Search for interest rates on a Georgian bank account and you will quickly find double-digit numbers — and rarely the question of which currency they apply to. That is where everything is decided. The Georgian yield premium is real, but it exists almost exclusively in lari. In euro, the country’s two largest banks pay less than the ECB currently pays on overnight deposits. This article lays out the current rates at all thirteen institutions, measures the lari yield against inflation, exchange rate and tax — and states plainly what a Georgian account is good for and what it is not.
The numbers: 13 banks, three currencies
The table below comes from the comparison platform of the National Bank of Georgia, which requires every licensed institution to report its effective rates. Effective means inclusive of all mandatory fees — not the shop-window nominal rate. These are term deposits with a twelve-month maturity, as of August 2026, sorted by the lari rate.
| Bank | GEL | USD | EUR |
|---|---|---|---|
| Is Bank | 10.80 % | 3.00 % | 1.60 % |
| Tera Bank | 10.70 % | 2.80 % | 2.00 % |
| Cartu Bank | 10.50 % | 3.25 % | 2.25 % |
| Pasha Bank Georgia | 10.20 % | 2.65 % | 1.55 % |
| Credo Bank | 10.05 % | 2.20 % | 0.95 % |
| Halyk Bank Georgia | 10.00 % | 4.00 % | 2.50 % |
| Basisbank | 9.81 % | 3.20 % | 1.80 % |
| Liberty Bank | 9.80 % | 2.00 % | 1.50 % |
| ProCredit Bank | 9.80 % | 2.65 % | 1.95 % |
| Silk Bank | 9.50 % | 1.80 % | 0.00 % |
| Bank of Georgia | 9.25 % | 1.50 % | 0.25 % |
| TBC Bank | 8.85 % | 1.40 % | 0.40 % |
| Ziraatbank Georgia | 8.00 % | 4.00 % | 2.00 % |
Three observations that appear in almost no guide on the subject:
The best-known banks pay the least. TBC and Bank of Georgia dominate the market and serve foreign clients most professionally — and sit at the bottom of the lari range at 8.85 and 9.25 percent. Choosing the market leaders costs roughly two percentage points in foregone interest. That is a legitimate call in favour of service quality and app maturity, but it is a call, not a given.
The best dollar rates come from subsidiaries of foreign banks. Four percent at Halyk Bank Georgia and Ziraatbank — the Kazakh and Turkish institutions — against 1.40 percent at TBC. A gap of 2.6 percentage points on the same currency in the same country is not an interest-rate level; it is a funding strategy.
Ziraatbank is the mirror image. The weakest lari rate on the market at eight percent, and simultaneously the best in dollar. Anyone chasing yield is not comparing banks but bank-currency combinations.
Shorter maturities cost real money: at three months TBC pays 8.40 instead of 8.85 percent in lari, Bank of Georgia 8.83 instead of 9.25 percent. At Cartu Bank the step is steepest — 7.71 against 10.50 percent — meaning the entire return sits in the lock-up.
The comparison that matters
A number without a reference point is advertising. So here are the same rates set against the alternatives a European saver actually has:
| Georgia, best rate | Georgia, TBC / BoG | Western reference | |
|---|---|---|---|
| Lari, 12 months NBG policy rate: 8.25 % | 10.80 % | 8.85 – 9.25 % | no access |
| US dollar, 12 months | 4.00 % | 1.40 – 1.50 % | Fed funds 3.50 – 3.75 % |
| Euro, 12 months | 2.50 % | 0.25 – 0.40 % | ECB deposit facility 2.25 % |
| Deposit insurance GEL 50,000 equals roughly EUR 16,000 | GEL 50,000 | GEL 50,000 | EUR 100,000 (EU) |
| Local withholding tax | none | none | varies by country |
| Reported under CRS |
That establishes this article’s central point: in foreign currency, Georgia offers no meaningful yield advantage. Four percent on dollars is marginally above what the Fed pays in the interbank market; 2.50 percent on euro is a quarter point above the ECB deposit facility — and only at a single institution. At the two banks foreign clients are usually routed to, a euro rate of 0.25 to 0.40 percent is simply not an investment case.
The premium exists in lari alone. And it is paid for.
