Rezonansi: “LARI DEVALUATION WILL NOT CAUSE GROWTH OF UTILITY BILLS”
(Economic Press Monitor: June 15, 2010)
National Energy and Water Regulating Commission say that none of the companies applied with request on tariff revision because of lari rate devaluation.
According to some experts, utility bills are already high and no ground exists for their increase due to the lari rate.
Kviris Palitra: “WHAT AND WHY OCCURRED TO LARI?”
(Economic Press Monitor: June 14, 2010)
National Bank of Georgia (NBG) explained flurry on local currency market with strengthening of the US dollar against euro and other currencies. However, experts have different explanation, the newspaper reports.
Kviris Palitra: “WHAT WILL BE THE BREAD “RATE”?”
(Economic Press Monitor: June 14, 2010)
Due to lari devaluation, cost of sack of flour is increased by 5 lari (by 15%) already for a week, making up 34 lari.
Last year, the government significantly restricted import of cheap flour from neighboring countries in order to protect local production, the newspaper says.
BLITZ-SURVEY: BANKS ABOUT LARI RATE FLUCTUATION
(Daily News: June 14, 2010)
Sarke applied to the commercial banks of Georgia, asking them to comment reasons of recent developments on currency market. Out of 7 inquired banks, 3 refrained from commenting (Sakartvelos Banki (Bank of Georgia), ProCredit Bank and Republic).
ACTUAL TOPIC: LARI RATE
(Daily News: June 14, 2010)
As known, lari has been declining toward the US dollar since June (rate for June 1 was 1.7848 GEL/USD, while for tomorrow it is 1.8873 GEL/USD).
This situation is discussed by Irakli Kovzanadze (Professor of Tbilisi State University and ex-chairman of fiscal committee of the Parliament) and Zaza Gelashvili (lecturer in Free University of Tbilisi).
Rezonansi: “LARI SURPLUS CAUSES INFLATION”
(Economic Press Monitor: June 11, 2010)
One of the reasons of lari devaluation is surplus money in circulation. However, experts do not see direct connection between the process and lari weakening, the newspaper reports.
24 Saati: “LARI RATE DEVALUATION WILL NOT INCREASE PRICES”
(Economic Press Monitor: June 11, 2010)
Economic team of the government declares that the price increase is not expected. However, after lari rate towards the US dollar dropped significantly, Georgian market began rising cost of medicines, the newspaper reports.
Rezonansi: “T-BILLS’ EMISSION REDUCED DRAMATICALLY”
(Economic Press Monitor: June 10, 2010)
On June 9, Finance Ministry sold treasury bills of 5 million lari instead of 15 million, while banks’ demand totaled to 21 million lari. Emission reduction was explained by great liquidity on unified treasury account and situation on currency market.
Bankebi da Finansebi: “THE GOVERNMENT DEVALUATES LARI DUE TO REPLENISH THE BUDGET”
(Economic Press Monitor: June 9, 2010)
Despite gradual decrease of national currency’s rate since January, the rate fixed on the second day after elections of May 30 has caused excitement of the public and experts, the newspaper reports.
National Bank of Georgia (NBG) is not trying to keep the rate, it seems that NBG decided to establish a new to balance point of exchange rate, the expert Nodar Khaduri says.
Bankebi da Finansebi: “NATIONAL BANK PLAYS “BANKING””
(Economic Press Monitor: June 9, 2010)
Lado Papava, ex-minister of economic, highlights the reasons of lari devaluation in an interview with a newspaper. Lai devaluation is going since 2008 and this process has objective grounds, he says.
Rezonansi: “UNUSUAL INFLATION HAS LAUNCHED IN JUNE”
(Economic Press Monitor: June 8, 2010)
Devaluation of national currency against the US dollar has reflected instantly at the Georgian market, the newspaper says.
Sakstat fixed deflation of 0.4% in May, while traders state that it is unreal.
YOUNG FINANCIERS AND BUSINESSMEN ASSOCIATION CONSIDERS DEVALUATION OF NATIONAL CURRENCY AS A DANGEROUS PROCESS
(Daily News: June 7, 2010)
Association of Young Financiers and Businessmen considers that there is danger of national currency’s “couponization” (galloping devaluation of Georgian semi-currency coupon in early 1990-ies).
In the first place, reduction process of national currency stimulates inflation, the Association announced on the press briefing today.
ANNUAL INFLATION MADE UP 2.7% IN MAY
(Daily News: June 7, 2010)
National Bank of Georgia (NBG), based on data of Sakstat, reported that the average annual inflation made up 2.7% in May 2010. To compare: the average annual inflation rate made up 6.1% in May 2009.
Rezonansi: “DEVALUATION OF LARI BROKE 4-YEAR RECORD”
(Economic Press Monitor: June 3, 2010)
Devaluation of lari broke 4-year record, the newspaper says. National currency has been devaluated by 6.7% since the beginning of this year and as of latest data, the rate is 1.8068 GEL/USD.
Bankebi da Finansebi: “DO GEORGIAN BANKS EXPRESS MISTRUST TOWARDS LARI?”
(Economic Press Monitor: June 2, 2010)
National currency is devaluating permanently since the beginning of the year, the newspaper says. Such tendency influences those, who have revenues in lari, while borrowed bank credits in foreign currency.
Kviris Palitra: “SHORT-TERM PANIC OR START OF FAIL?”
(Economic Press Monitor: May 10, 2010)
European stock exchanges are in panic, major indexes have fallen suddenly, after which almost all currencies started to devaluation. The article discusses tendencies of lari rate on this background.
Rezonansi: “EXPERTS CONSIDER INFLATION RATE IS ALARMING”
(Economic Press Monitor: May 7, 2010)
Inflation is growing with such a quick pace in Georgia that two sign mark may be fixed by the end of the year, the newspaper says. Annual inflation makes up 5.8% by now, while the average annual inflation – 2.2%.
Rezonansi: “LARI DEVALUATION MAY CAUSE BUDGETARY AMENDMENTS”
(Economic Press Monitor: April 30, 2010)
The newspaper supposes that lari devaluation may cause amendments to the budget. Part of expert share the thought, while others – do not.
Rezonansi: “CHEAP AGRICULTURAL PRODUCTS MAY DISAPPEAR FROM MARKET”
(Economic Press Monitor: April 8, 2010)
Prices for household production come up. Georgian experts even expect that term “cheap product” may disappear in the country soon, the newspaper notes.
Rezonansi: “BIG MONEY IS MADE BY LARI’S RATE ARTIFICIAL FLUCTUATION”
(Economic Press Monitor: February 23, 2010)
Following results of recent trades, lari’s rate has depreciated sharply again. As politicians and part of experts consider, such sharp fluctuations of exchange rate are best mean for “making money”.
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