12:46 - 6.05.2026

---

May 6, Fineko/abc.az. The Central Bank of Azerbaijan is trying to prevent a sharp increase in imported inflation through fixed exchange rate regime.

ABC.AZ informs, quoting CBA governor Taleh Kazimov, that the inflation forecast has been revised upward.

He added that the main pressure on prices is related precisely to supply factors: "Our analyses show that the main reasons for this are precisely supply factors. Our only available lever, which I think has provided us with great support so far, is our stable exchange rate regime. It is through the exchange rate that we try to prevent a sharp increase in imported inflation, and we believe that this was the case before.

As for the demand factors, in decomposition of today's inflation, they make up 20-30%. That is, in this situation, a sharp increase in interest rates may have negative impact on supporting the economy, as it will reduce consumption. We don't think it's right to squeeze demand factors at the moment."

By Elmir Muradov