12:55 - 16.03.2020

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March 16, Fineko/abc.az. Executive Director of the Center for Analysis of Economic Reforms & Communications Vusal Gasimli commented on the stability of the manat exchange rate, despite global shocks.

ABC.AZ reports that Gasimli noted that amid the stability of the Azerbaijani manat in comparison with the US dollar the currencies of our main trading partners are becoming cheaper.

According to Gasimli, in the first half of March the Georgian lari lost 6.5%, the Russian ruble 9.8%, the Turkish Lira 1.4%, the Ukrainian hryvnia 5.9%, the Chinese yuan 0.39% and the Kazakh tenge 6.7%: "Thus, the real effective exchange rate of the manat has risen in price. When calculating the real effective exchange rate, the nominal exchange rate and inflation of the currencies of the manat trading partners are taken into account.

All the methods used to measure the ratio of the real effective exchange rate of the manat to the equilibrium level - purchasing power parity, macroeconomic balance, Big Mac index and other approaches - show that the real effective exchange rate of the manat has so far been below its equilibrium point."

By Elmir Murad