Fitch Solutions: Inflation in Azerbaijan will remain close to Central Bank's target range in 2024

Inflation in Azerbaijan will remain close to the Central Bank of Azerbaijan’s target range of 2.0% to 4.0% in 2024, Fitch Group's company of Fitch Solutions (FS) stated, APA reports.

"Regarding inflation, year-on-year base effects have seen annual monthly inflation drop to an average of 1.2% y-o-y over the first four
months of the year (latest available data), compared to 13.7% over the same period of 2023. As a net energy exporter, Azerbaijan’s
consumers are well-protected from changes in global oil prices as regards domestic fuel prices. However, changes in global inflation
can filter through to the domestic economy via the imports channel. At present, a global deceleration in price pressure contains this
risk. In our view, inflation in Azerbaijan will remain close to the Central Bank of Azerbaijan’s target range of 2.0% to 4.0% in 2024,
averaging 2.5% over the full-year. In 2025, we forecast an average of 3.5%," the Fitch Solutions analysts noted.