The National Bank of Georgia reduced its key policy rate by 25 basis points to 7.5% on August 17.

The rate, which was kept unchanged at 8% since February, was reduced by the central bank to 7.75% last month.

NBG’s monetary policy committee said in a statement on August 17, that inflation was slowing down “faster than expected”.

Annual inflation slowed to 8.5% in July from 10% in June, according to the Georgian state statistics office. Core inflation in July, excluding food and fuel prices, was 0.03%, according to the central bank.