Prokhladny is a city of republican subordination in Kabardino-Balkaria, the administrative center of the Prokhladnensky District.

As regards its population the city is second to Nalchik only among other cities of Kabardino-Balkaria. It is a considerable industrial and agricultural center, a railroad and highway junction.

The city is located in the northeast of the republic of Kabardino-Balkaria, on the left bank of River Mulka, 50 km to the northeast of Nalchik. The city extends for about 10 km from the west to the east and 4 km from the south to the north.

The city district takes the area of 35 sq.km in the flat forest-steppe zone of the republic.

The cultural center of the city is the City Palace of Culture. The main city events and performances of the Folk Theater are held on its main stage.

The Prokhladny Museum of Local Lore boasts a large-scale exposition on the history and life of the Terek Cossacks.