TITLE:
Origins and the Reasons of Monetary Crises in Georgia (1995-2016)
AUTHORS:
David Aslanishvili, Kristine Omadze
KEYWORDS:
Currency Crisis, The Lari Exchange Rate, Monetary Aggregates, International Reserves, National Bank of Georgia
JOURNAL NAME:
Modern Economy,
Vol.7 No.11,
September
30,
2016
ABSTRACT: The article “Monetary Crises in Georgia” (Authors: Doctor of Economy, David Aslanishvili and Doctor of Business
Administration, Kristine
Omadze) is the first attempt to overview the three main monetary crises in
Georgian history since its independence and to study origins of the crises and
evolution. The purpose of this article is to study the three monetary crises in
Georgia itself and the errors in the Monetary Policy provided by The National
Bank of Georgia and Georgian Government. It is crucial for stable economic development to have corrected
Monetary Policy and to avoid mistakes similar to the mentioned in this article.
At the same time, the article pays attention to importance of coordination providing Monetary
Policy between the National Bank of Georgia and the Ministry of Finance. In our opinion only such
coordination is the best solution for crisis prevention. Our research
aims to determine the relevance and regularity of Georgian Lari (GEL) exchange
rate and monetary policies conducted by the National Bank of Georgia.