“The price stability has been achieved in Georgia. Since the beginning of 2023, inflation has been decreasing. Since March, it remains below the targeted three per cent,” stated Natia Turnava, Acting President of the National Bank of Georgia (NBG), when presenting the annual report to the Finance and Budget Committee.
Turnava explained that considering the inflationary trends and forecasts, the National Bank initiated a withdrawal from the strict monetary policy starting in early 2023.
The monetary policy rate, which stood at 11% at the beginning of 2023, was gradually reduced by 1.5 percentage points to 9.5% by the end of the year.
“As a result, we had the opportunity to reduce the refinancing rate gradually. It not only had a positive impact on the Georgian Lari (GEL) but also alleviated the debt burden.
We closely monitor economic trends and global events and remain prepared to adjust monetary policy as needed. This approach ensures the fundamental basis of economic prosperity – price stability,” Turnava stated.