What the lari yield actually costs
Ten percent nominal is not a gift; it is the price an emerging economy pays to keep domestic savings at home. Three items are deducted from it:
Inflation. Consumer prices rose 5.8 percent year on year in June 2026, driven by energy. That leaves a good four percentage points of real purchasing power out of a ten percent nominal rate — measured in lari, in Georgia, for someone who spends there.
Exchange rate. For anyone thinking in euro, this is the decisive variable. The euro traded between 2.98 and 3.24 lari during 2026: close to a nine percent range within seven months. A move of that size all but erases a ten percent yield — or doubles it, if it runs the other way. That is not a forecast but a description of the instrument: a lari deposit is an interest product with a currency bet attached.
Tax. Georgia levies nothing on it. Your country of residence very much does — more on that below.
Deposit insurance: GEL 50,000 since April 2026
On 1 April 2026 Georgia raised statutory deposit insurance from GEL 30,000 to GEL 50,000 per depositor per institution. The framework is soundly built:
- All currencies are covered equally GEL, USD and EUR without distinction
- All common account types are included current accounts, term deposits, call deposits, certificates of deposit
- Non-residents are explicitly included individuals and legal entities alike, regardless of nationality
- All commercial banks and microbanks participate mandatory membership, no opt-outs
- Payout within 20 calendar days claims lapse three years after the insured event
- Comparable to EU coverage levels GEL 50,000 equals roughly EUR 16,000, against EUR 100,000 per depositor per institution in the EU
The last line is the one that counts. For a travel budget, a liquidity buffer or the operating account of a Georgian company, the cover is adequate. For a six-figure balance it is not — and at that point the individual institution’s balance sheet, not its interest rate, is the real criterion. Weighing a best-in-market 10.80 percent at a smaller bank against 9.25 percent at Bank of Georgia is in truth weighing 1.55 percentage points against balance-sheet strength.
Tax: zero in Georgia, full at home
Georgia does not tax interest on deposits held with licensed financial institutions. There is no withholding at source, and the income does not form part of an individual’s taxable gross income. Georgia’s general five percent withholding tax on interest — which applies, for instance, to loans between private parties — plays no role for bank deposits.
That sounds like the main argument, but it is chiefly a simplification: you need no foreign tax credit because no foreign tax arose. The income is still taxed — in your country of residence:
| Country of residence | Rate on interest | Procedure |
|---|---|---|
| Germany | 25 % flat tax plus 5.5 % solidarity surcharge, 26.375 % combined, plus church tax where applicable | self-declared via Anlage KAP; EUR 1,000 saver’s allowance per person |
| Austria | 25 % for deposits held with credit institutions | annual assessment; no automatic withholding |
| Switzerland | ordinary progressive income tax | securities schedule, plus wealth tax on the balance |
Out of a ten percent lari yield, a German taxpayer keeps roughly 7.4 percent after flat tax and solidarity surcharge — and that is before any exchange-rate movement. Set against a euro alternative that carries no currency risk, the advantage shrinks to a size some will take the risk for and many will not.
And the income is reported. Georgia has participated in the automatic exchange of information since 2024; account holders, balances and income go to your country of tax residence every year. What exactly is transmitted is covered in CRS and Georgia. Move your centre of life to Georgia and become tax-resident there, however, and you leave that logic behind — no foreign report, no foreign tax, and the interest genuinely stays untaxed. That is the only route by which ten percent gross also becomes ten percent net: tax residency in Georgia.
Opening an account in Georgia without residency
Neither residency nor a residence permit is required to open the account, and it works remotely via notarised power of attorney. The process, the costs and the special rule for US persons are set out in full in Open a bank account in Georgia.
Three practical points matter for the interest question that are not the focus there:
- Published rates are standard terms. Banks negotiate on larger balances, and for non-residents individual deposit products may be unavailable or tied to extra conditions. Get the rate confirmed in writing before you transfer.
- The lock-up is real. Some term deposits allow no early termination at all; others cancel the interest retroactively. Taking the best rate means giving up availability — no small matter for an account intended as a reserve outside the EU legal sphere.
- The currency decision is the actual decision. A multi-currency account in GEL, USD and EUR under one roof costs nothing extra. How you split across them drives the outcome more than which bank you pick.
