Azerbaijan sees growth in volume of foreign investment in 2020
BAKU, Azerbaijan, Jan.11
By Zeyni Jafarov - Trend:
Investments in fixed assets had decreased in Azerbaijan from January through October 2020, and domestic sources prevailed in the total volume of investments, the Accounts Chamber noted in its opinion for the country’s 2021 state budget, Trend reports.
According to the chamber, by early November 2020, investments in fixed assets amounted to 11.5 billion manat ($6.7 billion), which is 2.1 percent less than in the same period of 2019 in real terms.
The volume of investments in the oil industry, which showed a double decline in 2019, grew by 11.7 percent in 2020, but due to the lag in investment programs in other sectors, this did not affect the increase in total investment.
When considering the sources of financing, it becomes clear that the observed decrease in investment in fixed assets is recorded from internal sources. In contrast to domestic investment, which decreased by 8.9 percent year on year, foreign investment showed a positive trend by 25.8 percent growth over the year. However, due to the fact that domestic investment accounts for a 64 percent share in the total structure, an increase in total investment was not observed even with an increase in foreign investment.
As reported, investments in the public sector by early November 2020 made up 4.71 billion manat ($2.77 billion), accounting for 40.8 percent of total investments in fixed assets.
Earlier, at a meeting of the Azerbaijani parliament during the discussion of the state budget of Azerbaijan for 2021, the Chairman of the Accounts Chamber Vugar Gulmammadov said that the state budget of the country as the state which achieved victory in the 44-day (from late Sept. through Nov.2020) Second Karabakh war for liberating its occupied territories, takes into account all existing conditions for the year. Thus, the Accounts Chamber of Azerbaijan gave a positive opinion on the 2021 budget project.
(1 USD = 1.7 AZN on Jan.11)
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