Prices are expected to rise by 20% in Azerbaijan – expert
Azerbaijan, Baku/ corr. Trend U. Ismaylova/ The prices of foodstuff in Azerbaijan will rise by 15 to 18% in 2008, Eyub Huseynov, the head of Independent Consumers Union stated on 8 January.
According to Huseynov, the rise in prices will take place due to the increase in the minimum salary and minimum pensions which rose by AZN 50 to 60 and due to a shortage in agricultural products owing to the absence of an agricultural policy.
At the beginning of 2007 Huseynov forecasted a 25% rise in prices which proved correct at the end of the year. Huseynov attributed fewer rises in prices in 2008 than in 2007 to the price rise in energy recourses and public utilities as a result of the decision adopted by the Tariff Council on January for 2007.
Expert thinks that the rise in oil revenue and the consolidation of the Azeri manat against the American dollar will contribute to the inflation which is forecasted at 20% in 2008.