“The demand for dollars has increased again in currency auctions. An order of 78.7 million dollars was registered at the auction held yesterday.
Publika.az reports that Vugar Bayramov, a member of the Economic Policy, Industry and Entrepreneurship Committee of the Milli Majlis, said these words regarding the issue.
He added that 2 days ago another 64.2 million dollars was sold:
“This means selling 142.9 million dollars in the last 2 auctions. In the auctions held on January 25 and 23, the order separately did not reach 50 million dollars. This indicates that the demand for dollars has increased in recent days. While there are psychological aspects to this, news about the possibility of volatility in the foreign exchange market is also fueling demand. In this regard, it is very important for the Central Bank to use communication more actively. The increase in imports in Azerbaijan also increases the demand for dollars. Thus, in the first 11 months of 2023, Azerbaijan’s imports increased by 5.1 percent compared to the corresponding period of the previous year and reached 15.8 billion dollars. It is no exception that annual record imports will be recorded.
Regarding how the exchange rate of the manat will change in 2024 in the context of the increase in demand for the dollar, as we mentioned earlier, Azerbaijan has not yet switched to a floating exchange rate regime. Practically, the exchange rate of the manat directly depends on the decisions of the Central Bank of Azerbaijan. The Central Bank retains the ability to directly intervene in the process. Therefore, how the exchange rate of the manat changes depends directly on the position of the Central Bank of Azerbaijan.”
Aysel Shahmar
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