Georgia’s average annual inflation is expected to remain above the central bank’s 3% target this year, First Deputy Finance Minister Giorgi Kakauridze told Parliament during a review of the six-month budget performance.
Kakauridze said inflation stood at 5.8% in the first six months before declining to 5.6% year-on-year. The average inflation rate over the past 12 months was 5.1%, while the Finance Ministry currently forecasts average annual inflation at 4.9%.
He said inflation is expected to return to the target level next year. “This year we will have inflation higher than the target, while from next year it will return to the target inflation rate,” Kakauridze said.
The National Bank of Georgia, however, raised its 2026 average inflation forecast in late July to 5.2%, up from 4.9% projected in its June 17 Monetary Policy Report. The revised forecast is also above the bank’s 3% target.
