Central Bank of Azerbaijan sees decline in demand for its FX market

Economy Materials 31 August 2023 13:17 (UTC +04:00)
Kamran Gasimov
Kamran Gasimov
Read more

BAKU, Azerbaijan, August 31. The Central Bank of Azerbaijan (CBA) held another currency auction with the participation of the State Oil Fund of Azerbaijan (SOFAZ) on August 31, 2023, Trend reports.

The bank claims that the auction's demand, which totaled $51 million (a fall of 13.41 percent, or $7.9 million, over the previous auction), was fully met.

The demand at the previous auction was $58.9 million.

Based on the outcomes of the auction, the average weighted exchange rate of the Azerbaijani manat to the US dollar came to 1.7 AZN per USD.

At currency auctions, $2.2 billion has been bought since the year's start. The auction held on March 28, 2023, saw a record-high demand for the currency of $96.3 million.

The average demand at currency auctions organized by the Central Bank of Azerbaijan in 2022 amounted to 52.4 million manat ($30.8 million), while the supply was $70 million.

Moreover, the CBA started conducting currency auctions by one-way sale of currency in competitive conditions in mid-January 2017.