No essential changes occur in balance of inflation risks – Central Bank


December 13, Fineko/abc.az. No essential changes in the balance of inflation risks have taken place since the recent meeting of the Monetary Policy Council.

ABC.AZ reports that according to the Central Bank, surplus balance of payments, stable exchange rate, adequate monetary conditions and low inflation expectations have stabilizing effect on prices. Medium-term risks are mainly related to the external sector - slowing global economic growth, possible impact on energy prices and continued growth in the global food market.

According to the IMF’s latest estimates, global economic growth has fallen to its lowest level since the global financial crisis.

The Fund has set slowdown in global economic activity for the next year and for the medium-term prospect. In the medium-term prospect the fiscal policy, closely linked to monetary policy will remain one of the key conditions for price stability. The next decisions on the parameters of the interest rate corridor of the Central Bank will be made depending on the degree of consensus of actual and target inflation, changing macroeconomic conditions and the probability of risk realization.