Investments in Azerbaijan's economy (January-August 2011)

Nearly 6.398.4bln manat was invested in the economy of Azerbaijan in January-August 2011, an increase of 21.4% from the figures of the same period of the last year.

Especially, in August 2011, 906.9 million manat was invested in Azerbaijan's economy, which is 39.4 percent more than investments in August 2010.

The main sources of investments in January-August 2011 are as follows: funds of enterprises and organizations - 3.099.2 billion manat (with an increase of 13.3 percent compared with January-August 2010); budgetary funds - 2.3543 billion manat (an increase of 31.7 percent), off-budgetary funds - 209.7 million manat (with a decrease of 29.4 percent), bank loans - 553.2 million (with an increase of 2.0 times) funds of population - 178.9 million manat (with an increase of 4.4 percent), other funds - 3.1 million manat (with a decrease of 22.9 percent).

According to the data provided by the State Statistics Committee, private enterprises and organizations invested 2.597.1 billion manat (40.6 percent of total investments) in Azerbaijan's economy and public enterprises and organizations - 3.801.3 billion manat (59.4 percent). Major share of governmental investments are directed at implementing transport and infrastructure projects.

In January-August 2011, investments in the oil sector accounted for 28.2 percent (1.804.2 billion) of all capital investments in the economy, in non-oil sector - 71.8 percent (4.594.2 billion manat).

The gross investments in the industry totaled 2.794.4 billion manat with an increase of 24.9%. About 577mln manat was invested in the processing industry (+2.3 times). During the reported period, the gross investments in the extractive sector composed 1.774.3bln manat, which is 9.8% more than investments in 2010. Generally, 43.7% of investments fell on the industrial sector.

Investments for repair and construction work made up 3.833.8 billion manat (59.9 percent of total investments in the construction sector). Investment for the construction of production facilities totaled 3.088.1 billion manat, while non-production facilities totaled 3.310.3 billion manat.

Of the total capital investments, 75.2 percent accounted for domestic investment. Most (70.7 percent) of domestic investments was made in the state-owned enterprises and entities, and only 29.3 percent - private enterprises. A total of 2.230.1 billion manat was invested in the construction of facilities financed by the state.

Investment indices in January-August 2011:

(Source: State Statistics Committee and calculations by Trend)

The total amount of foreign investments in Azerbaijan's economy hit 1.586 billion manat in January-August 2011, which is 42.4 percent more compared to the same of period of last year.

In January-August 2011, 89.9 percent (1.425.3 billion manat) of investments of foreign countries and the international organizations in the Azerbaijani economy accounted for investors from Great Britain, the U.S., Japan, France, Norway, Czech Republic, Korea, Turkey.

Great Britain continues to keep leading positions on the amount of investments in Azerbaijan. The country's share in amount of the foreign investments hit 51.6 percent. British investments hit 726.02 million manat.

Of the international financial institutions, the biggest amount of investments was allocated by WB in amount of 124.3 million manat with weight of 7.8 percent. WB projects cover different spheres of the country's economic life.