Azerbaijan’s annual inflation stands at 5.5%

Azerbaijan’s annual inflation reached 5.5% in the first nine months of 2025, with food prices rising 7.4% and non-food goods up 2.4%, Central Bank Governor Taleh Kazimov said.

The bank said both headline and core inflation remained within the target range. The year-end inflation forecast was revised to 6% from 5.7% projected in July, while the 2026 forecast was raised to 5.7%, mainly due to higher agricultural producer prices.

The agricultural producer price index increased 9.3% in nine months, adding about 0.4 percentage points to overall inflation. Prices for imported seeds rose 61%, animal feed 27%, and mineral fertilizers 11.8%, Kazimov noted.

The current account deficit reached $2.3 billion (6.3% of GDP), while strategic foreign exchange reserves stood at $81.5 billion, equal to 37 months of imports. The Central Bank cut its policy rate by 0.25 percentage points this year and said future decisions will depend on inflation dynamics and market liquidity.

N.Tebrizli