Head of the Developers Association
Tornike Abuladze says that instability of
the national currency and not its rate is a big problem for the construction sector.
“It is better for us the rate
would stably stand at GEL 3 per one dollar than its constant fluctuations within 2, 7- 2, 8. Stability is needed for long-term
planning, 2-3 years ahead. The rate set at 2, 93 yesterday and caused by a panic due to political processes is temporary. But even in this situation it is
difficult to predict, ” he explains.
In Tornike Abuladze’s view, in
the future the national currency may either fall or gain its value depending on the scenario.
“The construction sector
is very sensitive to any changes and the national currency rate has a negative
impact on the development business,” he stresses.
Abuladze adds that any
instability automatically reduces the
number of transactions, especially in summer when the sales on the real estate market traditionally fall.
He believes that the lari devaluation will not hike prices in the construction sector as 80% of
the materials are locally produced and re not affected by the currency fluctuations.