Inflation Rate in Azerbaijan May Keep 16% by End of 2007
Azerbaijan, Baku / Trend corr I. Khalilova / By the end of 2007 inflation rate in Azerbaijan may keep 16% - the result of the 9 months of the year, the chair of the Azerbaijani State Statistics Committee Arif Valiyev said at the press conference dedicated to the results of the social and economic development of the 9 months on 29 October.
According to Valiyev, a rise in consumer prices may comprise 16.1-16.3% by the end of the year. The key reason of the rise in prices was January's increase in energy tariffs.
Prices for electric energy, petrol, and other energy carriers are not expected to rise next year. Therefore, inflation is likely to keep one-digit rate.
"The Government is undertaking inflation preventing measures, but it is impossible to achieve a dramatic drop in prices, because 99.1% of Azerbaijani trade sector is private, and it hardly can be made sell products at low prices. Otherwise, a negative aftermath, products shortage can occur," Valiyev said.
The inflation mainly affected services (an increase of 24.6%), which was also caused by the rise in electric energy prices.