Inflation Reached Its Highest Level in Past 30 Months

In the seven months of this year annual inflation was 3.7%. This is the highest increase in consumer prices over the past 30 months.

According to the SSC, since the beginning of the year, food prices in comparison with January-May 2014 increased on average by 5.8%. Non-food products rose by 2.9%, services to the population - 1.2%.

Prices for goods and services in Azerbaijan rose sharply after the devaluation of the national currency since February 21 this year. One day by the decision of the Central Bank of manat lost purchasing power of the US dollar by 34%. The government led administrative action against companies that in order to reduce their losses due to the devaluation of trying to increase the prices of products sold.

Inflation in Azerbaijan this year is officially forecast at 3.2% and announced earlier this year forecasts have not been revised.

International financial institutions estimate the situation in the market of consumer goods and services more objectively and forecast inflation of around 8%.

In 2013 and 2014 inflation in Azerbaijan made up 2.4% and 1.4%, respectively. -----08B