BAKU, Azerbaijan, August 1. In the coming years, Azerbaijan's GDP growth will be largely supported by the investments in the liberated lands [from Armenian occupation in 2020], Trend reports via economic review from the Renaissance Capital investment bank.
“In Azerbaijan, GDP grew by 6.2 percent year-on-year over the first half of 2022 (after 5.6 percent growth in 2021) almost entirely due to the growth of the non-oil & gas sector. In the oil & gas sector, a decrease in oil production and exports was registered (4 percent year-on-year in both cases), with the opposite trend for gas (15 percent and 23 percent growth, respectively),” the report said.
According to the Bank, the country's continued high sensitivity to the global prospects for the development of commodities may lead to the loss of problems for its indicators in 2023-2024.
“However, increased fiscal sustainability and solid accumulated buffers should limit downsides, we argue. In coming years, growth should also be supported by investments ($1.5 billion, or 2.2 percent of GDP in 2022) directed towards the development of [liberated] territories”, Renaissance Capital said.
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