SOFAZ sharply reduces currency sales

Of the $595.9 million sold in currency auctions held by the Central Bank of Azerbaijan (CBA) in December 2022, only $92.4 million belonged to the State Oil Fund of Azerbaijan (SOFAZ), Report informs, citing SOFAZ.

"In 2022, the transfer from SOFAZ to the state budget decreased due to the receipt of more funds than the forecast in the state budget, and as a result, it affected the sale of foreign currency carried out by the Fund to purchase manats," SOFAZ said.

In other words, the CBA had to auction a part of its foreign exchange reserves ($503.5 million) last month for the first time after a long break. However, during the month, the Bank's foreign exchange reserves increased by $1,026.5 million or 12.9% to $8,995.7 million from $7,969.2 million.