There will be no increase in domestic prices on fuel in Azerbaijan and there are no discussions on that matter, the Finance ministry told Trend. Experts are now working to define the budget forecasts for 2006, which are to be changed regarding the growth of tariffs on diesel fuel, kerosene, aviation fuel and stove fuel.
The given situation is now being studied at the current meetings with the International monetary Fund experts. However, no new increase in prices is expected.
IMF does not have rights, however, to give financial and tariffs policy recommendations, the head of ministry` s economic department, Oktay Ahverdiyev told Trend. According to the agreement with IMF these sorts of recommendations can be given by international experts.
However, IMF does not have the right to give these sort of recommendations, Ahverdiyev told. As agreed with the IMF only international experts can give financial, tariff and economic recommendations. The times when Azerbaijan had to do concessions to IMF are gone, he said.
It is reasonable to increase the prices (consumer and natural monopolists) only after 10-15 years, when the life levels will increase so the tariffs could be raised till appropriate levels. In any case even in 20 years fuel prices will be lower in Azerbaijan than in Germany or France, as Azerbaijan is an oil producing state.
On the other hand Ahverdiyev mentions that as it is used in the world practice the whole weight of taxation will transfer from producer to consumer and the growth of fuel prices is inevitable.