National Bank President on Increasing Fines for Banks
The National Bank‘s goal is to prevent bank violations, not just impose fines. This was stated by the President of the National Bank, Natia Turnava.
Turnava said that the fine system has not changed in 15 years, even though the banking sector has grown rapidly during this time. The new limits are higher, but the scale remains the same. This means that banks will rarely face the maximum fine.
The president also talked about microfinance institutions, which have transformed into microbanks. Turnava said that this is a positive development, as it increases competition in the market and provides more opportunities for people to access finance.
Turnava denied claims that banks are struggling to issue loans. She said that loan issuance has been growing at a rate of 17-18% per year, which she considers sustainable.
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