Georgia’s annual inflation rate continued to rise in January to 12.3% from 11.2% in December due to increasing food and fuel prices, the state statistics office, Geostat, said on February 4.

Share of food in total CPI was around 10.2 percentage point, according to Geostat.

The monthly inflation rate was 2.1% in January compared with 0.5% in December.

The authorities cite external reasons, in particular increasing prices on food on the world markets, as the major reason behind the high inflation in Georgia. Critics, however, say that, among other factors, “cartel-type price fixing” schemes by importer companies, including those of fuel importers, allegedly with close links to the authorities, contribute to inflation. Opponents also call on the government to cut spending to curb the inflation.