Economist Akaki Tsomaia states that there is no economic logic in the NBG's actions for a long time. He announced this while visiting TV-program "Business Morning".
The fact is that the National Bank of Georgia sold USD60 million at the currency auction held on October 23. This is the third currency intervention in a row in the current month and the total amount has made up USD 173.4 million.
According to the explanation of the National Bank, the decision is related to the prevention of pressure in the currency market for the pre-election period.
"According to official data, there were three interventions, but we do not know unofficial data. There is also a BMatch platform where it is possible to make an intervention and whose data we will know later. So, the NBG may have made many more interventions than is officially published at this moment. As for the reason, in my opinion, it is simple - the NBG is not an independent institution and has direct instruction to maintain the exchange rate at any cost and use all the resources at its disposal to prevent even a slight fluctuation in the currency market before the elections," said Akaki Tsomaia.
