Weekly economic review (Jan. 18-22)

The future of Azerbaijan's economy: outlook from President Aliyev

The official website of the World Economic Forum has published an article by President of the Republic of Azerbaijan Ilham Aliyev headlined "The future of Azerbaijan's economy".

Regardless of the ongoing deep economic and financial crisis in the world, Azerbaijan is doing its best to protect its economy against the negative repercussions.

Azerbaijan is a tolerant state which successfully continues its dynamic development, including in the economic sphere. Despite the recent sharp fall in the oil prices, the country's economy is maintaining its growth rate.

Over the past 10 years, Azerbaijan's economy has grown by 300%. Poverty and unemployment have been sharply diminished, with measures of both now standing at 5%. In 2015, the non-oil industry grew by 8.4%.

To maintain economic development is a great achievement while the political, military and financial crisis is deepening in the world. Oil prices dropped threefold in 2015. For this reason, our revenues have fallen sharply, including naturally budget revenues and budget expenditures. We managed to largely save budget expenditures in 2015. Unfortunately, the ongoing challenges in the world don't give grounds for optimism for 2016.

In the current circumstances, the government's main objective is to ensure macroeconomic stability and the normal rate of inflation. At the end of 2015, inflation was less than 4 per cent. We need to try to keep it at the lowest level through 2016, too.

In recent years, we have attached great importance to local production, allocating funds to both public and private sectors. An important role will belong to the factors related to economic reforms, which will continue to improve the business environment in the country, eliminate unnecessary inspections and improve the licensing situation. We continue to ensure the transparency of the economic and financial sector in Azerbaijan. Indeed, the World Economic Forum has again ranked Azerbaijan at 40th in the world for competitiveness, and first in the CIS (Commonwealth of Independent States) region.

The non-oil sector, of course, is the driving sphere of our economic development. Azerbaijan's economy is already diversified, with the non-oil sector accounting for about 70% of the gross domestic product. Our aim is to rapidly develop the non-oil sector in the coming years.

The rich oil and gas reserves of Azerbaijan and purposeful policy have created opportunities for doing huge amount of works in the energy sphere as well. The initiatives and projects put forward by Azerbaijan have gone beyond the borders of our region and now connect the countries and continents.

If we look through the energy security issue, it is clearly seen that Azerbaijan already plays an important role in the energy security of Europe. From this standpoint, the start of the implementation of the "Southern gas corridor" project has been a historic event.

"Southern gas corridor" consists of 4 projects. First is the exploitation of the "Shahdeniz-2" phase. The reserves in the Shahdeniz field exceed 1 trillion cubic meters of gas. In general, Azerbaijan's proven gas reserves together with the other gas reserves of the country amount to 2.6 trillion cubic meters. The second project is the expansion of the "South Caucasus gas pipeline" which connects Azerbaijan with Georgia.

The third project is the "Trans-Anatolian gas pipeline" (TANAP). According to this project signed by Azerbaijan and Turkey in 2012, the gas pipeline will extend from Turkey-Georgia border till Turkey-Greece border. The fourth project is the "Trans-Adriatic pipeline" (TAP). The pipeline will extend from Greece to Albania and coming to Italy beneath the Adriatic Sea. All these 4 projects are the parts of the "Southern gas corridor". Azerbaijan is an important shareholder in these 4 projects and the major shareholder in the TANAP project. As a result of the implementation of the "Southern gas corridor", a number of countries will gain access to the Azerbaijani gas as an alternative gas reserve.

Georgia, Turkey, Greece, Bulgaria, Albania and Italy are among the participants of the "Southern gas corridor" project. At the same time, memorandums of understanding have been signed with Montenegro, Bosnia and Herzegovina and Croatia that also want to join this project. So Azerbaijan becomes a very important and reliable partner for providing the energy security of Europe.

The development of transport infrastructure is also one of our priorities. Today we are restoring the historical Silk Way with the application of modern technologies and the participation of neighboring countries. At present, the Baku-Tbilisi-Kars railway - running from Azerbaijan through Georgia and into Turkey - is under construction and will for the first time connect Azerbaijan with Europe by train. This is of historical significance.

At the same time, several international airports have been built in Azerbaijan, while an international sea trade port is under construction that will be the biggest trade port in the Caspian basin.

