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Central Bank of Azerbaijan: Manat loses 0.4% vs. dollar in first half 2009

28 July 2009 12:31 (UTC +04:00)

Baku. Vahab Rzayev - APA-Economics. In the light of psychological pressure from deflation in the neighboring countries, demand for the US dollar increased in Azerbaijan in the first quarter but started to decline in the second quarter, said he Central Bank of Azerbaijan.

As a result of stabilization measures in the market, the manta only fell 0.4% against the US dollar since the beginning of the year amounted to just.

According to the report, the stable rate prevented an increase in inflation and financial losses of businesses.

The central bank also noted that the nominal effective rate increased by 0.5% within 6 months of 2009 and had a positive impact on reducing the average annual inflation to single-digit level.

The real effective rate in non-oil sector during this period decreased by 3.4%. While most trading partners saw inflation, the prevailing deflation affected real effective rate in Azerbaijan.