CBA: No expected impact on Azerbaijan's financial sector from Iran events

The financial sector of Azerbaijan is not expected to be significantly affected by developments surrounding Iran, according to the CEO of the Central Bank of Azerbaijan (CBA) Shahin Mahmudzada, Report informs.

He said trade and financial links with Iran remain limited.

Mahmudzada noted that Azerbaijan's financial sector is not deeply integrated with Iran, and therefore, no major impact is expected at this stage. However, he added that the situation is being closely monitored and forecasts will be adjusted if necessary.

Mahmudzada also said recent developments in the Middle East have pushed global oil prices higher, which could strengthen Azerbaijan's foreign exchange reserves and improve the balance of payments. At the same time, he warned that higher oil prices may accelerate inflation in some trading partner countries, potentially leading to imported inflation.

He added that updated inflation forecasts will be published in May.