National Bank says inflation to remain “significantly lower” than 3% in October
The National Bank of Georgia on Wednesday said total inflation would remain “significantly lower” than the three percent target rate in October. Photo: Nino Alavidze/Agenda.ge
Tweet 
Share
The National Bank of Georgia on Wednesday said the consumer price index across the country increased in September by 0.6 percent compared to the previous month, while the annual inflation rate amounted to 0.7 percent, adding that total inflation would remain “significantly lower” than the three percent target rate in October.
The NBG said the biggest impact on the overall price level in September was the 7.6 percent and 5.9 percent increase in gasoline and diesel prices, but the stability of the prices of goods and transportation in the world market, the “solid position” of the exchange rate of the national currency lari and the “strict” monetary policy had ensured low inflation rate in Georgia.
Month-on-month, costs of healthcare and transport across Georgia decreased in September and rose for housing, water, electricity, gas and various goods and services, statistics show.
As for the annual inflation rate, it was mainly influenced by price changes for housing, water, electricity and gas, which increased by 5.1 percent, with the annual inflation in September constituting 0.7 percent.
While annual inflation in Georgia has “passed the peak” and is on a downward trend, the country’s National Bank will pursue a “tight monetary policy” throughout the year to “reduce the risk of rising inflationary expectations” in the medium term, the Bank announced on Wednesday.
Costs of healthcare and transport across Georgia decreased in September and rose for housing, water, electricity, gas and various goods and services, the latest inflation data published by the National Statistics Office of Georgia on Tuesday shows.
Prices of certain food products and non-alcoholic beverages decreased month-on-month in Georgia in June, while prices of transport, housing, water, electricity, gas and other fuels increased, the latest inflation data published by the National Statistics Office of Georgia on Monday shows.
The National Bank of Georgia on Wednesday announced a “gradual exit” from its tight monetary policy, as it decreased the refinancing rate by 0.5 percent, to 10.50 percent, following a reduction in the domestic inflation rate.
Natia Turnava, the Acting President of the National Bank of Georgia, on Friday met representatives from local commercial banks to discuss cooperation for ensuring more resource investment in the domestic economy and ensuring access to finance for bank customers.
Prices of certain food products and non-alcoholic beverages, furnishings, household equipment and maintenance, as well as healthcare decreased month-on-month across Georgia in November, the National Statistics Office said on Monday.
The National Bank of Georgia on Tuesday released a monthly review which said remittances to the country from the United States and Kazakhstan had increased at a “high rate” in October, while the figures from Russia had decreased by 79 percent.