Baku Today reported on 9 February 2005 that Azerbaijan will redenominate the currency and peg it to the U.S. dollar. [That would be the MANAT.]
The redenomination, 1 NEW Manat for 5000 OLD Manat , becomes effective 1 January 2006.
Now, in a show of spectacularly bad timing, Armenia announced on 6 December 2005 that it could recognize the independence of Nagorno-Karabakh. They're not saying they will, but they could.
Azerbaijani Defense Minister Abiyev said that if Armenia did that, then war could resume. They're not saying it would, but it could.
For the 2 or 3 of you not up to date, Azerbaijan and Armenia declared a truce in 1994 after 6 years of war, and the mostly Armenian province of Nagorno-Karabakh fell under the responsibility of Armenia.
This is going to ruin the ribbon-cutting ceremony on the Baku-Tbilisi-Ceyhan pipeline.