Investment bank Galt&Taggart predicts that inflation in Georgia to decrease at an accelerated pace, this is stated in the economic review published by the bank. The organization does not rule out that the NBG will start reducing the refinancing rate in May.
Galt&Taggart's forecast is in line with the expectations of the National Bank of Georgia, which predicts inflation below 3% in the country at the end of 2023.
"As inflation deceleration is expected to continue in coming months, we believe that the NBG will begin monetary easing from June 2023 (we also do not rule out the possibility of the first rate cut occurring on May meeting). We revised our annual inflation forecast downwards to 4.7% for 2023 from the previous forecast of 5.2%", - the document reads.
The National Bank of Georgia (NBG) kept the refinancing rate unchanged at 11% in late March.
