Natia Turnava: Recent Global Shocks Prove the Need for Strong, Well-Designed Monetary Policy

“Today’s conference is being held against the backdrop of global economic challenges, growing risks, and geopolitical tensions.

The events of recent years – the pandemic, armed conflicts, and trade disruptions – have presented the region’s central banks with entirely new challenges, making it more difficult to maintain price and financial stability.

This has clearly shown how essential a strong and well-thought-out monetary policy is in responding quickly and effectively to an increasingly uncertain environment,” said Natia Turnava, President of the National Bank of Georgia, during her remarks at the international conference.

Turnava emphasized that the National Bank of Georgia continuously faces challenges. While many countries still grappled with inflation in 2023, Georgia saw a significant decline in annual inflation, which has remained at a low level.

“The convergence of low inflation and high economic growth in Georgia has been sustained over several years, largely due to structural changes in the economy and increased productivity. However, as a small, open economy, Georgia remains highly exposed to external factors. That’s why our focus remains on risk management, prudent monetary policy, reducing persistent dollarization, advancing financial technologies, and addressing other priority issues,” she added.

The international conference, attended by over 300 guests from around 30 countries, is part of the events marking the 30th anniversary of the Georgian lari. Throughout the conference, panel discussions will explore current challenges and opportunities facing the global financial system.