Inflation is our key problem. I agree with this, Chairman of the Central Bank of Azerbaijan Elman Rustamov said during discussion of the drafts of state and consolidated budget for 2018 at the plenary meeting of the parliament.
According to him, the issue of exchange rate, which is the key driver of the inflation, has been stabilized: ‘Central Bank is pursuing conservative monetary policy because the inflation is a real threat for population, their income. Therefore, our government should focus on inflation and price stability. I want to say to them, who support acceleration of inflation through money supply, it has a number of serious macroeconomic results. This leads to loss of jobs, decline in personal incomes, domestic need and etc. These policies have never been and will never be alternatives’.
He added that grounds of macroeconomic stability have been created in the country: ‘Yet, period of this macroeconomic stability is short. This approximately covers nine months. Government, Central Bank well understands the duties in 2018 and mid-term period. We think that we’ll overcome these duties’.