What to expect from the monetary policy of the Central Bank of Azerbaijan?

What to expect from the monetary policy of the Central Bank of Azerbaijan? The Central Bank of the Republic of Azerbaijan has announced that, a tight monetary policy is to be carried on. That is to say, the Central Bank will try to decrease the demand for USD by limiting monetary base. Although the implementation of the contractionary monetary policy since the oil price slump failed to stabilize the exchange rate of manat, the Central Bank does not... Read More

Azerbaijani Central Bank’s reserves knock “the read-line”: Next devaluation is at the door

Azerbaijani Central Bank’s reserves knock “the read-line”: Next devaluation is at the door The Central Bank of Azerbaijan (CBA) lost $ 127.0 million US of its foreign currency reserves in October 2016 due to high demand for foreign currencies. CBA’s foreign currency reserves declined to $ 4,005 billion US in November 1st, 2016 from $ 4,132 billion US in October 1st, 2016. Due to law oil price in the world market, high demand for foreign... Read More

How long will the dollar continue to appreciate against the manat?

How long will the dollar continue to appreciate against the manat? Recently, the frequently asked questions are mostly related to the causes of the depreciation of the manat and at what level and how long the dollar may appreciate. If 149 manat was needed in order to purchase 100 dollars on 25th of May, more than 152 manat is paid per 100 dollars on 20th of June 2016. This implies that the national currency has depreciated by more than 3 manats officially... Read More

New decline in Azerbaijani Central Bank’s reserves: A message for next devaluation?

New decline in Azerbaijani Central Bank’s reserves: A message for next devaluation? The Central Bank of Azerbaijan (CBA) lost $1,186 billion US of its foreign currency reserves in August 2015 due to high demand for foreign currencies. CBA’s foreign currency reserves declined to $ 7315.4 billion US in August 2015 from $ 8501.5 billion US in July 2015. Meanwhile, slightly decline was registered in July 2015 compared with June 2015 since CBA’s... Read More

Devaluation of Azerbaijani National Currency; Causes and Consequences

Devaluation of Azerbaijani National Currency; Causes and Consequences Starting from February 21st, 2015, the official exchange rate of the dollar to the manat, Azerbaijani national currency, has been set at 1.05 manat, which is 33.86 percent more than the exchange rate set before the beginning of the weakening process of the rate. Azerbaijani national currency has been depreciated against US dollar the first time since 2006. Central Bank of Azerbaijan... Read More