Georgia's National Bank (NBG) raised its inflation forecast for 2026 to 5.2%, while the interest rate was maintained at 4.9% in the medium term. According to the latest monetary policy report, inflation in Georgia reached 5.8% in June, the highest level in two years. The regulator noted that the recent increase in inflation is mainly due to rising energy prices and non-food inflation, especially in the housing sector. The NBG expects inflation to return to the target range by mid-2026. The report also highlights the positive impact of the base effect on inflation dynamics during the upcoming months.