction and education; o Tourism: Loan co-financing, income tax deferral and property tax exemption in 2020; o Agriculture: Subsidies for intermediate products, fuels and irrigation; loan and insurance co- financing; direct grants to farmers; o All farmers should register lands till 2021, as aid package is directly tied to proof of ownership; ➤Subsidies for utility bills, basic product prices and construction materials; > Loan restructuring for all businesses; ➤ VAT returns and long term funds for banks; Extra funding to support business, including a credit guarantee scheme (GEL 2b); ➤ Tax deferrals for car importers; ➤ Social aid programs to address job losses; Pension indexation from Jan- 21. Total budget - GEL 3.5 billion ➤ Social aid * GEL 1.03b ➤ Economic support and business aid ▸ Anti-pandemic measures Six stage lockdown exit strategy GEL 2.1b + GEL 0.35b Six stage exit strategy, beginning from 27 April, already brought forward partially to 11 May, as all types of industry permitted to resume operation; Local tourism to resume from 15 June, while external borders will be opened from 1 July GEORGIA CAPITAL Page 5

View entire presentation