General Director of the Bank of Georgia, Archil Gachechiladze states that the reduction of the refinancing rate is important for the bank to issue more favorable loans.
"For the last two years, the pace of lending is lagging behind the pace of economic growth, and we hope that it will be accelerated. For this, it is important to decrease the interest rates, the first step has already been taken - the National Bank has reduced the refinancing rate to 10.5%, and we hope that this trend will continue. We will give more preferential loans to our customers", says Gachechiladze.
On May 10, the Monetary Policy Committee of the National Bank of Georgia decided to reduce the refinancing rate by 0.5 percentage points. As a result, the monetary policy rate amounts to 10.5%. In the press release published by the NBG, it is stated that the reason for this decision was the reduction of inflation in the country because in April the inflation level fell off the targeted 3% and amounted to 2.7%.
