Galt & Taggart predicts that Georgia's average annual inflation will match its 3% target in 2026. The investment bank economist Lasha Kavtaradze said inflation is expected to ease between March and April 2026.
"It is noteworthy that, according to the Statistics Office, annual inflation in the country rose to 5.2% in October 2025. The National Statistics Service will publish November inflation data on December 3rd.
'In the current period, inflation has increased, with the latest inflation figure in October standing at 5.2%. This inflation is driven by price hikes of locally goods and services, as well as mixed goods. However, we see that one-off factors are in effect for locally produced goods, which will expire in March-April of next year. We believe that a significant slowdown in inflation should be expected from that period onwards.'"
"This will also be influenced by a decrease in food prices recorded on the international market; it slowed down in September and decreased by 0.3% in October, which will undoubtedly affect our prices. The third factor is that the forecast for oil product prices on international markets is also pointing towards a decrease. If this forecast justifies, it will affect imported inflation in such a way that price transmission to us will slow down. This is precisely why we expect average annual inflation to be around 3% by 2026," Lasha Kavtaradze points out.
