We do not administer the exchange rate. We control inflation rate, Koba Gvenetadze, president of the National Bank of Georgia (NBG) noted regarding the recent depreciation of GEL exchange rate.
The mission of NBG is to prevent the national currency inflation growth and this institution successfully fulfills this mission, Gvenetadze said.
“We have floating exchange rate in Georgia with short-term fluctuations. It is impossible to name everyday reasons for the GEL rate deprecation or appreciation. This is the best and most optimal exchange regime for a small country with open economy. The international rating companies have multiply stressed that the floating exchange rate is the best mechanism to withstand any shock.
The NBG has not set any benchmark for the exchange rate. We are to prevent inflation growth. Today, we have low inflation rate in Georgia and it remains under the target indicator – about 2.7%”, the NBG president noted.