National Bank of Georgia holds refinancing rate at 8,25 percent

The National Bank of Georgia's Monetary Policy Committee has again decided to hold the monetary policy or refinancing rate at 8.25% per annum, the NBG said.

"Taking into account the current macroeconomic environment and prevailing risks, the MPC decided to keep the monetary policy rate unchanged," the statement reads.

It was noted that the moderately tight monetary policy stance aims to minimize risks related to inflation expectations and second-round effects, ensuring that inflation returns rapidly to the 3% target once the supply shock dissipates.

In August 2026, headline inflation in Georgia stood at 5.6%, above the 3% target, with rising energy prices making a significant contribution amid renewed geopolitical tensions in the Middle East, the NBG said.

The NBG hiked the policy rate a quarter percent from 8% in May as inflation accelerated due to the higher cost of imported fuel amid the Middle East crisis. The rate had been 8% since June, 2024.