Effects of 35% devaluation of the manat continue to affect the bank deposits of the population. As of June 1 for a month, they decreased by 1.5% and amounted to 7.6011 billion manats.
Of course, they still exceed the value of 1 January 2015 by 1,206,000,000 manats, but got leaky at 331.6 million mantas, following the devaluation of the national currency on 21 February when it was registered a record volume of deposits in the amount of 7,932,700,000 manats. Bank deposits fell after devaluation by 4.3%.
With the continued deterioration of economic indicators for the country and a protracted crisis can be expected to continue declining trend in contributions, but not to a great extent. In the context of financial and economic risks deposits with current interest rate of 8% -11% are more reliable source of income. The state guarantee on deposits is 30,000 manats for each deposit. -0-
Economics
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Azerbaijan’s economy, which is heavily dependent on oil revenues, faces a stark warning in the 2021 report by Carbon Tracker titled “Beyond the Oil States: The Urgent Need to Reduce Dependence on Oil in the Context of the Energy Transition.” The report ranks Azerbaijan among the most vulnerable oil-dependent countries, placing it in the "5th group" — a category reserved for nations expected to experience a decline in oil and gas revenues exceeding 40% over the next decade. This group includes Angola, Bahrain, Timor-Leste, Equatorial Guinea, Oman, and South Sudan, highlighting shared economic risks for these states.
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Azerbaijan's non-oil and gas exports rose 3.5% year-on-year to $2.8 billion during the first ten months of 2024, the Center for Analysis of Economic Reforms and Communication (CAERC) reported in its November "Export Review."
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Azerbaijan Railways CJSC (ADY) will modify the schedules for commuter and domestic trains in line with the Cabinet of Ministers' decision to adjust work and rest days in November, aiming to ensure safe and comfortable travel during the COP29 event, the company announced.
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In Azerbaijan, the government has increasingly relied on tax exemptions for imported goods as a tool to stabilize domestic market prices. The exemption from the 18% VAT on wheat imports, extended this year, exemplifies this approach. New measures have also been introduced, including tax relief on imports of electric vehicle chargers, while exemptions for high-cost medications are currently under discussion. Notably, defense imports continue to be free from taxes and customs duties.
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