CAERC talks Azerbaijan's major anti-crisis program

CAERC talks Azerbaijan's major anti-crisis program

BAKU, Azerbaijan, March 31

By Eldar Janashvili – Trend:

Azerbaijan’s anti-crisis program is ambitious enough and large-scale compared to other countries, Trend reports referring to Azerbaijan’s Center for Analysis of Economic Reforms and Communication (CAERC) Executive Director Vusal Gasimli.

“Azerbaijan’s anti-crisis program is 2.5 billion manat, which is 3.1 percent of gross domestic product (GDP). For comparison, the Georgian government received a package of assistance in the amount of 1 billion Georgian lari, or 2 percent of the country's GDP. Russia received a package of assistance in the amount of 300 billion rubles, which is 0.3 percent of its GDP. Kyrgyzstan received an anti-crisis package in the amount of 760 million soms, or 1 percent of its GDP, Uzbekistan - $9.5 trillion, or 1.5 percent of its GDP. It is seen that the support program of Azerbaijan is quite ambitious and more wide-scale compared to other countries," he noted.

According to Gasimli, the governmental support program for mitigating impact of global upheavals to Azerbaijan will cover 4 sectors and 20 areas of activity. Working group headed by the minister of economy assessed the affected sectors by 3 categories: the most affected, significantly affected and low-affected ones. This approach is important in terms of fairness, as well as efficient use of resources. In this context, nine program projects are being developed.

“First of all, it should be noted that the program, covers 304,000 hired employees and 44,000 business entities. Given that out of 1.6 million hired employees, 915,000 ones regularly receive wages because they work in the public and oil sectors, accordingly, the state will support 304,000 of the remaining 640,000 hired employees. Here, the salary fund of a business entity will be supported by the state subject to the degree of affect caused by its field of activity. Of course, the main criterion in this case is the average wage at the level of 712 manat," the executive director said.

"At the same time, 290,000 micro-entrepreneurs will receive the governmental support. In this case, the amount of taxes paid by them in 2019 will be taken into account. Also, state programs for tax privileges and support for tax holidays and mortgage credits have been developed. Currently, the state is planning a support package to overcome difficulties that citizens may face when paying credits under the influence of global upheavals. At the same time, difficulties with repaying credits are forecasted not only among households, but also among some entrepreneurs," Gasimli said.

“At present, 7 billion manat has been allocated to households, and 6.1 billion manat to the private sector. In particular, credits worth 2.4 billion manat issued to the trade and service sector and 1.2 billion manat to the transport and communications sector. Thus, the state will allocate 1 billion manat to support the existing credit portfolio, and in this case, such criteria as vulnerability of the sector and credit discipline will be taken as a basis,” Gasimli noted.

Azerbaijan’s Entrepreneurship Development Fund will provide 10 percent support to the credit, which covers a significant part of the credit interest, while in Azerbaijan the average credit makes up 14 percent - 8.8 percent for legal entities and 16.6 percent for individuals. At the same time, the new credit support program will cover a maximum of 15 percent per annum. Thus, half of this credit interest will be paid by the Enterprise Development Fund.

According to Gasimli, within the state support programs, the limit of communal services will be increased, and the major enterprises - AZAL, Baku Transport Agency, Baku Metro, Azerbaijan Railways and others will be involved in the passenger traffic. Support will also be provided to the public authorities. In addition, the state will expand coverage of social programs and provide support to the low-income people. The working group, headed by Azerbaijan’s minister of labor and social protection of population, will also submit its proposals in the coming days.

"Currently under the leadership of President Ilham Aliyev, the largest economic support program in the history of Azerbaijan’s independence is underway. Such a systemic support program minimizes the impact of the largest pandemic in the last 100 years on the country and better prepares it for the post-crisis period. Through the government programs, both demand and supply will be supported, and thereby macroeconomic stability will be maintained," he said.

"These days, it’s needed to more strictly observe the special quarantine rules, because we can restore economic losses, but we cannot return health and human life. For the Azerbaijani state, a citizen and his decent standard of living have the paramount importance," Gasimli added, reminding about necessity of complying with quarantine regime introduced in the country.

