Inflation in Azerbaijan remains contained, supported by prudent macroeconomic policy and stable commodity price dynamics, George Luarsabishvili, Senior Economics Officer at the Asian Development Bank (ADB) for for the Caucasus and Central/West Asia regions, said during a media briefing on the April edition of the Asian Development Outlook (ADO).
According to him, inflation in the subregion of the Caucasus, Central and West Asia reached 25.6% in 2025, including figures for Türkiye.
Despite tight monetary policy in Kazakhstan, inflation there accelerated amid rising prices for certain food categories and utility services, as well as the weakening of the tenge against the Russian ruble, Luarsabishvili said. He noted that in Türkiye, although inflation slowed significantly throughout 2025, it remains high. The main pressure comes from food prices and, to a lesser extent, energy prices, while inflation in the services sector exceeds that of goods - a trend observed since 2023, he noted.
Luarsabishvili also emphasized that Kyrgyzstan continued to face elevated inflationary pressure driven by higher food prices, increased utility tariffs, and currency depreciation.
At the same time, inflation in Uzbekistan slowed due to tight monetary policy and a strengthening exchange rate.
Luarsabishvili added that in the countries of Central Asia and the Caucasus, including Azerbaijan, inflation overall remained contained thanks to prudent policies and stable commodity prices.
According to the State Statistics Committee, Azerbaijan's average annual inflation stood at 5.6% in 2025, compared to 2.2% in 2024.
ADB forecasts that inflation in the country will average 5.7% in 2026 and slow to 4.9% in 2027.