Azerbaijan, Baku, June 4 / Trend A.Akhundov /
The Central Bank of Azerbaijan (CBA) is exploring new tools to manage its foreign exchange reserves, the CBA deputy chairman Khagani Abdullayev told Trend.
"The main principle for us is to maintain foreign exchange reserves and their safety. That is, we are not considering any radical, high-yield options for placement, but instead resorting to instruments with a stable rating. Today, our strategy includes diversification of instruments. We do not expect any radical shifts in the portfolio. However, we are considering new tools in the emerging markets. Basically, these are long term securities, deposits," Abdullayev said.
As of late April, 3.12 billion manat was placed in securities (or 25.2 per cent of total foreign exchange reserves held by the Central Bank) and 8.59 billion manat are deposited in the accounts of other central banks, the International Development Bank (IDB) and the International Monetary Fund (IMF).
The total volume of foreign exchange reserves held by the Central Bank, amounted to 12.36 billion manat in April 2013, increasing by 13.88 per cent compared to the same period in 2012.
Abdullayev said the Central Bank expects an increase in reserves of up to 14 billion manat by the end of the year.
The Central Bank is pleased with the work of its external managers, managing part of the reserves.
"We are pleased with their work. Our managers are very stable and professional and we will continue to work with them," Abdullayev said.
The official exchange rate on June 4 is 0.7846 AZN / USD.