Azerbaijan’s $15.4 billion reserve cushion strengthens case for manat stability

Azerbaijan expects to keep the manat at 1.70 to the US dollar through 2030. The Ministry of Economy has incorporated this rate into its macroeconomic projections for 2027–2030. According to the government, the stable manat has supported domestic demand, limited currency risks in financial and consumption decisions, and strengthened the national currency's position in household savings.

According to the State Statistical Committee, individual bank deposits reached 18.21 billion manat at the end of August 2026, up 17.8% year on year. Central Bank Chairman Taleh Kazimov said manat-denominated individual deposits rose by 1.3 billion manat, or 11.6%, in the first half of 2026, reaching 12.5 billion manat at the end of June. The dollarisation rate of resident individuals' deposits fell to 25.6%, down 3.8 percentage points since the start of the year.

The Central Bank bought $1 billion through foreign-exchange interventions in April and a further $394 million in June. By July 30, purchase-oriented interventions for the year totalled about $2.077 billion. By October 1, 2026, reserves had reached $15.363 billion, up $4.053 billion, or 35.8%, year on year. The author notes that the Russia–Ukraine war is unlikely to be comprehensively settled soon, and that the US–Iran conflict and tensions involving Yemen add uncertainty.