Tourist arrivals up 24.8% y/y in September 2017
Total international arrivals to Georgia increased 20.9% y/y to 0.76mn visitors in September 2017, according to the Ministry of Internal Affairs. Arrival growth was mainly driven by surge in tourist arrivals increasing 24.8% y/y to 0.38mn persons (49.9% of total) in September after posting a 27.2% y/y growth in August 2017. Out of top countries by arrivals, in September 2017, visitors continued to increase from Armenia (+11.8% y/y), Russia (+32.0% y/y), Iran (+80.0% y/y), Azerbaijan (+15.6% y/y), and Ukraine (+0.2% y/y). Arrivals from EU were up 28.0% y/y to over 42,200 visitors. In 9M17 international arrivals increased 19.2% y/y to 5.8mn visitors, while tourist arrivals increased 28.8% y/y to 2.8mn.
Inflation was 6.2% y/y and 0.7% m/m in September 2017
The annual CPI inflation was 6.2% in September 2017 up from 5.7% inflation in previous month, according to GeoStat. Core inflation was 4.5% in September compared to 4.3% in previous month. Annual price changes were driven by price increases in food and non-alcoholic beverages (+6.5% y/y, +1.96ppts), transport (+14.7% y/y, +1.84ppts), and alcoholic beverages and tobacco (+17.4% y/y, +1.13ppts) categories. On a monthly basis, there was 0.7% inflation in September 2017. Price increases in food and non-alcoholic beverages (+1.2% m/m, +0.36ppts) and transport (+1.8% m/m, +0.25ppts) categories were the major drivers of monthly Inflation dynamics.
International reserves up 5.8% y/y in September 2017
Gross international reserves were up 5.8% y/y to US$ 3.0bn in September 2017, while reserves were up 3.8% m/m, according to NBG. There were no FX interventions by central bank in September. Change in reserves was attributed to government FX operations and/or asset revaluation.
