Tbilisi, Georgia, Nov. 19
By Nana Kirtzkhalia - Trend:
The Monetary Policy Committee of the National Bank of Georgia decided on Nov. 19 to keep the refinancing rate unchanged.
Georgia's National Bank told Trend that the monetary policy rate stands at 4.0 percent.
Following the previous meeting of the Monetary Policy Committee, the inflation forecast fell on the basis of the received data. The change in data is mainly due to the processes going on in the region, the countries that are trade partners of Georgia, and decrease in the prices on the world commodity exchange.
Therefore, to achieve the inflation target, the committee decided at this stage to leave the rate unchanged.
Despite a decline in the inflation forecast, there is still need in a phased abandoning of the moderate monetary policy.
The updated forecast shows that the inflation will reach five percent target by late 2015.
The annual inflation was 3.4 percent in October.
In Q3 the economic growth will be 5.5 percent, according to the preliminary estimates.
The Monetary Policy Committee of Georgia's National Bank will hold its next meeting on Dec. 17.