Central Bank Reduces Key Rate to 7%

The National Bank of Georgia (NBG) reduced its key policy rate by 25 basis points to 7% on November 22.

NBG’s monetary policy committee said, that inflation has recently slowed more than expected.

Inflation rose 2.3% in October from a year earlier, slowing from the 4.6% year-on-year rise in September, according to the Georgian state statistics agency Geostat.

NBG’s monetary policy committee, said that inflation would remain at the low level for about next six months, before starting “a moderate increase” from the summer, 2012.