Georgia's Businesses Report Easing Inflation

According to a new inflation expectations survey released by the National Bank of Georgia, businesses in the country are anticipating slower price growth over the next one to three years, The Caspian Post reports, citing foreign media.

The survey, based on December responses from “participants in economic activity,” found that one-year inflation expectations fell compared with November. The central bank said the share of respondents who expect price changes above 8% and in the 6%-8% range declined, while more respondents now expect inflation in the 4%-6% range.

The same pattern showed up in longer-term views. For the three-year outlook, inflation expectations also decreased versus November, the bank said. Fewer respondents forecast price growth above 8% or in the 6%-8% band. At the same time, more respondents expect inflation in the 4%-6% range, and more also see it as low as 0%-2%.

In its latest market sentiment survey, the National Bank also reported that respondents’ expectations about price changes for their own products and services over the next year shifted downward compared with the previous month, with more answers clustering in the lower inflation brackets.