20:30 - 12.06.2026

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June 12, Fineko/abc.az. The Central Bank of Azerbaijan’s (CBA) macro-financial review outlines a downward adjustment in the local currency's effective exchange rates alongside a significant retraction in deposit dollarization.

According to ABC.AZ, domestic inflation printing below the aggregate CPI of Azerbaijan’s primary trading partners influenced the following indicators:

• Effective Exchange Rates: Driven by global asset volatility and international index variances, the manat's non-oil nominal effective exchange rate depreciated by 5.2%, while its real effective exchange rate (REER) fell by 7.7% as of December. This under-valuation enhances the pricing competitiveness of local non-oil exports abroad.

• De-dollarization Trend: Public confidence in the national currency optimized further, as the dollarization ratio of resident individual deposits contracted by 2.6 percentage points, dropping to 28%. This positive sentiment cushioned the systemic financial environment, generating net growth in the CBA’s gross foreign exchange reserves.