Expert explained reasons for manat strengthening against ruble and lira

Recently, there has been a strengthening of the Azerbaijani manat against currencies such as the Turkish lira and the Russian ruble.

For instance, if on July 1, 1 manat was worth 23.43 lira, by July 25, the rate had increased to 23.86 lira. During the same period, the manat's rate against the ruble also increased - from 46 to 46.7 rubles.

A question arises: if the exchange rate of the national currency against the US dollar remains unchanged, then what is causing its appreciation against the lira and ruble?

Economist Khalid Kerimli explained that the manat has been pegged to the dollar for 7-8 years, and its rate has been steadily maintained at 1.70.

"Since 2016, the Central Bank of Azerbaijan has been pursuing a policy of fixing the manat's rate to the dollar. This means that when the dollar strengthens, the manat also appreciates, and when it weakens, the manat depreciates. For example, when the dollar strengthens against the Turkish lira, a similar process occurs with the manat. These changes are not directly related to Azerbaijan's economy," he noted.

More details in the Baku TV report: