Weekly economic review (Nov. 25-29)

Analysis Materials 4 December 2013 11:45 (UTC +04:00)

Minister: EU ensures over third of foreign investments in Azerbaijan's non-oil economy

At least 36.5 per cent of investments from foreign countries made in Azerbaijan's non-oil sector fall to the EU. The most active investors in Azerbaijan among the European countries are Great Britain, the Netherlands, Germany, France and Italy, Azerbaijani Minister of Economy and Industry Shahin Mustafayev said at the Eastern Partnership second business forum, held in Vilnius during the EU Eastern Partnership third summit.

"Investments were made in the Azerbaijani economy worth $156 billion," he said. "Around half of them fell to foreign investments and 65 per cent of all investments were directed to the non-oil sector.

During the past five years, the annual volume of foreign investments in the non-oil sector exceeds the annual volume of investments in the oil sector by an average of 17 per cent. Foreign investments in the non-oil sector exceeded investments in the oil sector by 25 per cent in 2012."

According to Mustafayev, Azerbaijan intends to increase the share of non-oil sector in the GDP up to 80 per cent by 2020.

"Then of course, the foreign investments will be used," Mustafayev said. "The chemical industry, agriculture, information technologies and tourism are the priority areas for investments in Azerbaijan."

According to Mustafayev, Azerbaijan signed the agreements on avoidance of double taxation with 20 EU countries and agreements on encouragement and mutual protection of investments with 17 EU countries. Work in this direction is underway.

"This will allow EU countries to increase investments in Azerbaijan's economy in the future and expand relations in the non-oil sector," the minister said.