Who this suits, and who it doesn’t
- Centre of life in Georgia, spending in lari lari term deposit — no currency risk, a good four percent real after inflation, untaxed in Georgia
- Georgian company with real local operations working capital in lari, reserves in USD — the rate differential is a side effect here, not the purpose
- Diversification outside the EU legal sphere, denominated in euro works — for the jurisdiction, not the yield; euro rates at TBC and BoG are below euro-area levels
- A dollar reserve that earns something four percent at Halyk or Ziraat is fair value, but no special advantage over the US market
- A six-figure balance at one bank to capture the top rate insurance covers only GEL 50,000 — above that, balance-sheet strength counts, not the rate
- A lari deposit as a pure yield bet with no connection to Georgia a nine percent FX range in seven months against 7.4 percent after German tax — the ratio does not hold
If you want to pursue the second-jurisdiction idea without taking currency risk, the sober comparison is in Switzerland as a second jurisdiction. If you actually want to keep the yield advantage, the lever is tax residency rather than bank selection — see foreign income tax-free in Georgia.
Frequently asked questions
What interest do Georgian bank accounts pay?
On twelve-month term deposits in August 2026, Georgian banks pay between 8.00 and 10.80 percent effective in lari, between 1.40 and 4.00 percent in US dollars and between 0.00 and 2.50 percent in euros. The spread is the real finding: the two largest banks — TBC and Bank of Georgia — pay the lowest lari rates on the market at 8.85 and 9.25 percent, while smaller institutions such as Is Bank, Tera Bank or Cartu Bank sit roughly two percentage points higher. Demand deposits pay considerably less than term deposits.
Are euro deposits in Georgia worth it?
In most cases, no. The best euro rate on the Georgian market is 2.50 percent (Halyk Bank), while the ECB deposit facility rate has stood at 2.25 percent since 17 June 2026 — a margin that FX spreads and transfer costs consume. TBC and Bank of Georgia pay just 0.40 and 0.25 percent on euro, clearly below euro-area levels. If you are looking for euro yield, Georgia is not where you find it. If you are looking for jurisdictional diversification, it is — but that is a different objective.
Can I open an account in Georgia without residency?
Yes. Neither residency nor a residence permit is required, and the account can be opened remotely via notarised power of attorney. The bottleneck is not the account opening but KYC: proof of identity and source of funds are mandatory, and the bank decides case by case. For US persons, FATCA onboarding in practice requires appearing at a branch in person.
Is interest taxed in Georgia?
No. Interest paid by a licensed Georgian financial institution to an individual is not subject to withholding at source and is excluded from taxable gross income. The general five percent Georgian withholding tax on interest does not apply here. That does not mean the income goes untaxed — it is taxed in your country of residence.
How is Georgian interest taxed in Germany, Austria and Switzerland?
In Germany at 25 percent flat capital-gains tax plus a 5.5 percent solidarity surcharge — 26.375 percent combined — plus church tax where applicable; it is declared via Anlage KAP, because a foreign bank withholds nothing. In Austria, deposits held with credit institutions are taxed at 25 percent, likewise through the annual assessment. In Switzerland, interest is ordinary income taxed at progressive rates, and the balance is additionally subject to wealth tax. Out of a ten percent lari yield, a German taxpayer keeps roughly 7.4 percent — before any currency movement.
How safe are deposits in Georgia?
Since 1 April 2026, Georgian deposit insurance covers GEL 50,000 per depositor per institution, up from GEL 30,000. All currencies and all common account types are covered, and non-residents and legal entities are explicitly included; payout follows within 20 calendar days. The amount equals roughly EUR 16,000 — about one sixth of the EU coverage of EUR 100,000 per depositor per institution. For larger balances, the guarantee is not the argument.
Will my interest income be reported to my home country?
Yes, as long as you are tax-resident abroad. Georgia has participated in the automatic exchange of information since 2024; account holders, balances and income are reported annually to your country of tax residence. Plan the account as a declared account from day one.
This article is general information and does not constitute investment, legal or tax advice. All rates are effective rates from the National Bank of Georgia’s comparison platform for term deposits with a twelve-month maturity; they are based on bank submissions, may change at any time and should be confirmed with the institution before any transfer. If you are tax-resident in Germany, Austria, Switzerland or any other country, you must declare foreign accounts and the income earned on them under the rules applicable there. Foreign-currency deposits carry exchange-rate risk up to and including loss of capital. Last updated August 2026; subject to change.