WB approves less than half of funds envisaged for Azerbaijan in 2011
Azerbaijan, Baku, March 9 / Trend A. Akhundov /
World Bank (WB) has approved the allocation of up to 45 percent of the amount of financing set for 2011 to Azerbaijan within the cooperation strategy (for 2011-2014), WB representative office told Trend today.
"The amount of financing for each year of the cooperation program is the maximum limit that the bank has determined after analyzing the financial viability, economic indices of the country," WB said. "When the strategy of the bank's activity in Azerbaijan was prepared, this limit was set at $ 380 million. The projects worth $170 million were approved in 2011. The projects worth about $ 50 million were approved in this fiscal year, which ends in late June."
World Bank announced about a new program of strategic cooperation with Azerbaijan in late 2010. It is designed for 2011-2014. It will be a key document to render assistance to Azerbaijan.
The new strategy has a number of distinctive features. First, the focus will be made to accelerate the implementation of existing projects. Second, new investments will be carried out selectively - in case of demand from the government. Finally, the bank intends to strengthen its analytical work and a political dialogue. In particular, the World Bank plans to strengthen its analytical work on such issues as job creation, economic growth, poverty reduction, the activity in the financial sector, agriculture, irrigation, and other areas.
The Azerbaijani government appealed to allocate investments worth $1 billion for the WB entire four-year strategy. The amount of credit was expected to hit $ 380 million per year for the first two years. 2011 was the last year of concessional financing from the World Bank given the level of income per capita in Azerbaijan worth $4,820, which moves the country into the group of countries with an average economic welfare.
Azerbaijan is a WB member since 1992. The bank has allocated $ 2.9 billion to Azerbaijan to finance 43 projects. The country ranks third in terms of portfolio in the world after Turkey and Kazakhstan.