Azerbaijan, Baku /corr. Trend I.Khalilova / The National Bank of Azerbaijan (NBA) has reported a decrease in the dollar in the Country's economy which is explained through the increase of the Manat rate in relevance to the hard currency and gives rise to the population's trust on the manat as a result of the denomination.
As at the end of October, the specific weight of the deposits to the foreign currency in the general deposit portfolio has decreased by 12.9% and in the money aggregate M3 this indicator made up 31.4%.
As of 1 November 2007 the deposit growth rate in foreign currency made up 30.5% compared to the same period last year. The deposit growth rate of physical entities in manat exceeded the growth rate of the deposits in foreign currency. Over the recent 12 months, manat deposits of the population increased by 2.9 times and in foreign currency by 54.5%. The specific weight of the deposits in foreign currency of physical entities made up 61% as of 1 November compared to 74.9% on 1 November 2006.
The increase by 61.2% compared to last year of the gross amount of the savings and deposits in October rose from AZN 1.923.7mln to AZN 3.100.2mln. The savings and deposits in manat increased by 73.4%.
Manat savings of the physical entities exceeded the growth rates of manat deposits of the legal entities. The specific weight of the deposits (state and private legal entities) decreased from 71.5% in October 2006 to 62.2% in October 2007. Manat savings of the physical entities in the recent year increased by almost 2.9 times.
Long-term manat savings increased by 2.5 times during the year. In addition, the NBA highlights the growth of the manat allocations into the Country's banks by non-residents. In October 2007 the short-term manat deposits of the non-resident physical entities increased by 6.7 times compared to October 2006 and long-term deposits by 2.3 times.