What can change the head of the Central Bank?

Baku/12.04.22/Turan:  On the proposal of the President of Azerbaijan, the Milli Mejlis  adopted a decision to dismiss Elman Rustamov from the post of member of the board of the Central Bank (CB) of Azerbaijan. On the same day, the parliament appointed Taleh Kazymov a member of the board of the Central Bank.

Why was Elman Rustamov removed right now?

Economist Natig Jafarli answers these and other questions in the “Difficult Question” program.

According to him, this decision came as a surprise, because, two years earlier, the Milli Mejlis once again approved Elman Rustamov as a member of the Board of the Central Bank on the proposal of President Elman Rustamov.

“The adoption of this decision, after a short period of time - two years later, sounded like a bolt from the blue ... Before that, in the media, in reports, in discussions about the resignation of Elman Rustamov, there could be no question. Therefore, this decision can be described as a surprise,” Jafarli said.

According to the economist, when an official is about to be removed in Azerbaijan, this resignation is first announced in the media, information “leaks” occur, discussions of certain issues begin, etc. “But, as we see, this did not happen in connection with Elman Rustamov,” the economist noted, noting that now there are no special problems related to macroeconomics and, accordingly, there are no and could not be serious complaints about the activities of the Central Bank.

“Replenishment of foreign exchange reserves is at a high level. The increase in oil prices has a positive impact on the country's macroeconomic and financial stability. The pressure on the national currency decreased and thus the threat of devaluation of the manat was removed from the agenda. There were no serious problems on issues for which the Central Bank is responsible,” the expert noted.

According to Jafarli, such a hasty resignation of Elman Rustamov within one day raises questions, but he still has no answers to them. “I have no answer to these questions, as probably many other representatives of society. Perhaps soon there will be “leaks” that will help find the answer to this question,” he said.

Regarding the possibility of any changes in the activities of the Central Bank, Jafarli noted that this is impossible within the framework of the existing economic system.

“In Azerbaijan, unlike countries with developed economies, the Central Bank does not play any role in decision-making. His task is to voice the decisions taken by the political leadership of the country,” he stressed. –0—