BAKU, Azerbaijan, Aug.9
By Zeyni Jafarov - Trend:
The annual forecast on inflation in Azerbaijan as of late 2021 has been adjusted upward, given the influence of expenditure factors, Seymur Ibadov, head of the research and investment consulting department of Unicapital OJSC, told Trend on Aug. 2.
According to Ibadov, it’s predicted that annual inflation this year will approach the upper limit of the declared target range of the Central Bank of Azerbaijan (4 ± 2 percent).
Referring to the current state of the domestic capital market, he noted that at the latest auction on the placement of medium-term bonds of the Azerbaijani Ministry of Finance at the stock exchange in Baku, demand exceeded supply.
So, 17 investors filed 27 bids with a yield to maturity of 7.15-8.6 percent. As a result, 15 million manat ($8.8 million) with the average yield to maturity of 7.2 percent was placed.
Ibadov added that an auction on the placement of another tranche of medium-term bonds of the Azerbaijani Ministry of Finance is scheduled for August 10 at the stock exchange in Baku while the envisaged volume on orders is 10 million manat ($5.9 million).
If the demand for the state bonds during the trading exceeds the supply and an issuer is pleased with the price, the volume of offered bonds can be increased up to 50 percent.
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