External cash flow increases in Azerbaijan

Baku. 10 May. REPORT.AZ/ The manat broad money supply (M2 aggregate) to manat monetary base ratio decreased to 1.51, broad money supply (M3) to monetary base ratio dropped to 2.08 as of April 1, 2017.

Report informs referring to Central Bank of Azerbaijan (CBA).

On March 1, M2 money aggregate to manat monetary base ratio was 1.54, M3 monetary aggregate to monetary base ratio was 2.42.

In monthly comparison, M3 aggregate increased by 1.23% to AZN 19 902.9 mln, M2 increased by 2.03% to AZN 10 982 mln by April 1. According to the report external cash (M0) increased by 2.54% during this period to reach AZN 6 145.2 mln. Notably, external cash flow features 22.05% growth in comparison with the same period of last year.

Overall monetary base increased by 14.65% to AZN 9 557.3 mln, manat monetary base increased by 4.16% to AZN 7 277.5 mln.

The monetary base includes cash in circulation and bank reserves (balances of correspondent accounts of commercial banks in Central Bank). The money supply is an aggregate of cash and non-cash payment means in circulation. There are three types of money supply in Azerbaijan: narrow money supply (M1), broad money supply in manat (M2), broad money supply.