Some issues concerning circulation of Georgian treasure obligations

Tamar Chankotadze

Issue of Treasury obligations in Georgia, besides those basic purposes that short-term public securities have, have other ones as well:

formation and development of the securities market; stimulation of formation and development of the secondary stock market; regulation of free monetary aggregates and rates; provision of lari stability and creation of sources of interventions; creation of a reference point for profitability of financial instruments, etc.
The structure of the primary market of Treasury obligations corresponds to market principles. In the process of Treasury obligations management two main principles of regulation are used: regulation by the volume of emission of Treasury obligations and by conducting of auctions.
A most significant sign of the secondary market of Treasury obligations is liquidation of wide successful trade, which, in a short period with insignificant fluctuations of the rate and comparative low expenses, gives a possibility of selling of securities in large volumes.