BAKU, Azerbaijan, Dec. 25
By Zeyni Jafarov - Trend:
The Azerbaijani economy will show more marked growth in 2021, namely about 1.3 percent, even under the conservative scenario of the average price for Brent oil at $40 per barrel, Gulnara Haydarshina, Deputy Head of the Gazprombank Market Analysis Department, told Trend.
According to Haydarshina, under the scenario of an average oil price in the range of $50 per barrel, which is considered more likely, Azerbaijan's economic growth, taking into account the effect of the new fiscal stimulus, could recover to 4.1 percent.
Touching upon the state budget for 2021 presented to the Azerbaijan Parliament, Haydarshina noted that the budgetary policy of Azerbaijan in 2021 will be a stimulating one: “The budget remains socially oriented, as the share of social spending in the state budget will be 39 percent, which will stimulate consumption growth.”
The Gazprombank representative highlighted an important fact in the structure of budget expenditures for the next year: “A feature of the new Azerbaijani budget project is that it provides funds for restoration work and the creation of a new infrastructure in the Nagorno-Karabakh region liberated from Armenian occupation,” she said.
Haydarshina added that thanks to the new fiscal stimulus, an additional growth driver is being created in the Azerbaijani economy and this will contribute to an increase in Azerbaijan's economic indicators in the coming years.
---
Follow the author on Twitter: @jafarov_zeyni