Macroeconomic Forecast Georgia

Consumer price inflation fell to 2.7% y-o-y in January, down from 3.0% in December, continuing the volatile trend which has been in play since a dip into deflation in August. Despite the January print, however, we believe that the disinflationary trend has troughed, and see inflation ticking higher through the year in line with a broader economic recovery. We forecast inflation to average 3.5% y-o-y through 2010, reaching 4.0% by

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