BAKU, Azerbaijan, Jan. 10
By Maryana Akhmedova – Trend:
The annual inflation rate in Georgia in December 2021 reached 13.9 percent, compared to 12.5 percent in November 2021, which is explained by the low base effect over the same period of 2020 (annual inflation decreased in December 2020 due to government subsidies for utilities), Trend reports via weekly market watch from the Galt & Taggart.
According to the report, Georgia’s core inflation (non-food, non-energy) reached 5.9 percent, while core inflation excluding tobacco stood at 6 percent in December 2021.
Economic categories with the highest annual inflation growth (Dec. 2021):
- housing, water, electricity, gas and other fuels (43.5-percent year-on-year growth);
- transport (17.3-percent year-on-year growth);
- food and non-alcoholic beverages(15.6-percent year-on-year growth);
- restaurants and hotels (14-percent year-on-year growth);
- furnishings, household equipment and maintenance (11.8-percent year-on-year growth);
- health (7.9-percent year-on-year growth).
Georgia saw 0.3-percent inflation in December 2021 on a monthly basis, reflecting price increase in food and non-alcoholic beverages (0.8-percent year-on-year growth), the report said.
Thus, overall annual average inflation was at 9.6 percent in 2021, compared to 5.2 percent in 2020, the report added.
Meanwhile, according to the National Bank of Georgia, gross international reserves in Georgia in December 2021 increased by 9.2 percent year-on-year to $4.3 billion, the report said.
The international reserves increased by 8.7 percent ($343.7 million) on a monthly basis. Changes in reserves were related to foreign exchange transactions of the government and the banking sector and/or revaluation of assets, Galt & Taggart noted.
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