The Supervisory Board meeting of LEPL Deposit Insurance Agency was held on September 12, 2019, where the report on ongoing and 2019 second quarter activities of the Agency was discussed. The agency has presented to the Board analysis of different scenarios on alternative coverage levels.
The Supervisory Board discussed and supported the decision of LEPL Deposit Insurance Agency to increase the insurance threshold, according to which, from July 1, 2020, the maximum reimbursable amount of insured deposits will increase up to 15,000 GEL. The board also discussed the amount of monthly regular insurance premiums paid by the commercial banks. According to the decision, together with increased coverage level, the rate for monthly regular insurance premiums of insured deposits in the national currency will be reduced from 0.067% to 0.03%. Meanwhile, the rate for monthly regular insurance premium of insured deposits in foreign currency will be kept unchanged at 0.1%.
According to the Board decision, legal amendments will be elaborated in order to add legal entities to the deposit insurance system.
Increased coverage level will strengthen the public confidence and financial sector stability. The decision is in line with the EU-Georgia Association Agreement (AA).