BAKU, Azerbaijan, October 19. Azerbaijan has announced a mid-term budget for 2024–2027, Trend reports.
According to the Ministry of Finance of Azerbaijan, the document has been prepared in accordance with Resolution No. 119 of the Cabinet of Ministers of Azerbaijan dated January 30, 2023 "On preparation of the draft state budget of the Republic of Azerbaijan for 2024", as well as the concept of economic and social development of Azerbaijan and medium-term forecast indicators.
One of the key strategic aims of the medium-term budget for 2024-2027 is to achieve steady and high economic growth. In the longer term, economic growth is expected to be molded by entirely new qualitative elements, which will accelerate growth rates, expand employment, and further reinforce economic stability, particularly in priority areas.
Thus, as compared to 2021, it is planned to increase non-oil and gas exports by 85 percent in 2026, grow Azerbaijan's economy by an average of 3-4 percent annually, increase non-oil and gas GDP by an average of 5 percent annually, increase the share of the private sector in the economy to 88 percent, increase foreign direct investment in the non-oil sector by 10-15 percent annually, and maintain annual inflation within 4±2 percent.
According to the strategy, agricultural performance will grow at an average annual rate of 4 percent between 2022 and 2026. The average annual growth rate in the transportation sector will exceed 5 percent. Azerbaijan's revenue from transit freight transportation will double from 227 million manat ($133.5 million) in 2019 to 450 million manat ($264.7 million).
The non-oil and gas industry will grow at an average annual rate of 8.3 percent. Industrial zones will have a 15 percent share of non-oil industry production, and their share of non-oil industry exports will be 25 percent. The information and communication sector will have an average annual growth rate of more than 10 percent, and the construction sector will have an average annual growth rate of about 3 percent. The value added to be generated by the tourism and catering sectors will increase by 1.5 times in 2026 compared to 2019.
According to the order of the President of the Republic of Azerbaijan No. 2469 dated February 2, 2021, the following five national priorities of the policy of socio-economic development of the country until 2030 are defined: a sustainable, growing competitive economy; a society based on dynamic, inclusive, and social justice; competitive human capital and space for modern innovations; a great return to liberated territories; a clean environment; and a country of "green growth".