"Azerbaijan’s currency reserves allow for preservation of economic stability" - OPINION

"Azerbaijan’s currency reserves allow for preservation of economic stability" - OPINION
  • Clock-gray 14:01
  • calendar-gray 09 March 2020

"The decline in oil price at the world market is a temporary phenomenon. WE should yake into consideration that the drop in price is mainly a result of impact of the coronavirus spread in China. And this virus will gradually disappear as far as the weather gets warmer, and the oil price will start to rise again", said the Azerbaijani parliamentarian Azer Badamov in his statement to "APA-Economics".

He said although the decline in price of the "black gold" has resulted in decrease of Azerbaijan’s incomes, we shouldn’t worry about this because the country’s economy is resilient: "Azerbaijan’s currency reserves allow for preservation of economic stability. The exchange rate of the Azerbaijani manat does not depend only on the oil price. The rate of the national currency is backed by a sufficient quantity of goods and services related to non-oil sector, and all of them serve for stability of the economy. In other words, the sharp devaluation which occurred a few years ago is not likely to repeat now. Today, the position of manat on the currency market is quite firm".

APA-Economics

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