Partnership strategy of WB with Azerbaijan to be approved in autumn

Business Materials 10 June 2006 14:47 (UTC +04:00)

The confirmation of the partnership strategy (2006-2009) of the World Bank with Azerbaijan is expected to be realized in Board of Directors in autumn, Trend reports with reference to the Cabinet of Ministers. This period is changed in connection with the volume of assistance which bank plans to allocate to Azerbaijan for 2007 fiscal year.

WB completed the assessment of the International Development Association (IDA) member-countries, and the volume of the assistance for each country has been defined. The WB economist Christian Petersen who is on the visit in Baku gave information about the results of the assessment. $78m has been intended for Azerbaijan, which will be disbursed to the country in 2007 on base of preferential terms. The general cost of the strategy is estimated at about $1,2 billion. The majority of the finance will be allocated in line with International Bank for Reconstruction and Development (IBRD). For instance, some $550m has been intended for the construction of the automobile road, but the bank is ready to deliver more money.

Some $70m was intended for 2006 fiscal year, but in result the country achieved to receive $105m from the finance of IDA for three projects agricultural development and crediting, reform in the court system and in health system. Their confirmation in the Board of Directors is expected to be realized on June 29.

The WB Baku office explains the confirmation delay with the State Program on Poverty Reduction intended by 2015. It is being considered in the government. The WB hopes to present the strategy to the discussion of Board of Directors, together with the State Program.