Whenever a new man stepped into a payday lender in Tbilisi and took 19 individuals hostage on November 20, brandishing just just just what appeared as if a rifle and hand grenades, it looked over very first glance just like a easy robbery.
However the would-be robber, 31-year-old carpenter Levan Zurabashvili, would not ask for cash. Rather, he demanded the Georgian federal government implement several policy changes.
вЂњFirst off, gambling must certanly be prohibited all over Georgia,вЂќ Zurabashvili stated, once the scene played out on real time television. вЂњSecond: annual interest levels on loans from banks needs to be fixed at a maximum of 7%.вЂќ
A number of the hostages interrupted, arguing that 7% would nevertheless too be far high. вЂњIn europe the rate is all about 3%,вЂќ one man stated.
вЂњCan we finish?вЂќ Zurabashvili asked.
Their 3rd and last need ended up being to create a 10% limit on pharmaceutical organizationsвЂ™ profits in order to reduced medication costs. вЂњIt is people that are mainly old buy medicine and their retirement benefits are merely 250 lariвЂќ (about $75), he stated, explaining that banks trap older persons with costly loans that they must cover medical bills but are struggling to pay back.
Financial obligation addiction
Paying attention to your attacker, numerous Georgians could perhaps perhaps not assist but nod in contract. Over the past years, Georgians have already been sliding into financial obligation. Roughly 80% of GeorgiaвЂ™s households owed a collective $5.5bn (31% of GDP) on loans in 2018, the just last year for which detailed numbers can be obtained from the National Bank. Unknown quantities are owed to subprime lenders.
The figure places Georgia near the top of the set of countries in europe in regards to the number of customer loans in accordance with how big is the nationwide economy, and notably greater than neighbors Armenia and Azerbaijan.Detalles