The finite volume discretization of the incompressible Navier-Stokes equations in general boundary-fitted coordinates on a staggered grid is discussed. In order to maintain accuracy on grids with nonuniform stretched nonorthogonal meshes certain measures have to be taken. Efficient implementation of Galerkin coarse grid approximation is discussed. Several smoothing methods of Vanka and ILU type are applied and compared. Flows in general two-dimensional geometries are computed.