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Aspects of GEL devaluation

By Messenger Staff
Thursday, June 10
On June 5 the GEL fell to 1.8 against the USD, a level last seen in spring 2006. Officials are unconcerned but the Parliamentary opposition is accusing the Government of not controlling the local currency, explaining that the country depends entirely on imports.

The Association on Young Financiers and Businessmen thinks that the lari's devaluation has been caused by an attempt by the Government to fill budget deficits after the elections. It is believed that the Government is trying to extort more money from businesses, as these manipulations will eventually force businessmen to pay more into the budget.

The young financiers think that maybe the Government is trying to make Kakha Bendukidze’s dream come true and remove the lari from circulation, replacing it with the USD.