BAKU, Azerbaijan, May 4. The Central Bank of Azerbaijan (CBA) is expected to raise the refinancing rate in 2022, Deputy Head of Research, Senior Macroeconomist at Russia's Gazprombank Gulnara Khaidarshina told Trend.
According to her, this will allow the bank to maintain the attractiveness of deposits in national currency.
"We believe that the rate increase is temporarily removed from the agenda. Thereat, in the event of a higher inflationary trend under external pro-inflationary pressure and supply chain disruptions, we don't exclude the possibility that the CBA will come back to the decision of raising the key rate this year," Khaidarshina said.
She also stated that the previous decisions by the Central Bank to raise the rate and the implementation of anti-inflationary measures by the government had helped to curb pro-inflationary risks.
On April 29, Azerbaijan's CBA decided to leave the discount rate unchanged, at the level of 7.75 percent. The upper and lower limits of the interest-rate corridor were also kept at the level of 9.25 and 6.25 percent, respectively.