At a plenary session of Parliament, the President of the National Bank of Georgia [NBG], Natia Turnava, presented the National Bank’s 2025 annual report.

The speaker reviewed in detail the NBG’s key areas of activity during the reporting period, including monetary and foreign exchange policy, financial stability, banking and non-banking supervision, consumer rights protection, and the securities market.

According to Turnava, the NBG’s primary objective is to ensure price stability, which is a prerequisite for long-term economic prosperity. She noted that the Bank conducts monetary policy in a way that keeps inflation close to its target level over the medium term.

Turnava stated that amid growing global uncertainty, the NBG moved to a new phase of developing its monetary policy framework from the beginning of 2025 and introduced a new scenario-based communication approach: “It is important that these scenarios are published publicly, and this communication approach makes the risk management and decision-making process more transparent. Through this step, the NBG improved the transparency of its monetary policy reaction function, thereby strengthening the effectiveness of policy transmission channels”.

According to her, a moderately tight monetary policy stance was maintained throughout 2025, and the monetary policy rate remained unchanged at 8%. At the same time, inflation expectations remained stable, indicating the effectiveness of monetary policy.

“Economic activity remained strong in 2025, with real GDP growth reaching 7.5%. Importantly, the main drivers of economic growth continued to be highly productive sectors, which also indicated an improvement in the economy’s overall production potential.

During the reporting period, foreign direct investment remained one of the major sources of financing for the current account and increased by 7.6% year-on-year, amounting to 4.4% of GDP. International reserves are an important guarantee of the country’s macroeconomic stability. Accordingly, the National Bank’s long-term policy is always aimed at accumulating international reserves and managing reserve assets efficiently. In 2025, gross international reserves increased by USD 1.71 billion and reached USD 6.16 billion. A significant contribution to reserve growth during the year came from the NBG’s net foreign currency purchases. The NBG always focuses on accumulating reserves and maintaining them at an adequate level whenever foreign exchange market conditions allow. As for the purchased gold, it currently accounts for 16.4% of reserves, or USD 1.06 billion, and this share is expected to increase in the coming period. The projected target is 25% of total reserves, estimated at USD 6.47 billion. Accordingly, the NBG is considering purchasing approximately USD 500 million worth of additional reserves”, - said Natia Turnava.

The discussion of the NBG’s annual report continued in a question-and-answer format.

Parliament approved the National Bank of Georgia’s annual report by a majority vote - 78 in favor and 8 against.