International Currency Reserves Decreased $ 151.9 Million

During 11 months the international reserves (ICR) of the Central Bank of Azerbaijan reduced by $ 7,353,310,000, or 40.49%. By June 15, the reserves totaled $ 10,429,630,000 against $ 17,782,940,000 in August 2014, when the ICR was marked by a peak. Only from May 15 to June 15, the ICR declined $ 151.9 million.

We can say that a decisive role was played by two-fold drop in oil prices, as the main source of foreign exchange inflows, and then the devaluation of the manat on February 21 this year. A month before it on 15 January to 15 February was a sharp reduction in the ICR - by $ 1.7 billion.

And after it, compared with mid-May, the ICR decreased 29% or $ 2.8 billion. International (gold and foreign exchange) reserves of the state are those external assets that are available to and controlled by monetary authorities to meet the regulatory requirements for financing balance of payments deficits, interventions in the foreign exchange markets to influence the exchange rate and other related purposes (such as maintaining confidence in the national currency and the economy and as a basis for foreign borrowing). Reserve assets must be foreign currency assets and really existing ones. International reserves include only the highest quality assets. -0-