National Bank Acting Governor highlights access to investment resources, innovative financial products for private sector

Natia Turnava, the Acting Governor of the National Bank of Georgia, on Tuesday said access to diverse investment resources and innovative financial products could benefit the domestic private sector, in an event organised by the Financial Innovation Programme of the United States Agency for International Development. 

Turnava also highlighted the “significant impact” of encouraging foreign investments, promoting trade agreements and providing technical assistance for the growth of the Georgian economy as well as “well-being” of its citizens, before emphasising the “positive contributions” of the USAID programme. 

She stressed the country possessed “all the prerequisites to become a financial innovation hub” in the South Caucasus, and noted her office played a “leading role” in developing innovative financial technologies. 

The official further noted the NBG had adopted a strategic approach, incorporating policy-driven open regulation tailored to the specific needs of financial system participants, with an objective to foster digitisation within the financial system and promote the safe introduction of innovative solutions. 

Turnava also focused on several projects during her address, including the Fintech Business Model Maps project supported by the USAID with the goal to identify regulatory barriers to innovation at the legislative level in Georgia.

Additionally, Turnava highlighted the implementation of the NBG-proposed Learn by Doing approach, promoting the development of fintech business models, and said through collaboration with the International Finance Corporation Georgia had established the first open banking technical laboratory in the region. 

The lab allows selected fintech companies to test new Application Programming Interfaces, an opportunity to drive innovation”, she said. 

Addressing the importance of a well-developed domestic capital market, the National Bank official noted its contribution to sustainable economic growth and the diversification of financing sources for the corporate and household sectors.

I reaffirm the NBG’s strong commitment to the task of capital market development. We will continue productive cooperation with other stakeholders, both public and private, and international financial institutions”, she pointed out.

The Acting Governor also hailed efforts of the country’s Government, her institution and international partners for “significant progress” in the local capital market development over the years. 

The USAID Financial Innovation Programme for Georgia is a five-year initiative with a budget of $18.9 million.