BAKU, Azerbaijan, November 4. Exchange rate
stability will remain the main anchor for price stability in
Azerbaijan in 2027, governor of the Central Bank of Azerbaijan
(CBA) Taleh Kazimov said.
He made the remarks during a meeting of the Parliamentary
Committee on Economic Policy, Industry and Entrepreneurship
dedicated to discussing the draft state budget for 2027.
According to him, the CBA's primary monetary policy objective in
2027 will continue to be keeping inflation within the target range.
Price stability will remain a foundation for balanced and
sustainable economic growth.
Kazimov noted that monetary policy would continue to be
implemented under the existing framework next year, with exchange
rate stability serving as the key anchor for price stability.
"A surplus in the current account of the balance of payments
will continue to support equilibrium in the foreign exchange market
next year. In 2027, short-term money market interest rates will
continue to serve as an intermediate operational target of monetary
policy. Existing instruments will be used appropriately and
flexibly to keep short-term money market rates within the interest
rate corridor," he said.
Kazimov emphasized that efforts to strengthen the interest rate
channel in monetary policy transmission would continue.
"Next year, we will also maintain a focus on implementing
monetary policy in coordination with macroprudential policy and the
Central Bank's other policy areas. Deeper financial markets and
stronger financial stability will have a positive impact on the
transmission of monetary policy," he added.
