BAKU, Azerbaijan, January 31. The refinancing rate in Azerbaijan is projected to effect deposit interest starting next year, said Governor of the Central Bank of Azerbaijan (CBA) Taleh Kazimov during a press conference on changes in the parameters of the refinancing rate, Trend reports.
"Currently, the market boasts ample liquidity. In conditions of heightened liquidity, the interest rates set by the CBA prove ineffective. We must sustain the money volume at a level aligned with the predetermined corridor outlined by CBA," he said.
"Managing market liquidity requires strong coordination of monetary and fiscal policies. This is important, and we are working hard on it. We have good coordination with the Ministry of Finance of Azerbaijan," the official added.
The CBA lowered the discount rate on January 31 from eight percent to 7.75 percent.
According to the CBA, the top limit of the interest rate corridor was lowered from 9 percent to 8.75 percent and the lower limit from 6.5 percent to 6.25 percent.
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