Features of bank transfers in Georgian Lari (GEL)
The Georgian Lari is Georgia's national currency and has circulated since 1995. The letter designation is GEL. Lari is the only legal means of payment in the territory of Georgia (except for free industrial zones). Conversion into dollars and euros is used to transfer lari to other countries.
Money transfer in Georgian Lari can be done in the following ways:
- Bank transfer — transfer of funds from one individual or legal entity to another by wire transfer, for example, via SWIFT or an interbank payment system. It is an electronic payment service that can be conducted independently through online banking.
- Money transfer systems such as Western Union. Funds are credited quickly, online, without a visit to the bank. This method is suitable for cash or non-cash transfer of money.
- Special payment services, such as Transfer Go.
- Online exchangers.
Each method differs in terms of commission, speed of crediting, and special conditions. Lari is not traded on the stock exchange; international transfers are made in dollars and euros, so double conversion from local currency is possible (for example, from euros to dollars and from dollars to Lari). Georgian banks set their own rate for currency conversion.
SWIFT system is convenient for payments, as it supports cashless and cash transfers, but the transfer can take several days, the commission rate is quite high, and the amount is limited.
The banking system of Georgia
There is a National Bank-Regulator and 15 commercial banks in Georgia. There are no state banks in Georgia. The largest banks, TBC Bank and Bank of Georgia, hold more than half of the assets and generate 76% of the profits from the entire banking system.
According to the World Bank's overall Doing Business ranking, Georgia ranks 7th regarding ease of doing business. This is not least due to the ease of account registration, low fees, convenient remote service and other advantages of the financial sector. The Georgian banking system is one of the best among the Caucasus countries. The banking structure is transparent, and reports are published at the end of the year.
Georgia is one of the leaders in online banking, with the following options available:
- transfers,
- account top-up,
- deposit opening,
- change of transaction limits,
- online access to accounts.
Opening a bank account in Georgia
A non-resident can quickly open an account in Georgia — the procedure is simplified compared to European banks. Presenting a passport or other identification document and filling in an application form is necessary. Personal presence is required to open an account.
A Georgian Lari account will help receive money transfers, conduct financial activities, issue a residence permit, and conduct increased transactions.
Advantages of opening an account in Georgia:
- use of international cards Visa, Mastercard;
- simple procedure for foreigners to open an account;
- convenient advanced internet banking;
- multi-currency card;
- use of debit and credit cards;
- zero commissions on corporate accounts.
Therefore, in some cases, sending money to your own account in Georgia may be more accessible, i.e., using the account not for storing funds in GEL but for bank transfers without conversion.
Banks of Georgia
The main banks in Georgia are:
- TBC Bank
- Liberty Bank (Georgia)
- Bank of Georgia
- Cartu Bank
- Ziraat Bank
- Basis Bank
- Credo Bank
- ProCredit Bank
- Terabank
Bank of Georgia
Bank of Georgia is the oldest banking institution, founded over 100 years ago. It has the form of JSC, a member of the stock exchanges of Georgia and Great Britain. Service users — 2.3 million, more than half of the country's residents. Accounts for Georgian citizens, foreign citizens and companies are opened in GEL, USD and EUR. There is a platform for large clients — SOLO BANK offers VIP service.
TBC Bank
TBC Bank, formerly Tbilisi Business Centre, was opened by Georgian citizens and later grew into a $640 million international enterprise. Repeated winner of the European title for the best online banking in the region. International transfers can be made through 10 different systems. Offers account opening, deposits, and loan programmes.
Liberty Bank
Liberty Bank has foreign owners, ranks third in the country regarding assets, and has the most extensive branch network — over 360 branches. It has more than 1.7 million customers. It has an exclusive privilege from the government to service pensions and social benefits.
Online exchangers
If you need to transfer local currency to a Georgian bank account to pay for goods or help your loved ones, you can use bank transfers and online exchangers. A bank account is not required; you only need to specify the recipient's bank account details and pay conveniently in any currency or cryptocurrency. It is necessary to create an application for transfer in Georgian lari; the currency is converted automatically.
