TBILISI, DFWatch – The National Bank of Georgia Wednesday decided to lower the main refinancing rate by a quarter point to 6.25%.
Lowering the rate now is an indication that the bank has an optimistic view of the country’s economy. In a statement, the bank notes that the economic activity in the first quarter of 2012 was marked by indicators pointing towards high growth.
Prices fell in March; the annual price change was -2.2%, but although the bank expects inflation to remain low this year, it believes it will reach its target value of 6% by the beginning of 2013.
Next meeting of the bank’s Monetary Policy Committee is May 23.