Georgia Interest Rate

The National Bank of Georgia kept its benchmark interest rate unchanged at 8% for the tenth consecutive meeting in July 2025. Inflation exceeded the central bank’s 3% target, with headline inflation accelerating to 4% in June—the highest since March 2023—driven primarily by rising food prices, while core inflation remained subdued below target for nearly two years. The bank’s forecast from the previous quarter projected inflation to average 3.8% in 2025, temporarily exceeding the target. In addition, economic growth remains robust, with an 8.8% expansion in the first five months, prompting an upward revision of the 2025 growth forecast from 6.7% to 7.4%. Against a backdrop of heightened global uncertainties and domestic demand pressures, the Monetary Policy Committee opted for a cautious stance, leaving rates unchanged while monitoring evolving risks and incoming data.