IFC suggests introducing single window system while granting permissions for Azerbaijani construction sector

Azerbaijan, Baku, June 27 / Trend I. Khalilova /

The International Finance Corporation announced results of monitoring on business. Monitoring was conducted among small and medium entrepreneurship of Azerbaijan. According to monitoring, 63 percent of respondents consider licensing procedures as difficult, report of Azerbaijani project on business improvement (AzBEE) said.  

IFC project launched research of Azerbaijani business sphere late 2007. Poll was conducted among 1,766 respondents, 873 - individual entrepreneurs, 893 - legal entities.

Poll demonstrated that expenses for individual entrepreneurs hit 276 manat ($340) to get license in Azerbaijan. But expenses for small and medium enterprises hit 564 manat ($696). These calculations were made given official and unofficial payments on the basis of poll conducted among local companies. Unofficial payments create certain problems for entrepreneurs launching activity.    

Other factor of licensing raising price is that certain kinds of license are given for short term. According to licensing procedures, licensees are given for 5 years, for production of strong drinks and ethyl alcohol - 3 years but for their import - 1 year.    

Individual entrepreneurs, small and medium enterprises lose 1 percent of annual profit while getting license, IFC said.

Moreover, an entrepreneur must get three permissions to launch business. Individual entrepreneurs waste 136 manat ($167) but small and medium enterprises - 250 manat ($308) to get permission.  

According to calculations conducted as a result of poll, private sector wastes 35 million manat ($43.2) for direct, indirect and alternative expenses to get necessary permissions.

"Reduction of permissions and expenses for one/third will allow private sector economizing 11.6 million manat ($14.3 million), the report said. The government will economize 5 million manat ($6.17 million) by reducing man power connected with granting of license. 

IFC recommends the government to reduce number of permissions and limit coverage sphere within improvement of permissions and licensing system. It is possible by the governmental forming full list of permissions; simplifying process of permission granting (it is suggested adopting legislative act, introducing principle of self-certification); prolongation of term (reduce expenses). The corporation also suggested introducing single window system to give certain kinds of permissions. It is acceptable for construction sector requiring getting of several permissions.

United register of permissions is planned to draw up by late 2009.

Project is implemented together with BP Company and Switzerland's state secretariat for economic affairs (Seco). Seco granted the government grant in the amount of $4.3 million but BP - $0.456 million to improve business in Azerbaijan.

Program covers 5 years. It envisages reduction of regulating obstacles in entrepreneurs' activity, conducting of monitoring on business, increase of legal knowledge by enlightenment.

IFC assisted to change and adopt 11 major laws/regulations within project of business improvement. It allowed economizing $93 million for small and medium enterprises.

On June 27, the official exchange rate is 0.8041 manat to $1.

Do you have any feedback? Contact our journalist at [email protected]

