Inflation in Azerbaijan will average 12% in 2023 compared to almost 14% in 2022.

Report informs, citing the international rating agency S&P Global Ratings, that after that it should gradually decrease to 5% until 2025.

The agency notes that in response, the Central Bank of Azerbaijan is consistently tightening its monetary policy.

S&P analysts believe that, as in most other emerging and advanced economies, inflation in Azerbaijan continues to exceed the agency’s forecasts, exceeding 2016-2017 levels, when prices rose significantly after the manat devaluation in 2015.