Ozurgeti Branch of the Bank Stops Functioning

Ozurgeti Branch of the Bank Stops Functioning

01 June, 2005
As a result of the structural reorganization of the National Bank, the Ozurgeti branch of the National Bank of Georgia has stopped functioning. According to Giorgi Glonti, Vice-president of the National Bank, the functioning of the branch both from financial and operational viewpoint was unjustified. Over the recent period, no cash was deposited there. The region was supplied with cash by Poti branch.The branches of the National Bank serve the regional structures of the MOF’s treasury agencies. In Ozurgeti’s case, commercial banks cooperate with the treasury together with the branch. Because of the loss of 80 thousand lari some years ago, a risk factor prevailed and no more cash was delivered. Only several non-cash payments were made in the branch. The branch cost the Bank annual 200-250 thousand lari, Vice-president Glonti said. After the termination of the functioning of Ozurgeti branch, the non-cash settlement operations were moved from MOF Treasury Guria Regional office to the commercial banks operating in Ozurgeti. The branch balance will be eliminated, with the assets moving to the head office balance and to be sold at the auction in the future, or to be distributed in other branches. The NBG personnel conducted the inventory of the technical facilities installed on site.The National Bank now has branches in Batumi, Sukhumi, Kutaisi, Zugdidi, Poti, Akhaltsikhe, Gori, Gurjaani. A small country like Georgia does not need this number of branches. Accordingly, the rationalization process will continue in the future.