Moody's: Azerbaijan resilient

As part of its global framework for estimating banks' credit losses and their effect on ratings, Moody's Investors Service said it revised its stress-test assumptions for banks in Azerbaijan.

Moody's said it uses stress testing to understand the sensitivity of banks' capital positions to a range of credit loss estimates.

Azerbaijan's oil-based economy has proved resilient to the global slowdown, the agency said.

The local currency - the Azeri manat - has been stable since the beginning of the global financial crisis and Moody's said it sees a low risk of currency depreciation in the medium term.

Key supporting factors include adequate levels of international reserves, low levels of external debt and rising foreign-exchange revenues from oil and gas exports on the back of recovering prices, the agency said.

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