Trade deficit down 16.8% y/y in January 2021
In January 2021, trade deficit narrowed by 16.8% y/y to US$ 313.6mn as exports declined by 16.2% y/y to US$ 224.4mn and imports fell by 16.6% y/y to US$ 538.1mn.
In January 2021, copper (-0.9% y/y), cars (-54.2% y/y), ferro-alloys (+50.8% y/y), mineral waters (+18.4% y/y) and wine (-41.1% y/y) were the top 5 exported commodities. A 22.0% of exports were directed to the EU (+9.6% y/y), 41.0% to the CIS (-24.3% y/y) and 37.0% to other countries (-18.0% y/y).
Gases (-18.5% y/y), extracting machinery (+US$ 40.4mn higher y/y), petroleum (-28.9% y/y), cars (-56.5% y/y) and pharmaceuticals (+20.4% y/y), represented the top 5 imported commodities in January 2021.
Money transfers up 19.2% y/y in January 2021
In January 2021, money transfers increased by 19.2% y/y to US$ 149.8mn, after growing 15.9% y/y in previous month, according to NBG. Notably, Italy became top-remitting country in January, replaced Russia. From major remitting countries, money transfers increased strongly from Italy (+29.7% y/y, 18.2% of total), Greece (+25.2% y/y, 12.4% of total) and USA (+33.2% y/y, 12.1% of total). Meanwhile, remittances declined from Russia (-11.4% y/y, 15.5% of total).
Producer price index up 15.6% y/y in January 2021
Annual PPI for industrial goods was up 15.6% in January 2021 from 11.7% in previous month, according to Geostat. Price changes in manufacturing (+14.9% y/y) and Electricity, gas, steam and air conditioning (+20.9% y/y) contributed the most to the overall index change.
NBG sold US$ 40mn
On 18 February 2021, the NBG intervened on the FX market and sold US$ 40mn to support GEL. This was 3rd FX intervention YTD for a total sale of US$ 120mn through FX auctions.