EU Ambassador: Uzbekistan is one of key countries in Europe-Asia Connectivity Strategy
EU Ambassador: Uzbekistan is one of key countries in Europe-Asia Connectivity Strategy
Uzbekistan's capital to establish co-op with Japan's Nagoya city
Uzbekistan's capital to establish co-op with Japan's Nagoya city
Uzbekistan drills new well at gas field in country's Bukhara region
Uzbekistan drills new well at gas field in country's Bukhara region
Loading Bars
Number of COVID-2019 cases across globe up by over 273,000 in past day - WHO
COVID-19 infection rate in Turkey increased since May, Koca warns
Iran's NirouChlor Company continues to export to European countries
Kazakhstan, Vietnam trade turnover down twofold
China to implement new construction project in Georgia
Russia's import of Turkish defense products grows despite pandemic
Africa's COVID-19 cases surpass 1.03 mln as death toll rises to 22,966
Erdogan says Turkey becomes 3rd to develop COVID-19 vaccines
Iranian Energy Exchange announces products for sale on August 10
Exit poll: Lukashenko winning 79.7% of votes at Belarus’ presidential election
All polling stations close in Belarus, vote count in progress
Azerbaijan plans to amend legislation to support local production
Greece registers highest daily tally of COVID 19 cases
Larsi border checkpoint employee tests positive for COVID-19 in Kakheti
Another 8 coronavirus-related fatalities registered in Kyrgyzstan
Bahar Azadi gold coin price falls in Iran
Turkey's domestic car project attracting global players' interest
2 civilians killed, 5 troopers injured as blast rocks western edge of Kabul city
Weekly review of key developments in financing, agricultural sector of Azerbaijan
Gov't allows 101 Georgian citizens to enter Turkey
Pandemic fuels e-commerce boom in Turkey
Kazakhstan's export to Poland slightly down amid COVID-19
Iran's South Pars Gas Company begin repairs
1 dead, at least 20 injured in Washington D.C. shooting
Weekly review of events in financial market of Azerbaijan
Presidential election in Belarus declared valid
Production of major Iranian steel companies up
Volume of wheat purchased in Iran's Markazi Province increases
Prime Minister of India to inaugurate submarine cable connectivity to Andaman & Nicobar Islands 10th August
India begins examination of plane's black box after deadly crash
Doctor infected with COVID-19 working in several clinics in Gori and Tbilisi
5 killed, dozens injured in Istanbul bus crash
Kyrgyzstan's total number of recoveries from COVID-19 surpasses 31,820
"TurAz Qartalı - 2020" exercises continue with participation of helicopters (PHOTO/VIDEO)
5.1-magnitude quake shakes west of Iran
Azerbaijan launches tobacco drying enterprise in Tovuz district (FOTO)
Iran declares amount of investment in Bushehr port
Iran reveals its COVID-19 data for August 9
Azerbaijan reports 308 new COVID-19 recoveries
Samsung remains most-used mobile device in Azerbaijan
Iran's Shahid Salimi TPP boosts its production
US expert: Development of Amulsar mine causes tremendous pollution of fresh-water resources in Caucasus
Turkey reports 1,172 new COVID-19 cases
Georgia reports 9 new cases of COVID-19, 4 recoveries
COVID-19-like pneumonia affected over 1,000 more Kazakhstanis, killing 15
Turnout at Belarus presidential election reaches 45.33%
Iran discloses volume of wheat purchased in Ardabil Province
Azerbaijani government to support entrepreneurs in digital infrastructure dev't
Iran reveals value of exports via Kermanshah Province to Iraq
Special Forces Units also involved in first stage of Azerbaijani-Turkish tactical exercises (PHOTO/VIDEO)
Saffron to be auctioned in Iran
Azerbaijan reveals daily crude oil production for July 2020
Early voting turnout at 41.7% in Belarus
Iranian currency rates for August 9
Polling stations at Belarus presidential election open at 8:00
Armenia violates ceasefire with Azerbaijan 28 times
Export of steel from Turkey abroad in 1H2020 shrinks
Geostat reveals inflation rates in Georgia in June 2020
South Africa's COVID-19 death toll exceeds 10,000
EU Ambassador: Uzbekistan is one of key countries in Europe-Asia Connectivity Strategy
New COVID-19 cases detected in Kazakhstan in past day
Esper: U.S. will cut troop levels in Afghanistan to 'less than 5,000'
Law enforcers regain control of Beirut’s center, ministries captured by protesters
Chinese mainland reports 23 new confirmed COVID-19 cases
Ukraine president says Kyiv staying out of U.S. internal politics, elections
U.S. sets record as coronavirus cases top 5 million
Twitter, TikTok held preliminary talks about potential combination: WSJ
Brazil surpasses 100,000 deaths, 3 mln cases of COVID-19
Trump signs orders to extend certain COVID-19 relief after Congress fails to reach deal
Turkey reports 1,172 new COVID-19 cases, 239,622 in total
Czech apartment fire kills 11, including three children
Moscow's death toll from confirmed coronavirus cases rises by 12 to 4,572 - crisis center
WHO reports one-day surge in coronavirus cases by over 284,000
Plane crashes in Portuguese-Spanish joint fire operation, one killed
Lebanese PM says only way out of crisis is holding early elections: statement
Over 230 injured in Beirut protests - Lebanese Red Cross Society
Ireland reports highest number of new COVID-19 cases since early May
Beirut explosion death toll rises to 158, over 6,000 injured: Health ministry
Android goes on being most popular operation system in Azerbaijan
Turkey records decline in carpet export in 1H2020
Official: Epidemiological situation in Georgia is manageable and under control
Iranian mayors express readiness to help Beirut after blast
Kazakhstan sends military medical team to Lebanon after Beirut blast
Protesters storm Lebanon's Foreign Ministry
Oil spill threatens ecological disaster as Mauritius declares emergency
Belarus reports 124 new COVID-19 cases, total reaches 68,738
Azerbaijani president congratulates president of Singapore
Azerbaijani MFA: Armenia is making attempts to illegally resettle Armenians from Middle East to Azerbaijan's Nagorno-Karabakh and adjacent regions
Iran declares amount of funds to be paid for construction of Ardabil-Mianeh railway
Iran Red Crescent delivers 15 tons of food to Lebanon Red Cross
Turkey to allocate Port of Mersin for Beirut's use, top Turkish official says
PM Gakharia: Georgia ready for NATO membership
Libya reports 200 new COVID-19 cases
Weekly review of Azerbaijani currency market (Aug. 3-7)
Iran announces balance of bank loans
Total COVID-19 recoveries number exceeds 30,000 in Azerbaijan
Uzbekistan's capital to establish co-op with Japan's Nagoya city
Georgia becomes net importer of apples in 2019/2020 season
Iran's parliament to review stock exchange, foreign currency rates
Ferrero to purchase hazelnuts from Georgian Hazelnut Producers Association
All news