CBA: Ratio of balance of payments to GDP may be double-digit

Rising prices for major export commodities on the world market increase the likelihood of a double-digit surplus in the balance of payments compared to gross domestic product (GDP) by the end of 2022, which is a key factor in maintaining the balance in the foreign exchange market, Report informs, citing the Central Bank of Azerbaijan (CBA).

Rising prices for Azerbaijan's main exports increase the balance of payments surplus and this growth supports the stability of the national currency as the main anchor of price stability, which in turn has a reducing effect on prices. The formation of the exchange rate of manat in the context of expanding supply channels in the foreign exchange market reduces inflation levels and inflation expectations.