Azerbaijan's currency lost almost half its value overnight

Azerbaijan has become the latest former Soviet republic to devalue its currency in the wake of falling oil prices.

The country's central bank said it "decided to switch to floating manat rate from Dec 21. Based on that, the manat rate will be determined by demand and offer on the forex market."

The manat rate fell to 1.55 per US dollar on Monday, down 47.6% from Friday, according to Reuters.

Kazakhstan devalued its currency, the tenge, in August. The currency fell 23% when the country announced it was abandoning a policy of keeping it pegged to the dollar.

Oil and gas account for 95% of Azeri exports and 75% of government revenues, according to figures from Reuters. Oil prices just hit an 11-year low, intensifying the pressure on public finances.