National Bank March update: inflation reaching 1.5%, loans up by 17.3%, import of goods down by 17%, int’l reserves up by $30.6mln

The National Bank of Georgia on Monday provided an analysis of the current situation and macroeconomic indicators in the banking and financial sectors of the country by releasing updated figures in inflation, import and other data. 

Inflation

The Bank said annual inflation increased in April, reaching 1.5 percent, adding the figure was still below the target rate of three percent. 

“Prices increased by 0.3 percent compared to March, mainly due to increase in fuel prices and some other products”, it pointed out.

Banking sector

In March, loans increased by 17.3 percent annually, excluding the exchange rate effect, the National Bank said. Dollarisation of deposits reached 49.7 percent in the same month based on the growth rates of foreign and national currency deposits. In March, dollarisation of the total credit portfolio increased by 0.2 percentage points compared to the previous month, amounting to 44.8 percent.

Foreign sector

The central bank said import of goods decreased by 17 percent year-on-year in March, mainly due to a decrease in the import of consumer goods. Import of investment goods decreased “moderately”, while import of intermediate goods continued to decline. 

In March, registered export of goods decreased by 4.4 percent year-on-year, the NBG said, adding the decrease was largely caused by a decrease in the export of intermediate goods, while export of consumer goods increased. 

The body said official international reserves in the same month increased by $30.6 million compared to the previous month, and the total volume of reserves amounted to $4.8 billion.