According to Koba Gvenetadze, the President of the National Bank of Georgia starting from October 17 the minimum reserve requirement for commercial banks in foreign currency denominated funds will be reduced by 5% to 25%.
As a result the National Bank of Georgia expects to issue an additional USD 700 million in foreign currency loans and reduce the interest rate on foreign currency loans. The main reason for the decision was the impact of GEL depreciation on inflation.
Bela Gelashvili
News Author