In 7 months of the current year the income derived from the international reserve management was Lari 10.6 mln which exceeds by 226% the similar period index of the year 2004. The income from international reserve management was Lari 9 mln in 2004. According to 7 months data of the same period, the volume of the National Bank of Georgia international reserves amounted to USD 423.6 mln which exceeds by 49% the index of the last year reporting period.   By the forecasting of David Amaglobeli, the Vice-president of the National Bank of Georgia, especially high growth tendency of the International reserve volume is expected in the remaining period of 2005 when grants receiving from International organizations and donor countries are anticipated. As he says, the income resulted from international monetary reserve management will be increased to Lari 20 mln by the end of the current year.   The National Bank of Georgia uses international reserves for financial operations in the market also to regulate changes in investment portfolio and for the external debt service.   By the decision of the Council of the National Bank of Georgia, the international reserve basket was established in the following way: USD-70%, Euro-30%.   As David Amaglobeli explained the mentioned decision is conditioned by several factors. Among them, the diversification of currency risks and the growth of derived income from reserve management is important. The proportion of reserve redistribution must be convenient since the country serves external debt without impediments which is denominated in USA dollars and also in various securities.   December 20, 1994 is considered to be the initial point of the establishment of the National Bank of Georgia international reserves. This is the period when Georgia received the first tranche of the systematic transformation credit from International Monetary Fund in the amount of USD 40 mln.   Dynamic of the international reserves during the past 5 years is as follows:   2000 -  USD 109.4 mln 2001 -  USD 159 mln 2002 -  USD197.7 mln 2003 – USD 190.7 mln 2004 – USD 382.8 mln 7 months data of  2005  –  USD 423.6 mln