Money transfers up 13.1% y/y in September 2016
In September 2016, money transfers increased 13.1% y/y to US$ 100.2mn after growing 25.3% y/y in previous month, according to NBG. From major remitting countries, money transfers were down only from Russia (-4.9% y/y, 34.9% of total), however strong growth of remittances from other countries was more than sufficient to compensate this decrease: Greece (+61.9% y/y), USA (+39.5% y/y), Israel (+97.2% y/y), Turkey (+44.7% y/y), and Italy (+10.6% y/y). Overall, money transfers were up 3.6% y/y to US$ 832.0mn in 9M16.
Exports up 8.3% y/y in September 2016
In September 2016, imports decreased 1.6% y/y to US$ 631.1mn (excluding one-offs), exports increased 8.3% y/y to US$ 201.8mn, and the trade deficit narrowed 5.7% y/y to US$ 429.3mn, according to GeoStat’s preliminary figures. In 9M16, the trade deficit was down 1.1% y/y to US$ 3.68bn, excluding one-offs. Detailed foreign trade statistics will be available on October 19, 2016.
Producer price index down 1.9% y/y and up 0.2% m/m in September 2016
PPI for industrial goods increased 0.2% m/m in September 2016, according to GeoStat. A 0.2% price increase for manufacturing contributed the most to the overall index change. In this section prices were up for manufacture of food products, beverages and tobacco (+1.2% m/m), while prices were down for manufacture of basic and fabricated metals (-2.2% m/m). Prices were also up for electricity, gas, and water (+1.0% m/m).
Annual PPI was down 1.9% in September 2016. Falling prices in manufacturing contributed the most to the overall index change (-4.1% y/y, -3.43ppts) as prices were down for manufacture of basic and fabricated metals (-13.1% y/y), and manufacture of chemical products (-17.7% y/y). Meanwhile, supply of electricity, gas and water prices were up 13.7% y/y.
NBG sold US$ 40mn
Last week, NBG intervened on the FX market and sold US$ 40mn, aimed at curbing fluctuation of the national currency. Overall, NBG bought total of US$ 278mn and sold US$ 240mn at 23 interventions YTD. GEL weakened 0.1% w/w and strengthened 2.6% YTD against the US$.
