NBG LEFT REFINANCING RATE INTACT
National Bank of Georgia (NBG) reported that its Monetary Policy Committee decided today to left refinancing rate intact.
To remind, the Committee raised the rate by 25 basis points up to 7.25% at the previous meeting (on December 13, 2017).
“SOCIETY AND BANKS”: MAINTENANCE OR REDUCTION OF REFINANCING RATE WAS EXPECTED
Non-governmental organization Society and Banks said that it was expected that National Bank of Georgia (NBG) will make decision to maintain or reduce the refinancing rate.
We think that in the conditions of lari exchange rate’s strengthening, further growth of inflation is not expected, the organization declared.
BUSINESS ASSOCIATION’S RESEARCH: VOLATILITY OF LARI EXCHANGE RATE WAS ESSENTIAL PROBLEM FOR BUSINESS IN 2017
Giorgi Chirakadze, president of Georgian Business Association (uniting mainly large companies), declared that within the conducted research, 95% of members of the Association named volatility of lari exchange rate as essential problem in 2017. We saw that this volatility exerted negative impact almost on all companies, he noted.
IN 2017, NATIONAL CURRENCY SUPPLY INCREASED BY 10.3%
National Bank of Georgia reported that national currency supply amounted by the end of December 2017 to 3.31 billion lari. If compared with the same period of 2016, the volume has increased by 10.3% (by 309.55 million lari).
IN 2017, RATIO OF DEPOSITS TO GDP INCREASED BY 2.1 PP, OF CREDITS – BY 1.8 PP
National Bank of Georgia reported that as of January 1, ratio of banking deposits to GDP made up 52%.
If compared with January 1, 2017 (49.9%), the ratio has increased by 2.1 percentage points (pp), while if compared with October 1, 2017 (49.7%) – by 2.3 pp.
IN 2017, BANKS’ BRANCHES DECREASED IN NUMBER BY 9, WHILE SERVICE-CENTERS INCREASED BY 21
National Bank of Georgia reported that as of December 31, 2017, there were 134 branches and 847 service-centers of 16 commercial banks, operating on the local market.
If compared with December 31, 2016, number of branches has decreased by 9, while did not change in comparison with September 30, 2017.
WITHIN HOTEL INDUSTRY DEVELOPMENT COMPONENT OF “PRODUCE IN GEORGIA” STATE PROGRAM, 38 PROJECTS ARE SUPPORTED
Ministry of Economy and Sustainable Development reported that within hotel industry development component of “Produce in Georgia” state program, 38 projects are supported currently, meaning total investments of over 113 million lari. The Ministry noted that these hotels provide creation of 1,174 additional rooms and over 1,200 jobs.
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