The National Bank of Georgia (NBG) announced today its decision to increase the liquidity requirement for deposits made by foreign individuals, specifically targeting capital inflows from Russia.
The NBG’s assessment indicates that the capital inflows from Russia over the past two years may be of a temporary and unstable nature. Therefore, these deposits must be reflected differently in the financial indicators of banks.
In light of this, the NBG has raised the liquidity requirement for such deposits.
“The Financial Stability Committee has resolved to increase the liquidity requirement for deposits in foreign currency made by Russian residents to 80%. Previously, this rate stood at 30-40%. The new changes will take effect from September 1,” stated the NBG.