Report: Dollar will continue to fall against manat

Baku. 7 April. REPORT.AZ/ At today's extraordinary foreign exchange auction of Central Bank of Azerbaijan (CBA) the actual demand of commercial banks for US dollar exceeded the actual sale by 3-fold, amounting to 150 mln USD.The currency transactions at an auction held at 1,5231 AZN/USD.

According to the Analytical Group of Report News Agency, exceeding the sales rate by only 0.0038 manats or 0.25% at today's auction, indicates that commercial banks are not interested in the growth of the official dollar exchange rate.

Notably, during the last three days, commercial banks bought currency at the rate of 1,56-1,57 AZN/USD.This suggests that banks in the course of today's trading would reduce the cost of its foreign exchange reserves to ensure profitability at the expense of currency sales in next few days.

Report's Analytical Group states that the most profitable purchase and selling rate in the range of 1,5600-1,5770 AZN/USD observed yesterday fell to 1,52-1,54 AZN / USD today.Thus the dollar agiotage arose in recent days dies down gradually.

"In reality, the excess in demand for currency in three times was to provoke a sharp increase in the rate.

However, the results of the auction indicated that banks are not interested in the volume of currency, but pursuing its low rate.

Otherwise, banks would put forward claims at a higher rate. For this reason, in the coming days dollar is expected to weaken and manat will strengthen. Tomorrow the official exchange rate is likely to rise somewhat to reach 1,5231 AZN/USD. However, if the Central Bank to carry out another currency intervention on April 8, high demand for the currency is not expected. This could again lead to a drop in the official rate", noted analysts of Report News Agency.