National Bank of Georgia stabilizes situation in banking sector

NBG states that Georgia’s hard currency reserves are now only 6.4.% lower than they were in July. The current reserves figure is USD 1.253 billion. USD 370 million has also been accumulated in the Georgian National Welfare Foundation, a separate fund which similarly acts as a currency reserve.

NBG reports that in mid-August many citizens of Georgia rushed to the banks to withdraw their savings due to the war with Russia and therefore NBG responded with a currency intervention to prevent complete collapse of the banking system. Thus it satisfied currency demand and maintained a stable exchange rate.