ADB: Inflation in Azerbaijan to be close to single-digit in 2018
Baku, Azerbaijan, Sept. 26
By Anvar Mammadov – Trend:
Inflation in Azerbaijan will decrease to 10 percent in 2018, according to the Asian Development Bank’s “Asian Development Outlook”.
The ADB forecasts that inflation level will stand at 14 percent in Azerbaijan in 2017. In 2016, inflation was 12.4 percent in the country. According to the ADO report, monetary and financial policies of the government were aimed at limiting inflation and restructuring the banking system in 2016. In response to high inflation, the country’s Central Bank (CBA) raised the interest rate from 3 to 15 percent in four steps in 2016.
ADB experts believe that inflation will remain as a key challenge for the near future, and its containment will require the coordinated work of the country’s monetary and fiscal authorities.
The report says that on average, for Central Asia, where ADB includes Azerbaijan, inflation is expected to be at the level of 8.9 and 7.8 percent in 2017 and 2018, respectively.
Central Bank of Azerbaijan Chairman Elman Rustamov said earlier that CBA eyes to achieve inflation close to single-digit by late 2017.
Azerbaijan’s State Statistics Committee has said prices for consumer goods and tariffs for services in Azerbaijan increased by 0.2 percent in August as compared to July. Prices for foodstuff increased by 0.3 percent, as prices for non-food goods went up by 0.1 percent. Prices for paid services increased by 0.2 percent.
In January-August 2017, prices for consumer goods and tariffs for services increased by 14 percent in Azerbaijan as compared to the same period of 2016. During the period, prices for foodstuff increased by 18.2 percent, prices for non-food goods – by 12.6 percent, and the cost of paid services – by 9.6 percent.