The First Vice Governor of the National Bank of Georgia (NBG), Ekaterine Mikabadze, participated in the annual Central and Eastern Europe International Forum (CEE Forum), which, as in previous years, was hosted by Austria’s capital city, Vienna.

Participants of the forum discussed the macroeconomic environment of the Central and Eastern Europe region, financial stability, investment prospects, and the development of capital markets.

Ekaterine Mikabadze took part in a panel discussion titled “Central Banks’ Priorities,” which focused on the impact of global shocks, the updated monetary policy framework, and modern risk-based approaches to decision-making.

During the panel discussion, particular attention was paid to the effectiveness of monetary policy under conditions of global uncertainty, both within the inflation-targeting regime and through the parallel use of macroprudential instruments.

In her remarks, Ekaterine Mikabadze shared Georgia’s experience and emphasized that small and open economies are particularly vulnerable to global shocks. She noted that in recent years Georgia’s economy has successfully withstood challenges related to the pandemic, global inflation, and geopolitical uncertainty, while maintaining macroeconomic stability.

“Timely monetary and macroprudential measures implemented by the National Bank of Georgia played a decisive role in the rapid stabilization of inflation and the anchoring of economic expectations. In line with the NBG’s central forecast, headline inflation has begun to normalize as anticipated. Moreover, the updated communication framework will ensure greater transparency and credibility over the long term,” said Ekaterine Mikabadze.

She also noted that the NBG applies scenario-based analysis, which reduces uncertainty, increases policy flexibility, and helps the public and financial sector representatives better understand the rationale behind policy decisions and associated risks.

“Relying on a single forecast is no longer sufficient. We analyze both baseline and alternative scenarios, which allows us to enhance effectiveness and transparency,” she stated.

The forum also addressed issues related to the development of financial infrastructure and the fintech ecosystem. Discussions focused on the growth of the fintech sector and the adoption of innovative technologies as a means of aligning payment systems with international standards.

The forum held in Vienna is a high-level international platform bringing together finance ministers, governors and vice governors of central banks, senior executives of leading commercial banks and corporations, investors, and representatives of international financial institutions.

The event is organized by FT Live, a member of the Financial Times Group.