The Financial Stability Committee was created under the Organic Law of Georgia on the National Bank of Georgia. The Committee's main task is to evaluate and analyze financial stability risks and to implement corresponding policies to mitigate those risks. While designing policy, the Committee takes into account the impact it might have on the goals of monetary policy, such as maintaining price stability and promoting economic development.
The Committee members include the President of the NBG, the Vice-Presidents of the NBG, and heads of corresponding departments and divisions. The Committee is headed by the President of the National Bank.
The Financial Stability Committee meets once a quarter in accordance with a pre-announced schedule. Unplanned committee meetings may also be called in special cases.
The Financial Stability Committee regularly evaluates and analyzes systemic risks, assesses the cyclical position of the financial sector and sets the appropriate countercyclical capital buffer. It also makes decisions on other macroprudential policy instruments, including establishing limits on the payment-to-income ratio, the loan-to-value ratio, sectoral risk weights and systemic capital buffers.
After each Financial Stability Committee meeting, the decision and underlying reasons will be published on the website of the National Bank of Georgia.