What is Azerbaijani Manat (AZN)?
Azerbaijani Manat (AZN)
The Azerbaijani Manat (AZN) is subdivided into 100 qəpik, making it a decimal currency. The symbol for the manat is '₼', which is often used in financial contexts and by merchants. The currency was first introduced after the dissolution of the Soviet Union, replacing the Soviet ruble to establish economic independence.
The first manat issued in 1992 was known as the 'old manat,' but due to hyperinflation and economic instability, a new manat was introduced in 2006, known as the 'new manat' (AZN). The transition to the new manat involved a redenomination where one new manat was equal to 5,000 old manats, significantly simplifying transactions and accounting.
The Central Bank of Azerbaijan is responsible for issuing and managing the manat, ensuring its stability and integrity in the market. The bank implements monetary policies aimed at controlling inflation and stabilizing the currency against other currencies, particularly the US dollar and the euro.
Banknotes of the Azerbaijani Manat come in various denominations: 1, 5, 10, 20, 50, and 100 manats, while coins are available in denominations of 1, 3, 5, 10, 20, and 50 qəpik, as well as 1 manat. The banknotes feature significant national figures and landmarks, reflecting the rich cultural heritage of Azerbaijan.
Exchange rates for the manat can fluctuate due to economic conditions, international trade, and foreign investments. As Azerbaijan’s economy is largely driven by oil and gas exports, global oil prices have a direct impact on the value of the manat. Consequently, the currency may experience volatility in response to market changes.
Overall, the Azerbaijani Manat plays a crucial role in the daily lives of the Azerbaijani people, enabling them to conduct transactions, save, and invest. It represents not only the economic framework of Azerbaijan but also its national identity and sovereignty.