CBA: Excess liquidity reached AZN 6.3 billion

By the end of August 2026, excluding required reserves, the banking sector's structural liquidity surplus (the difference between the Central Bank's liabilities to banks and its claims on the banking system) reached 6.3 billion manats, up by 2.2 times compared with December 2025, Report informs, citing the Central Bank of Azerbaijan (CBA).

"Against this backdrop, benchmark rates in the unsecured money market tended to decline slightly. The average daily AZIR rate stood at 6.39% in July 2026, 6.28% in August and 6.02% over the past period of September. Monetary policy tools are implemented taking into account financial market developments and banking system liquidity," the CBA said.

It was noted that the Central Bank of Azerbaijan primarily uses seven-day deposit operations to manage liquidity, which accounted for 70.8% of the sterilization portfolio under open market operations as of end-August.

At the same time, the volume of the CBA's note portfolio increased more than fourfold by the end of August compared with the end of the previous year.