External debt covered by 83.2% at expense of public budget for 2005
During 2005 Azerbaijan allocated 77.4bn manats or 83.2% against 93bn manats envisaged for coverage of external debt at expense of the public budget, the Finance Ministry told Trend. The government annually sets funds in the public budget for payment on loans, received under state guarantee by such organizations as the Health Ministry, encountering difficulty in fulfillment of loan liabilities.
Besides, from 2005 the payment on loans of the World Bank (WB) started. Despite lowest interest rates on the WBs loans, the most payment in 2005 was envisaged for this bank - 28bn manats. The sum was envisaged for coverage of loans and interest rates on 20 projects. Azerbaijan covered principal debt on loans, allocated to the country on projects Technical Assistance to Institutional Building, Technical Aid to Oil Sector and Rehabilitation of Water Supply System of Big Baku in 1995.
Other big payment in 2005 was set for German РђРљРђ banks 15.5bn manats loan granted for reconstruction of the Central Clinic Hospital.
12bn manats was set in the public budget to cover loans of the Islam development Bank, granted for the implementation of seven projects. A part of the sum aimed at coverage of principal debt on three projects such as construction of the Alat-Gazimmad highway, reconstruction of the Mil-Mugham header and the Khanlar channel, and the rest - interest rates.
8.5bn manats was set for Kuwaiti Development Fund on two projects such as construction of the Alat-Gazimammad highway and bypass road. The government set 4.5bn manats for EBRD on the project Reconstruction of the Hajigabul-Kurdamir highway, 200m manats - the Asian Development Bank for coverage of the loan, allocated for coast-protecting structure in the regions. Little payments were envisaged for loans of the Saudi Development Fund, Abu-Dabi Fund in relation to coverage of interest rates.