Oil extend losses into 3rd day on U.S. stock build, pandemic fears
Oil extend losses into 3rd day on U.S. stock build, pandemic fears
Iranian president discusses implementation of JCPOA
Iranian president discusses implementation of JCPOA
Yellen vows to tackle climate change with "whole-of-economy" approach
Yellen vows to tackle climate change with "whole-of-economy" approach
Loading Bars
Latest
Israeli airline to organize charter flights to Uzbekistan’s Tashkent
Kazakh president points out need to timely oversee major oil projects
US must choose between real ally Ankara and fictional history - Turkish presidential administration
Kazakhstan's trade with Italy down
Uzbekistan boosts import of electric cars
Azerbaijan names winner of auction for right to develop clay field in Goygol
Azerbaijan implementing "Smart Grid" concept in Sugovushan settlement (VIDEO)
Кazakh Electricity Grid Operating Company to buy spares via tender
Uzbekistan exports dried fruits to Malaysia through Turkey
Area of agricultural land in Iran equipped with modern irrigation systems growing
ADB introducing blockchain-based food tracking project in Azerbaijan
Iran reveals COVID-19 data for April 22
Azerbaijan publishes 1Q2021 data on lending to economy
Azerbaijan clears Sugovushan, Talyshkend from mines for construction of power transmission lines (PHOTO)
Several facilities put into operation in Iran's agricultural sector
Azerbaijani president, first lady attend ceremony of laying foundation of Mud Volcanoes Tourism Complex (PHOTO)
Georgia exports ignificant number of tractors, trucks to Azerbaijan
International revenue of Halliburton up amid increased software sales
Iran launches implementation of project on Cheshmeh Khosh oil field
Halliburton sees decrease in operating income
Azerbaijani banks' demand for foreign currency exponentially up
Turkmenistan increases production of vegetables, berries
Uzbek-Korean JV announces tender for consumables
Earth Day 2021: An unprecedented opportunity to restore our Earth
Azerbaijan's Nakhchivan launches work on industrial projects in 1Q2021
Georgia reports 1,226 new cases of coronavirus for April 22
Turkey says France boosts import of domestic cars
Armenia commits provocations on state border with Azerbaijan
UAE's Universal Tubes and India's Tata in world's first blockchain-led trade finance for steel
Cargo transportation at Turkey's Adana airport reduces
Georgian wine exports to Azerbaijan see growth
Uzbekistan’s passenger cars production down in 1Q2021
Value of Turkey's grains, legumes export to Uzbekistan spikes in Mar.2021
Armenia planted plastic mines in liberated Sugovushan village - Azerbaijan's Mine Action Agency (VIDEO)
Russian GDP growth outlook downgraded to 2.9% for 2021
Inflation rate in Iran increases
Renault revenue falls for fifth quarter in a row
Turkey's 1Q2021 chemicals exports to Russia increase
Azerbaijani ministry appoints acting general director of Aztelekom LLC
Karabakh agreement - very important step in protection of human rights - German MFA
Georgian beer exports to Azerbaijan up
Turkmen carpet-making enterprise publishes production data for 1Q2021
ADB initiating program to support SMEs in Uzbekistan
Iran supplies agricultural machinery to farmers
Interconnections to increase Bulgaria’s gas market capacity by 10 bcm
Volume of loaded, unloaded cargo in Iranian ports decreases
Azerbaijan's Nakhchivan raises agricultural production y-o-y
Spanish CAF eyes establishing co-op with Uzbekistan in railway transport
UAE working on increasing export of fresh agricultural products from Uzbekistan
Construction of int'l airport in Azerbaijan's Fuzuli accelerating (VIDEO)
Azerbaijan's Nakhchivan sees increase in 1Q2021 foreign trade turnover figures
Oil extend losses into 3rd day on U.S. stock build, pandemic fears
Azerbaijan's money supply rate grows in March 2021
Kazakhstan twofold decreases exports to Poland y-o-y
Maire Tecnimont to be engaged in bio-degradable polymer plant project in Russia
Turkmenistan elected Deputy Chair of UNECE
Turkey's 1Q2021 furniture exports to Kazakhstan down
Prices for precious metals up in Azerbaijan
Iran's FM calls for enhanced consular cooperation with Pakistan
1Q2021 data on Azerbaijan's gas export to Turkey issued
Iran can become trade hub between Pakistan and Central Asian countries - Chamber of Commerce
Kazakhstan's Passenger Transportation JSC opens tender to buy fuel
Azerbaijan's 1Q2021 gas exports rise multifold
Both Covishield & Covaxin work, only 3-4 in 10,000 infected post vaccine, Modi govt releases data
Vaccine Against COVID-19 Helps Prevent Severe Illness: AIIMS Chief
Azerbaijani oil prices rebound
CCMB scientists to culture double mutant, other variants to check if antibodies can neutralise virus
Georgia reveals volume of exported nuts
Armenia's refusal to provide mine maps must be regarded as violation of int'l law - Russian expert
Bharat Biotech Scales Up Covaxin Production To 700 Million Doses Annually
Geostat reveals volume of Russian exports to Georgia
Efforts To Ensure Economic Activity Least Affected, Says PM: Top Quotes
Azerbaijan to establish production of engine oil for special vehicles
Fifth batch of Rafale aircrafts arrive in India from France
2021 will not be about Covid despite second wave: Nirmala Sitharaman
IAF pressed into action for Covid management: Oxygen, equipment, medical personnel airlifted to Delhi
Uzbekistan reveals COVID-19 data for April 22
OPEC+ expected to zero cuts by late 2022
Oil demand in aviation to continue to grow until 2050
Azerbaijani anti-aircraft missile units conducting live fire tactical exercises (PHOTO/VIDEO)
Iranian currency rates for April 22
Azerbaijani currency rates for Apr. 22
Iran plans to attract foreign investment after potential lifting of sanctions
Demand of Azerbaijani state structures for consulting services grows
Georgia reveals data on exports to Russia
India posts daily rise of over 300,000 COVID-19 cases
Turkey’s Erdogan ratifies energy agreement with Azerbaijan
Israeli KASS LAND to invest in Georgian Tsalka - Dashbashi canyon
Iranian president discusses implementation of JCPOA
2,893 new COVID-19 cases in Kazakhstan, total at 297,839
Yellen vows to tackle climate change with "whole-of-economy" approach
UN chief calls for commitment to restoring planet
France ready to implement joint projects with Turkmenistan in agricultural sector
Brazil reports 3,472 more deaths
Baku Higher Oil School wins Regional Petrobowl Competition
Israel attacks targets near Damascus
German court clears path for EU COVID-19 recovery fund
Iran’s NIDC announces number of drilled wells
Iran adds advanced machines at Natanz uranium enrichment plant: IAEA
Italy's cabinet unveils roadmap for reopening starting April 26
All news