The National Statistics Office of Georgia (GeoStat) has released the latest Harmonised Index of Consumer Prices (HICP), aligned with EU methodology. In July 2025, Georgia’s inflation rate stood at 4.2%, slightly lower (by 0.1 percentage points) than the 4.3% annual inflation rate calculated using the national methodology.

On a monthly basis, consumer prices fell by 0.2%, primarily driven by declines in the cost of clothing, footwear, and food.

Key Contributors to Monthly Inflation:

• Clothing and Footwear:
  Prices dropped by 4.1%, subtracting 0.19 percentage points from the overall monthly inflation rate. This includes:

  • Clothing: -5.2%

  • Footwear: -1.6%

• Food and Non-Alcoholic Beverages:
  Prices declined by 0.4%, contributing -0.14 percentage points to the monthly rate. Notable decreases include:

  • Vegetables: -6.6%

  • Oils and fats: -0.8%

  • Bread and cereals: -0.7%

  • Milk, cheese, and eggs: -0.3%

  • Non-alcoholic beverages: -0.2%

  However, some items saw price increases:

  • Fruit and grapes: +3.1%

  • Confectionery products (sugar, jam, chocolate, etc.): +2.9%

  • Fish: +1.8%

  • Meat: +0.2%

  • Coffee, tea, and cocoa: +0.2%

• Transport:
  Prices in this category rose by 1.8%, contributing +0.19 percentage points to the index. Increases were seen in:

  • Transport services: +2.5%

  • Operation of personal transport equipment: +2.2%

  A slight decline was noted in vehicle purchase prices, which fell by 0.4%.

These price changes reflect ongoing economic adjustments and seasonal trends, with food and clothing costs playing a major role in reducing monthly inflation, while transport-related expenses continued to climb.