Press Review 02.11.2017

The Tehran meeting of the Presidents of Iran, Azerbaijan and Russia, a look at deposit auctions, and unsystematic export are the leading topics of today"s press

The newspaper Azerbaijan writes about the meeting of the Presidents of Iran, Azerbaijan and Russia in Tehran. The meeting in this format is a time-consuming task if we take into account the ongoing processes in the world and instability in the Middle East. The article highlights the cooperation of the three countries in the fields of energy, transport and others.

The newspaper Echo published an article entitled: Auctions to Support Manat Harmful to Azerbaijan"s Economy. At the last CBA deposit auction on October 30, the demand was 3.7 times higher than the supply. This suggests that Azerbaijani banks are eager to work with the Central Bank and do not want to deal with the population and entrepreneurs. Withdrawal of funds from the banking system will stop economic growth. The financial market is almost closed, and lending is suspended. A deposit auction is a double-edged sword. The volume of problem loans in banks is growing every month.

Azerbaijan"s GDP is also falling. Because of this, private banks do not want to give out loans. The safest way to save and increase capital is the CBA deposit auction. The risk of losing money is minimal, and the conditions are quite profitable, so banks gladly give their capital to the regulator.

The newspaper Novoye Vremya published an article on exports, the growth of which is detrimental to the economy. This leads to an increase in prices in the domestic market, the author believes.

There must be a clear program of action for the export of our goods. The government or any particular ministry is not able to develop such a strategy yet.