PM Expects Georgian Currency to Gain in Value

Georgian Prime Minister Mamuka Bakhtadze has commented on the fluctuation of the Georgian currency GEL, which has lost value against the United States Dollar and Euro in recent days.

According to the official information of the National Bank of Georgia, one dollar equals GEL 2.7799, which was 2.7676 on May 21. One GEL equals EUR 3.0954 which was 3.0848 two days before.

Bakhtadze explained that the economies of neighboring countries are influencing the GEL exchange rate.

"I have analytical data. We have a small economy, and naturally, neighboring countries influence our exchange rate and macroeconomic parameters with their big economies,” he said.

The PM added this is a short-term effect and will be regulated in the near future.

Finance Minister Ivane Machavariani says short-term fluctuation is characteristic of all countries, especially developing countries with a small economy.

"When we say that the fundamental indicators of the economy are good, we can prove this by providing relevant figures… There is nothing special in this- it's a short-term fluctuation,” he added.

By Thea Morrison