BAKU, Azerbaijan, Mar. 2
By Fidan Babayeva – Trend:
Azerbaijan has fixed assets worth 200 billion manat ($117.6 billion), Trend reports with reference to the country’s Center for Analysis of Economic Reforms and Communication.
According to the center, given the physical and moral depreciation of funds, investments should be at least 10 percent of their fixed assets to expand the volume of fixed capital, said the center.
“There are certain instances when capital is invested, but part of the production capacity is reduced. This reduces the profitability of investors. Competitiveness of the sector must be considered when investing,” the center for analysis said.
“Investment in capitalization of the real sector should increase. Given that demand for creative ideas is high, support for startups can also lead to the development of financial technology. From this point of view, it is very important to increase technological knowledge and train more qualified personnel,” the center said.
“In this case, investors can make banks and financial technologies more interesting for lending, taking on some risks. Banks may be interested in investing more working capital, as well as in lending to fixed assets,” the center said.
Given the fact that most financial technologies are based on artificial intelligence, the current situation in this area in Azerbaijan can be assessed by Government Artificial Intelligence Readiness Index from the Oxford Insights, according to which, by the end of 2019, Azerbaijan ranked 64th place to leaving behind Iran (72nd), Georgia (76th) and Armenia (81st).