Finance Minister presents legislative package about reduction of excess loans

17:29, 25.05.2018

Mamuka Bakhtadze, Finance Minister presented the legislative package about reduction of excess loans during the sitting of Cabinet of Ministers that envisages 5 directions.

According to Bakhtadze, those financial organizations, which give out loans, will be prohibited to require any property from subscribers other than items on mortgage.

Lombard and private creditors will be prohibited to mortgage cars and real estate property. The upper edge of effective interest rate will be 50%.

“The set game rules will extend to the entire financial sector,” Bakhtadze said. He explained that the initiative aims at reaching maximal transparency in financial sector.

Economics

excess loans

Mamuka Bakhtadze