(MENAFN- Trend News Agency) BAKU, Azerbaijan, July 9. The short-term depreciation of the nominal effective exchange rate of the manat in the current conditions may have a limited increasing effect on the prices of goods and services imported from the eurozone, the Central Bank of Azerbaijan (CBA) told Trend .

It was observed that there exist three determinants contributing to the constrained efficacy: 1) This depreciation is not of a protracted nature; 2) These products possess a minimal footprint within the commodity and service production ecosystem, as well as the consumption continuum, of the Azerbaijani economy; 3) These products are substitutable by an alternative importing nation whose currency has experienced depreciation relative to the dollar.

To recall, in the fiscal year 2024, the eurozone's contribution to the aggregate import portfolio of the nation was a mere 12.5 percent.

In general, the CBA is rigorously scrutinizing the operational dynamics within partner nations, perpetually evaluating the equilibrium of inflationary threats, and will persist in effectively deploying its comprehensive suite of instruments to maintain price stability.

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