Last week review (aug.27- sept. 1)

Analysis Materials 3 September 2012 11:06 (UTC +04:00)

Aug. 27

Azerbaijani Central Bank pleased with Deposit Insurance Fund's work

The Azerbaijani Central Bank (CBA) is pleased with the Azerbaijan Deposit Insurance Fund's work (ADIF) of providing the bankrupt RoyalBank depositors with compensation, CBA Director General Rashad Orujov said at the fifth annual meeting and workshop of the Eurasian Regional Committee (EARC) of the International Association of Deposit Insurance Fund in Baku. "ADIF recently started giving compensation for the first time in its history," he said. "This was good experience for the Fund and the Central Bank. ADIF managed to show itself as an effective institution. As the regulator of the banking market in the country, CBA is pleased with its work." ADIF started to pay out compensation to RoyalBank depositors through three agent banks since Aug. 1. The fund plans to pay about 16 million manat to pay compensation for the first time during its history, that is a third of its funds (currently the fund has 48 million manat). Orujov said that this experience will allow the fund to reveal the areas for further development and will enable the fund to share experience with similar organisations in other countries.

Germany interested in expanding cooperation with Azerbaijan

Rhineland-Palatinate is interested in developing economic cooperation with Azerbaijan, head of the Chamber of Commerce of the Rhineland-Palatinate Gareld Augter said at the 14th Azerbaijan-German business forum in Bak. He added this interest is connected with the fact that there are high rates of economic growth in Azerbaijan. The development of the Rhineland-Palatinate is highly dependent on exports. Bilateral trade between Germany and Azerbaijan reached $936 million in January-July, representative of the Azerbaijani Economic Development Ministry Huseyn Pashayev said at the business forum. Azerbaijan's total trade turnover for the period was $19.8 billion, of which 14.5 billion fell to exports and 5.3 billion - imports.

Japanese companies explore investment opportunities in Azerbaijan

Japanese companies explore investment opportunities in Azerbaijan, the Economic Development Ministry of Azerbaijan said on Monday. On Monday Baku hosted a meeting between the representatives of Azerbaijan Export and Investment Promotion Foundation (AZPROMO) and leading companies of Japan. The delegation headed by Kosugi President Saki Kosugi, included companies that are members of the Chamber of Commerce and Industry of Tokyo and which work in the field of food technology, industry and fish farming. "During the meeting, the guests were given information about the business and investment environment in the country, the policy of open doors for foreign investment," the statement said.

Aug. 28

Azerbaijan approves list of technical equipment for customs control

The Cabinet of Ministers has approved a list of technical means used by the customs authorities, and rules for their use, State Customs Committee said on Tuesday. The rules are approved by the decision of the Cabinet on August 27. The rules have been adopted to accelerate the examination of the goods that are to be carried out through customs control, efficiency of customs control, reducing the period of its implementation.

Bread price does not increase due to flour hikes in Azerbaijan

A slight increase in wheat flour prices was recently fixed during monitoring conducted by the State Service for Antimonopoly Policy and Consumer Protection. "The small increase in flour prices is connected with the recent rise in grain price on the world market," the ministry said. The monitoring showed no increase in bread prices in enterprises for their production and retail facilities. The service continues monitoring flour and bread prices.

Azerbaijan, South Korea sign economic cooperation agreement

Azerbaijan and South Korea have signed an agreement on economic cooperation. Azerbaijani Economic Development Minister Shahin Mustafayev has met with Ambassador Extraordinary and Plenipotentiary of Korea to Azerbaijan Lee Ji Ha, the Ministry of Economic Development told Trend on Tuesday. At the meeting, Mustafayev informed the ambassador about the economy of Azerbaijan, the reforms and progress, and stressed that the mutual visits of the two presidents, held meetings give impetus to the development of cooperation between the countries. The minister noted that trade and economic relations are expanding, trade turnover between the two countries in 2011, compared with the previous year, increased by 72.5 percent, and in January-July this year - by 25 percent. Mustafayev noted the development of relations between the two countries in other areas as well. Ambassador, in turn, stressed his country's interest in the economy of Azerbaijan and expressed confidence in further development of trade and economic relations between the two countries. Mustafayev and Lee Ji Ha signed an agreement "On economic cooperation between the governments of Azerbaijan and Korea."

Aug. 30

Azerbaijan's ICT Development Fund to start backing projects in 2013

The Azerbaijani Information and Communication Technologies Development Fund will start financing large projects starting in January 2013, Azerbaijani Minister of Communications and Information Technologies Ali Abbasov said during a meeting held at the ministry with a delegation of TeliaSonera. The minister said that in the near future the government of Azerbaijan is planning to provide companies involved in the ICT sector with special privileges in taxation and customs. Abbasov said earlier that the Ministry has prepared proposals to reduce customs duties on imports of parts for high-tech products into the country. The Fund will be financed from the state budget and all sectors of the population will benefit from these advantages. The Fund will also provide direct financial support to promising start-ups in science and technology. In international practice the participation of small innovative companies in the Fund's programmes allows them to bring the development of scientific ideas on to the creation of a sustainable business that is attractive to investors. Its primary aim is to conduct public policy development and support of small enterprises in the scientific and technical fields providing them with direct financial assistance and training which in turn, facilitates the creation of new jobs.

Foreign investors' interest in Azerbaijani regions growing

On Thursday Ganja hosted the third German-Azerbaijani business forum, the Ministry of Economic Development of Azerbaijan said. The forum was organised by the German-Azerbaijani Economic Union (DAWF) and Azerbaijan Export and Investment Promotion Foundation (AZPROMO). Along with officials from both sides the event was attended by representatives of more than 100 companies operating in the areas of agriculture and food industry, engineering, logistics, construction and others.

Aug. 31

Feasibility study of reconstruction of gas network of Baku and Absheron region presented

A presentation of feasibility study (FS) of the modernization and reconstruction of the gas network of Baku and Absheron region, prepared by experts of German company E.ON Ruhrgas was hold in the production association Azerigaz, SOCAR said. General Director of Azerigaz Akbar Hajiyev said the issue of modernization and reconstruction of the gas network of Baku and Absheron district occupies an important place in terms of the development of the republic's economy and socio-economic development of Absheron district. The presentation reflected the survey, the results of a feasibility study, as well as the levels defined for the project, which have been demonstrated through the slides.

Azerbaijani Ministry of Economic Development expanding coverage of its electronic services

Ministry of Economic Development will continue working to expand coverage of e-services to the population, head of the Ministry of Economic Development's Administration Samir Veliyev said. "Document circulation in the Ministry is electronized and corporate electronic signature is used. A modern communications infrastructure is created, advanced software is installed, all the necessary licenses for the system and server programs are acquired," Veliyev said. He noted that a special data center of servers is created to enable efficient and reliable operation of the electronic control system (ECS). The center is located at around the clock biometric automated control. It is electronic document circulation, covering the office and related processes, system of human resource management, financial and accounting system. Introduction of ECS has allowed to find a necessary document among thousands of archival documents in a short time, and lowered demand in the paper and other office products, improve efficiency," Veliyev said. According to him, the updated web page of the Ministry www.economy.gov.az is part of the ECS.