BAKU, Azerbaijan, April 6. The World Bank (WB) expects Azerbaijan's GDP growth at 2.2 percent in 2023, Trend reports, citing the WB's Europe and Central Asia Economic Update.
"Economic growth was 4.6 percent in 2022, driven by non-energy sectors supported by recovering demand and fiscal expansion," the report said.
According to the outlook, Azerbaijan's GDP growth is expected to recover to 2.5 percent in 2024, and 2.6 in 2025. At the same time, the country's economic growth stood at 5.6 percent in 2021, as of the bank's estimations.
Meanwhile, growth in non-energy sectors in Azerbaijan is expected to ease to 5.2 percent, as it goes back to the pre-COVID growth path.
As the bank noted, in the medium term, economic growth in Azerbaijan is likely to be supported by an increase in investment against the backdrop of several energy deals recently brokered with the EU, as well as increase of state expenditures for implementation of Strategy for social and economic development for 2022-2026.
"In the medium-term, growth is expected to moderate as non-energy sector growth returns to pre-COVID levels while the energy sector shrinks further. Risks to this outlook are balanced," the bank concluded.