Oil and Gas Export in Azerbaijan’s Balance of Payments to Reduce in Medium-Term Perspective

Business Materials 5 November 2008 12:32 (UTC +04:00)

Azerbaijan, Baku, 5 November/ Trend , corr N. Ismayilova/ Foreign trade turnover of Azerbaijan is expected to total to $43.62bln in the 2009 balance of payments which is 1.5% more than the forecast of 2008, according to the draft state budget for 2009-2012 submitted to the parliament.

This figure is expected to total to $41.26bln in 2019, $41.73bln in 2011 and $40.06bln in 2012.

The decline in foreign trade in 2009 will be caused by the drop in export to $35.74bln compared to $37.04bln in 2008 whereas growth in import operations is expected to make up 9.1% to $7.88bln.

About 78.4% of operations ($34.19bln) in the structure of export and 1.1% ($48bln) in structure of import will be secured due to the oil and gas sector.

In 2010, the export in the oil and gas sector is expected to total to $30.91bln and import - to $0.38bln, $30.44bln and $39bln in 2011, and $28.13bln and $28bln in 2012 respectively.

In the balance of services of balance of payments, 2009 export is expected to total to $1.71bln. Import in oil and gas sector is expected to comprise $72bln and $2.2bln in remaining sectors.

The draft budget of 2009 submitted to the parliament sets the following tasks in order to reduce risks of national economy and rational integration to world community: tsimplification of foreign procedures, diversification of export and import, calculation in hard currency in export and import operations, studying opportunities to protect domestic market under WTO principles, encouraging production of goods to replace import and improve trade policy, study opportunities of preferential trade regimes, promoting export of private sector, taking anti-damping measures, cooperation with respective governmental agencies to improve statistics of foreign trade and analyze of trends of electronic trade.

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