BAKU, Azerbaijan, December 28. The volume of interbank unsecured transactions through a special platform within the Bloomberg trading system in Azerbaijan from January through November 2024 amounted to 94.4 billion manat ($55.5 billion), the statement of the CBA on the main directions of monetary and credit policy for 2025 said, Trend reports.
According to the data, 3,365 transactions were concluded during the reporting period.
“Of these transactions, 97 percent had a term of 1-3 days. During the reporting period, 630 transactions worth 10.3 billion manat ($6.05 billion) were concluded in the REPO interbank market. Compared to the same period last year, the volume of transactions concluded on the Bloomberg platform increased 3.4 times, while the volume of transactions in the REPO interbank market increased 2.3 times,” the information of the CBA reads.
The CBA notes that in the unsecured money market, interest rates during the period responded to changes in the interest rate corridor, and average rates were formed within the Central Bank's corridor.
“In November 2024, the average interest rate on 1-3 day transactions in the interbank unsecured money market (1D AZIR) amounted to 7.66 percent. Note that during the period under review, work was done to strengthen communication regarding interest rates in the interbank money market. The analysis shows that the transmission of monetary policy decisions through the interest rate channel is gradually improving. Thus, interest rates in the interbank market are changing in the same direction as the rates on some types of deposits. At the same time, interest rates in the interbank market affect the yields of securities with different maturities,” the CBA stresses.
To note, since September 2022, the CBA has launched monetary policy instruments in a new configuration, including the creation of a special platform for unsecured transactions within the Bloomberg trading system.