Central Bank of Azerbaijan reduces interest rate

19 June 2020 17:22 (UTC+04:00)

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The Board of the Central Bank of Azerbaijan (CBA) has decided to reduce the interest rate from 7.25 percent to seven percent, Trend reports on June 19 referring to CBA.

The lower limit of the interest rate corridor was set at 6.5 percent while the upper limit of the interest rate corridor - at 7.5 percent.

The decision about a decrease in the interest rate by 0.25 percentage points was made taking into account the decrease in annual inflation rate, maintaining of stability in the foreign exchange market improving of the international situation, and weakening of consumer demand and its impact on inflation expectations.

“These decisions on the parameters of the interest rate corridor are aimed at maintaining an optimal balance between inflation priorities in the set target range, maintaining of financial stability and supporting economic activity,” the CBA added.

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