CBA reduces discount rate

The Central Bank of Azerbaijan (CBA) reduced discount rate from 8.75% to 8.5%.

Report informs citing the CBA that the upper limit of the interest rate corridor has been set at 10.5 percent, and the lower limit at 6.5 percent.

The decision was made taking into account the gap between the actual inflation and the center of the target diapason of (4±2%), stability of inflationary expectations, favorability of external environment and updated macroeconomic forecasts.

The decision enters into force on June 7, 2019. The information about the next decision of the CBA on parameters of interest corridor will be publicized on July 26.