FX.co ★ Azerbaijan Holds Key Rate at 6.5%

In July 2026, the Central Bank of the Republic of Azerbaijan left its key discount rate unchanged at 6.5% for the fourth consecutive meeting, keeping borrowing costs at their lowest level since September 2021. The parameters of the interest rate corridor were also maintained, with the lower bound at 5.5% and the upper bound at 7.5%, as policymakers assessed inflation risks as broadly balanced. Annual inflation reached 5.8% in June, up from 5.6% in May. The decision reflects the consistency of both actual and projected inflation with the 4% ± 2% target range, as well as the central bank’s evaluation of domestic and external inflationary pressures.