The National Bank of Georgia is directed towards the economic stability and development of the country. Its main goal is to maintain price stability. • 0 Article

The history of the National Bank of Georgia begins on May 24, 1919, when the state bank was established in the independent Republic of Georgia. However, after the Soviet occupation, its activities were stopped soon. During this period, the republic branch of the State Bank of the USSR was operating in the country.

In 1991, after the restoration of Georgia's independence, the National Bank was re-established. Legal status, functions and powers of the bank according to the law adopted in 1995.

Today, the National Bank of Georgia serves to establish a stable and transparent financial system, which contributes to the country's economic development and raises the population's well-being. In addition, the National Bank is responsible for implementing the monetary and credit and exchange policy and supervises the banking sector.

Goals and Objectives of the National Bank

The National Bank, as the central bank of the country, has several important goals and objectives. They are aimed at economic stability and development of the country.

Ensuring price stability

One of the main goals of the National Bank is to maintain price stability. This means keeping inflation at a low and predictable level. Within the framework of the inflation targeting regime, the bank is trying to approach the target rate of inflation using monetary policy instruments. Price stability contributes to economic growth, attracting investments and improving the population's standard of living.

Maintaining the stability of the financial system

The National Bank constantly takes care of the stability and sustainability of the country's financial system. This can be achieved through effective supervision of the banking sector, timely identification of risks and response to them. The bank develops prudential regulations and monitors commercial banks. In addition, it contributes to the development of the financial system, increasing financial inclusion and introducing modern banking technologies.

Strengthening of the national currency

Another task of the National Bank is to strengthen and stabilize the GEL as the national currency of the country. For this purpose, the bank implements an effective foreign exchange policy, which ensures the maintenance of the purchasing power of the GEL. It actively intervenes in the foreign exchange market when it is necessary for the stability of the exchange rate of the lari. The strength of the national currency contributes to the development of trade, economic growth and citizens' confidence in the financial system.

By implementing the goals and objectives listed above, the National Bank of Georgia ensures the macroeconomic stability of the country and promotes sustainable economic development.