National Bank of Georgia sells $20 mln amid Georgian lari depreciation
As of today, 1 USD costs 3.2044 GEL, while 1 EUR costs 3.479 GEL. Photo: Nino Alavidze/Agenda.ge.
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The National Bank of Georgia has sold $20 million to stabilise the Georgian lari today after further depreciation.
Against the backdrop of the outbreak of the coronavirus and the global oil crisis, the Georgian national currency, the lari, has significantly depreciated against the USD in recent weeks.
As of today, 1 USD costs 3.2044 GEL, while 1 EUR costs 3.479 GEL.
The National Bank will carry out foreign exchange interventions more actively this year,“ the National Bank of Georgia said.
The bank says that its policy of building up foreign currency reserves in recent years has paid off:
It was the policy of accumulating reserves that made it possible for the National Bank of Georgia to provide additional foreign exchange resources to the market through interventions in the face of this particular situation,“ reads the announcement of the National Bank of Georgia.
On March 13, the NBG released a statement in which it said that the recent depreciation of the lari exchange rate was linked to uncertainty caused by the coronavirus outbreak that has been transmitted to the financial markets through the channel of expectations.
Besides the coronavirus, the NBG said that another reason for the depreciation of the lari is the decline in international oil prices.
On March 25, the National Bank of Georgia sold 40 mln GEL at foreign exchange auction, while it sold another $40 mln on March 19 and $20 mln on March 13.
The National Bank of Georgia (NBG) is keeping the refinancing rate at 9 per cent.
The National Bank of Georgia (NBG) announced today that it will sell $40 million at foreign exchange auction tomorrow to control the national currency’s changing value against the US dollar. As a result of the last two interventions the NBG has already sold $60 million in total.
The National Bank of Georgia has sold $40 mln today amid the depreciation of the Georgian lari, announces the National Bank of Georgia. As of today, 1 USD costs 3.1568 GEL, while 1 EUR costs 3.4109 GEL.
1 USD costs 3.0118 GEL
Against the backdrop of the outbreak of the coronavirus and the global oil crisis, the Georgian national currency, the lari, has hit a record low against the US dollar after falling to 3.0118.
The impact of the coronavirus is rippling through the Georgian economy, but it might take a few months to fully see the fallout in data that track economic performance in Georgia.
The National Bank of Georgia (NBG) has begun relaxing monetary policy and cut the refinancing rate by 0.50 percentage points to 8.5 per cent, announces the NBG. The NBG explains that amid the Covid-19 pandemic and the sharp decline in international oil prices, economic uncertainty in the world remains high.
The National Bank of Georgia has sold $40 million to stabilise the Georgian lari against the backdrop of its depreciation. As of today, 1 USD costs 3.1920 GEL, while 1 EUR costs 3.5058 GEL. The bank says that the aim of the interventions is to reduce excess fluctuations in the foreign exchange market and avoid negative expectations on the market.
The National Bank of Georgia has sold $20 mln to stabilise the Georgian lari amid its depreciation.
The National Bank of Georgia (NBG) has relaxed the monetary policy and cut the refinancing rate by 0.25 percentage points to 8 per cent, announces the NBG.