The Central Bank of Azerbaijan (CBA) will keep its key interest rate unchanged, stated in an assessment by the Netherlands’ largest financial group, ING Group, APA-Economics reports.
According to the institution’s analysis, despite increasing global inflation risks, the Central Bank of Azerbaijan will keep the key interest rate unchanged at 6.50% for a long period.
It was noted that Azerbaijan belongs to the group of countries with a low inflation base. Inflation in the country currently stands at 4-6%. Since this increase is mainly driven by cost (supply) factors, there is no need for an immediate change in the Central Bank’s interest rate policy. Analysts emphasize that, together with Armenia, Azerbaijan will be one of two countries in the region that will keep interest rates unchanged.
In contrast, ING Group classifies Kazakhstan and Uzbekistan as countries experiencing a decline from higher inflation levels. Although Kazakhstan has reduced annual inflation to a single-digit level (9.8%), Uzbekistan may cut interest rates in 2026. However, the global inflation environment does not allow for large-scale monetary easing.
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