Fitch Ratings expects annual inflation to decline in Azerbaijan

Fitch Ratings expects inflation in Azerbaijan at 10.1% in 2023 and 6% in 2024, Report informs referring to the rating agency’s website.

“Annual inflation is falling supported by the nominal effective appreciation of the manat relative to main trading partners such as Türkiye and Russia and easing of world food prices.

We forecast annual inflation to approach the CBA target band ceiling (4±2%) by end-2023, so average inflation will decline to 10.1% in 2023 and 6% in 2024. Higher commodity prices and demand-side pressures represent risks to disinflation.”