Central Bank of Azerbaijan Did Not Change Discount Rate

The Board of the Central Bank of Azerbaijan has decided to leave the discount rate at 15%, the Central Bank said.

The report notes that the decision was made taking into account the primary positive trends in the macroeconomic sphere and the emerging new expectations.

The Board of the Central Bank discussed macroeconomic processes, factors influencing inflation, measures taken to manage these factors, and the implementation of monetary policy.

The Board of the Central Bank believes that the use of a new mechanism of currency auctions and the elimination of the margin limit between the commercial and official exchange rate has balanced the foreign exchange market.

Against the background of the measures taken in February 2017, the inflation rate decreased compared to January.

The Central Bank is confident that depending on the effectiveness of the application of the macroeconomic policy framework and on the continuation of positive trends in the balance of payments and the foreign exchange market, it has become possible to achieve one-digit inflation by the end of this year.   ----71D