In September 2016 the GEL exchange rate dropped by 1.7% in relation to USD. The September trades started by $1=1.3138 GEL exchange rate, while the month’s last trade registered 1$=1.3361GEL exchange rate.
In September the National Bank of Georgia (NBG) implemented 2 currency interventions and supplied 60 million USD to the market to curb extreme volatility of the GEL exchange rate. According to G&T, in 2016 the NBG has carried out 20 currency interventions (bought 278 million USD and sold 140 million USD). As compared to the previous week, the GEL exchange rate depreciated by 0.1%, but strengthened by 3.6 Year-to-date (YTD) against USD.
Last week, NBG intervened on the FX market and sold US$ 40mn, aimed at curbing fluctuation of the national currency. Overall, NBG bought total of US$ 278mn and sold US$ 140mn at 20 interventions YTD. GEL weakened 0.1% w/w and strengthened 3.6% YTD against the US$.