BAKU, Azerbaijan, Aug. 16
By Zeyni Jafarov - Trend:
The consumer price index in Azerbaijan remains within the target corridor of the country’s Central Bank (CBA) despite acceleration under the impact of external factors since early 2021, Gulnara Khaidarshina, deputy head of the research department of Russian Gazprombank, told Trend on Aug. 16.
According to Khaidarshina, the external inflationary factors include the maintenance of high growth rates in world food prices (about 34 percent) and acceleration of inflation in the countries being key trading partners of Azerbaijan.
"At the same time, the growth of consumer prices in Azerbaijan has slowed down since June and amounted to 4.7 percent, remaining within the target corridor. Besides, there is no tendency for inflationary expectations in the country,” she said. “So, according to the June survey of households, the share of respondents, expecting an acceleration of inflation on the horizon of 12 months, remained at the level of 25 percent.”
The expert also noted that in the face of increased external inflationary risks, the CBA revised the inflation forecast at the end of the year upward and expects it closer to the upper limit of the target corridor.
"In general, the inflation rate in Azerbaijan has accelerated, but remains within the target range, despite the presence of certain inflationary factors, and the pressure from world food prices is balanced by a stable national currency supported by a current account surplus," concluded Khaidarshina.
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