National Bank of Georgia facts for kids

Quick facts for kids
National Bank of Georgia
საქართველოს ეროვნული ბანკი

National Bank of Georgia
Headquarters	1, Zviad Gamsakhurdia Named Right Bank, Tbilisi, Georgia
Established	December 31, 1919; 105 years ago (1919-12-31) (as State Bank of the DRG) 1991; 34 years ago (1991) (as National Bank of Georgia)
Ownership	100% state ownership
Governing body	Board of the Bank
Governor	Natia Turnava (acting)
Central bank of	Georgia
Currency	Georgian lari GEL (ISO 4217)
Reserves	4 116 million USD
Bank rate	7.5%

The National Bank of Georgia (Georgian: საქართველოს ეროვნული ბანკი, Sakartvelos Erovnuli Bank’i) is like the main bank for the country of Georgia. Its rules are set by Georgia's Constitution. It works on its own, separate from the government. Its main job is to keep prices stable, so things don't get too expensive or too cheap too fast.

A group called the National Bank Council runs the bank. This council has seven members. The head of the council is the President of the National Bank. The council also includes two Vice Presidents and other members. These members are chosen by the Parliament of Georgia for a seven-year term. The President of Georgia suggests who should be on the council.

History of Georgia's Central Bank

Georgia's first central bank started in 1919. Its first leader was Yason Lordkipanidze. He was in charge from 1919 to 1924.

The current National Bank of Georgia was set up in 1991. This happened after the Soviet Union broke apart. The bank was created from the Georgian part of the Soviet State Bank. It then began to work as an independent bank for Georgia.

Leaders of the National Bank

Here are some of the people who have led Georgia's central bank:

• Jason Lordkipanidze – Governor of the State Bank of Georgia, July 1920 – February 1921
• Gia Topuria, October 1991 – January 1992
• Vazha Djindjikhadze, January 1992 – March 1992
• Nodar Kakulia, April 1992 – November 1992
• Demur Dvalishvili, November 1992 – October 1993
• Nodar Javakhishvili, October 1993 – March 1998
• Irakli Managadze, March 1998 – March 2005
• Roman Gotsiridze, March 2005 – October 2007
• David Amaglobeli, October 2007 – February 2009
• Giorgi Kadagidze, February 2009 – February 2016
• Koba Gvenetadze, March 2016 – March 2023

How the Constitution Guides the Bank

The Constitution of Georgia has special rules for the National Bank. These rules explain what the bank does and how it stays independent.

Article 95: What the Bank Does

• 1. The National Bank of Georgia makes sure Georgia's money system works well. It helps keep prices stable. It also supports the country's financial system to run smoothly.
• 2. The National Bank is like the bank for all other banks. It also acts as the banker and money manager for the Georgian Government.
• 3. The National Bank works on its own, without government control. A special law explains its rights, duties, and how its independence is protected.
• 4. A law decides the name and value of Georgia's money. Only the National Bank can print and issue money.

Article 96: How the Bank is Managed

• 1. The highest group in the National Bank is the Council of the National Bank. The Parliament of Georgia approves its members. They are chosen by a majority vote, after the President of Georgia suggests them. Members serve for seven years. They can only be removed by a decision of the Parliament.
• 2. The President of the National Bank is chosen from the Council members. The President of Georgia appoints and removes this person, based on the Council's suggestion.
• 3. The National Bank reports to the Parliament. It gives a report on its work every year.

Monetary Policy and Interest Rates

The National Bank has a Monetary Policy Committee. This committee makes decisions about the country's money. They decide on the monetary policy rate, which is an important interest rate. These decisions and why they were made are shared on the bank's website. This happens after each meeting.

See also

In Spanish: Banco Nacional de Georgia para niños