Georgian National Bank has reduced the discount rate in the country
The Monetary Committee of the National Bank of Georgia decided to cut the discount rate by 25 basic points at a meeting on August 17. It was reported by agency Trend with reference to the Georgian National Bank, thus, the rate was set at 7.5 percent.
On the eve the National Bank also released data on the consumer price index for July this year. Thus, compared to the previous month it decreased by 1.5 percent. Annual inflation was 8.5 percent. In July, core inflation was 0.03 percent, excluding food and utilities. Inflation in the service sector was 1.2 percent.
Experts noted the reduction of inflation in the country, and it is becoming lower faster than expected. It is expected that till the end of the year, inflation will be below target and will remain low in the first half of 2012.
The next meeting of Committee of Monetary Policy is scheduled for September 14, 2011.