Azerbaijan signs five loan agreements worth over $1 billion
Azerbaijan, Baku, March 11 / Trend N.Ismayilova /
Azerbaijan extended cooperation with various international financial organizations and donor countries, the Cabinet of Ministers reported. The country signed five loan agreements worth about $1.13 billion in 2010 to fund projects important for the country's economy.
The loans were attracted from the World Bank in the amount of $241.6 million, the Islamic Development Bank - $198.4 million, Czech Komerční banka - $380.4 million, Czech Česká exportní banka - $284.4 million and OPEC international development fund - $26.5 million.
After Azerbaijan gained independence it signed 142 loan agreements totaling $ 8.92 in the period of 1994-2010. Some 73 projects were realized through these funds and the rest are in the process of execution.
Some $4.67 billion of the total volume of foreign borrowings were used as of Jan.1, 2011, which makes up 52.3 percent of the total amount of the signed loan agreements. The figure was $735.1 million in 2010. The country's foreign debt amounted to about $3.422 billion as of Jan.1 2010 compared to $3.857 billion as of Jan.1, 2011.
Loans worth $8.563 billion were attracted for the implementation of investment projects. Some $4.311 of the amount has been already used.
The structure of the state foreign debt in early of the year was as follows: 36.25 percent of the total figure was allocated for the rehabilitation and development of the electricity sector, 31.5 percent - reconstruction of transport infrastructure and road construction, 7.84 percent - the economic reforms, 3.49 percent - agriculture, 8.52 percent - water supply and land reclamation, 4.31 percent - social sector, 5.5 percent - oil, gas and chemistry and other areas - 2.59 percent.
The country continued in 2010 to implement 8 projects in the electricity sector, 15 - in the transport sector, 9 - in water, land reclamation and irrigation, 10 - the social sphere, and 5 projects in agriculture.
The specific weight of the loans allocated as of Jan.1, 2011 amounted to 21.5 percent of GDP, and 9.3 percent - used part of the loans.