Azerbaijani banks significantly increase transactions on Bloomberg platform and REPO market

In 2024, Azerbaijani banks concluded 3,761 transactions worth 101.8 billion manats (approximately $59.9 billion) among themselves on the Bloomberg platform, Report informs, citing the Central Bank of Azerbaijan (CBA).

According to the CBA, 97% of these operations had a duration of 1-3 days.

Additionally, 723 transactions worth 11.5 billion manats (over $6.7 billion) were concluded in the interbank REPO market last year.

Compared to 2023, the value of operations conducted on the Bloomberg platform increased 3.3 times, while the value of operations in the interbank REPO market increased 2.5 times.

During the year, average interest rates in the unsecured money market were formed within the CBA's interest rate corridor.

In December 2024 alone, the average interest rate (1D AZIR) for 1-3 day operations in the interbank unsecured money market was 7.68%. Throughout the year, the spread between 1D AZIR and the discount rate averaged 0.43 percentage points. Changes in the 1D AZIR index have begun to influence interest rate changes for some types of deposits, which gives reason to say that interest rate transmission has improved.

In 2024, work was also done to strengthen the communication of interest rates on the interbank money market.