Azerbaijan, Baku, Aug. 9 /Trend, N.Ismayilova/
In the first half year, the Central Bank of Azerbaijan (CBA) conducted the sterilization of currency in amount of $324 million and the monetary market operated in regime of self-regulation, the Central Bank said in a report on monetary policy released on Tuesday.
Since the beginning of the year, the CBA conducted its exchange rate policy in conditions of expanding channels of supply in the monetary market and new operational mechanism.
In the first half year, the manat rose by 1.4 percent in relevant to the U.S. dollar. The stability of the national currency during this period had a positive impact on the stability of macroeconomic and financial sectors.
In the first half year, the nominal effective exchange rate (NEER) of manat has strengthened in relevant to the currencies of some countries - trade partners of Azerbaijan, and lowered in relevant to the currencies of other countries. The dynamics of the nominal effective exchange rate of manat has an impact on the change in the real effective exchange rate (REER).
During the reporting period, manat dropped as nominally and really in relevant to the currencies of some countries (Eurozone, UK, Russia, Georgia, Japan, Israel, China, South Korea). Manat strengthened as nominally and really in relevant to the currencies of the United States, Turkey and Belarus.
In the first half year, the NEER on non-oil sector in the total turnover decreased by 1.7 percent. Inflation in the partner countries had a 1.6 percent downward effect on the REER. REER on non-oil sector dropped by 0.8 percent. In relation to the neighboring countries, which import more than 80 percent of non-oil exports, the REER dropped by 3.1 percent.