Azerbaijan demonstrates high economic growth in 2009: EBRD
Azerbaijan, Baku, 26 January / corr. Trend N. Ismayilova /
The European Bank for Reconstruction and Development (EBRD) forecasts 6.5 percent inflation in Azerbaijan as a result of 2010, said chief economist of the EBRD, Anita Tachi, during presentation of Transition report 2010 on Jan. 26.
"Pressing caused by inflation will come back. It is currently low, but due to rising prices for fuel resources, the growth in consumption in the country will put pressure on inflation. Despite this, its level is much lower than 2008 (inflation was 22 percent)," said Tachi.
Azerbaijan's GDP growth forecast for 2009 is 9.3 percent, 2010 - 9 percent, 2011 - 8 per cent.
"In 2009, Azerbaijan demonstrated high economic growth, supported by rising oil prices, bringing the country's GDP to grow by 9.3 percent, and 9 percent forecast for 2010 is also the highest in the region," said Tachi.
She said the government reacted promptly and effectively to the downturn in late 2008 because of falling oil prices and demand in world markets. Activities of the State Oil Fund of Azerbaijan also were effective during the crisis period, including as compared to other countries.
According to research by EBRD, in Azerbaijan there is a need to diversify the economy and the government understands and takes necessary measures to increase non-oil segment of the market.