BAKU, Azerbaijan, November 23. The European Bank for Reconstruction and Development (EBRD) has forecasted the growth of the Azerbaijani economy in 2022 at the level of 4.5 percent, Trend reports on November 23 via the EBRD's ‘Transition Report 2022-23’.
The bank also predicted that the average annual inflation in Azerbaijan will be 12.2 percent.
According to the report, Azerbaijan's economic growth has been higher than previously predicted. GDP growth of 5.6 percent in the first 10 months of 2022 and 5.8 percent in 2021 created a prerequisite for a revision of the forecast.
“Energy prices and demand for Azerbaijani gas are expected to remain high in the short term, which will support overall economic performance. We expect strong GDP growth of 4.5 percent in 2022, but some moderation to 2.5 percent in 2023," the report said adding that the main risks for the economy relate to inflation and a potential drop in energy prices.
In the coming years, Azerbaijan may benefit from additional investments in the gas industry, as EU countries diversify supplies, concluded the report.