The banks do not lower interest rate

Despite several statements made by President Saakashvili urging banks to decrease their interest rates on credit, so far there is no reaction from the banks. Analysts think Georgia has pretty high interest rates among banks around the world. Despite the fact that President Saakashvili a couple of times has repeated his warning, so far the banks have not reacted. Though there were some modest attempts to decrease the interest rate in May and June, it was increased again in July. Of course the administration cannot interfere in the banking policy, but the interest rate level influences on the overall economic condition of the country.