Georgia’s National Bank reduces interest rate

Business Materials 18 February 2009 20:19 (UTC +04:00)

Georgia, Tbilisi, Feb. 18/ Trend N. Kirtzkhalia/

The Monetary Policy Committee of Georgia's National Bank decided to reduce interest rate by one percent - to seven percent.

The index of annual inflation reduced 4.4 percent in January. Factors affecting reduction of inflation increased according to the forecast of the Monetary Policy Committee's last meeting. Increase in prices especially slowed down for short-term consumption that reduces inflation of population's expectation.

According to the National Bank's current forecast, expected rate of Georgia's economy growth reduced two percent in 2009.

The next meeting of the Monetary Policy Committee will be held on March 18.