Vusal Gasimli: Intensity of currency exchange in banks to decrease in coming days


March 13, Fineko/ Currently, cash money outside of banks are amounting to AZN 9.3 bn.

Every month the Azerbaijani population spends on average 300 manats per capita, in total, AZN 3 bn per month.

ABC.AZ reports that this was informed by Vusal Gasimli, the executive director of the Center for Analysis of Economic Reforms & Communications.

According to Gasimli, the potential fee in manats for currency exchange in banks with this calculation is limited. Gasimly noted that in the coming days the intensity of currency exchange in banks will be reduced: "As population’s monthly expenditures are up to 1/3 of the money supply. In other words, the population needs part of the cash manats to ensure current consumption, and there is no need to convert these funds into dollars.

During this week an average of $700 million was sold to banks in three currency auctions at the Central Bank with participation of the State Oil Fund (SOFAZ). Moreover, in each subsequent auction there was less currency demand than in the previous one. This means that in the coming weeks, especially given that purchases for the Novruz holiday will also be in manats, the frequency of converting manats into dollars will decrease."

By Elmir Murad