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Azerbaijanâ€™s foreign exchange reserves declined 3% in one month and a half

17 November 2008 14:15 (UTC +04:00)

The central bank said the figure was AZN 5 316 million as at October 31 and AZN 5 438.6 million as at September 31. The foreign exchange reserves declined 2.3% in October alone.

As seen in the table, Azerbaijan achieved a 1.5 times rise in currency reserves last year.
The growth rate was 34% from early this year.
The decline in currency reserves as at October 1 came after European Central Bank, most central banks around Europe and Fed cut key rates.
The slight drop in Azerbaijanâ€™s reserves canâ€™t be compared with those of Eastern European countries, Russia, Kazakhstan and Ukraine.
Elman Rustamov, the chairman of the Board of the National Bank of Azerbaijan (NBA), admitted that the yield on the strategic foreign exchange reserves kept abroad dropped after the central banks cut rates.
Also, he stated that the world financial crisis could create no threat to because, with the most conservative assets management strategies, both the central bank and the State Oil Fund keep these funds in the central banks of leading countries and in the international financial institutions.
Azerbaijan has diversified its reserves in euro and dollar.