Like in transport infrastructure, special importance is attached to the application of modern technologies in various spheres. Azerbaijan has joined the global aerospace family by launching its satellites - "Azerspace-1" and "Azersky" into orbit. We are building e-government tools to ensure modern management and increase of transparency.

Electronic services are provided by public authorities to the population, through "ASAN service" centres. Nine "ASAN Service" centres now function in our Republic. They provide 112 services in 30 fields by state entities and 140 functional auxiliary services. Two new centers are now under construction. 10 mobile buses serve citizens in different regions of the country. It has now been two years since we first launched this service, and during this time, 7 million people have used the services of ASAN and population's satisfaction coefficient is nearly 100%. Some countries have started using our experience in this field.

Social infrastructure projects are also being implemented successfully in our country. A number of schools, kindergartens and medical facilities have been constructed or completely repaired in recent years.

We're paying special attention to the development of tourism sector in Azerbaijan. Modern tourist and recreation facilities, hotel complexes have been built in the regions of our country, as well as in the capital Baku. The world's most famous five star hotel brands have come to Azerbaijan during the last several years. All leading hotels of the world are now operating in Baku. The development of tourism once again approves the special weight of this field in non-oil sector.

It's worth mentioning that Azerbaijan is known as one of the centers of multiculturalism in the world, and our nation is proud of this.

Subscribe to Trend in Google News! Subscribe
Azerbaijan, Iran discuss prospects for development of military cooperation (PHOTO)
Azerbaijan, Iran discuss prospects for development of military cooperation (PHOTO)
Azerbaijan Defense Minister meets with Chief of General Staff of Armed Forces of Iran (PHOTO)
Azerbaijan Defense Minister meets with Chief of General Staff of Armed Forces of Iran (PHOTO)
Foundation stone laid for monument to Uzeyir Hajibeyov in St. Petersburg
Foundation stone laid for monument to Uzeyir Hajibeyov in St. Petersburg
Loading Bars
Latest
Americans need to lift sanctions before call for direct talks
Over 10 mln children in U.S. infected with COVID-19
Number of COVID-19 cases worldwide exceeds 350 mln
Qatar's emir to visit Washington on Jan. 31
Airbus to create own airline to rent out whale plane
Closure of Istanbul Airport extended
White House says Biden is open to engaging with Putin but no talks are planned
Kazakhstan unveils foreign trade structure with EAEU countries for 11M2021
Israel's president says to make "historic visit" to UAE
Uzbekistan sets up government commission to study major power outage
IMF downgrades 2022 global growth forecast to 4.4 pct amid Omicron surge
Turkey starts giving Turkovac as booster shot to BioNTech recipients
Azerbaijan, Iran discuss prospects for development of military cooperation (PHOTO)
Azerbaijan Defense Minister meets with Chief of General Staff of Armed Forces of Iran (PHOTO)
Pfizer, BioNTech start clinical trial of Omicron-specific COVID-19 vaccine
Number of infections with Omicron COVID-19 strain keeps growing in Azerbaijan
Azerbaijan's servicemen honor memory of martyrs in Dashalty village of liberated Shusha - Trend TV (PHOTO/VIDEO)
Embassy of India in Baku celebrates National Tourism Day as part of 73rd Republic Day of India and 75 years of India’s Independence (PHOTO)
Bridge construction over Astarachay River to be funded by Iran and Azerbaijan - Iranian minister
Iran's foreign trade increases
New bridge construction over Astarachay River to promote freight traffic growth
Hopefully, number of Azerbaijani tourists to India increases - ambassador (PHOTO)
Central Bank of Azerbaijan, SOFAZ hold foreign currency auction
Natural gas, coal prices to remain high in coming months
Foundation stone laid for monument to Uzeyir Hajibeyov in St. Petersburg
Turkmenistan boosts trade with Kazakhstan over 11M2021
Tajikistan ratifies railway transport agreement with Turkmenistan
Price indexes of financial, industrial sectors at Uzbek stock exchange rise
Russia’s Kamaz-Leasing company opens representative office in Azerbaijan
Supply of electricity all across Kazakhstan completely resumed - gov't
Azerbaijan's Azer Turk Bank discloses volume of public deposits for 2021
Azerbaijani commandos hold training exercises (PHOTO/VIDEO)
Uzbekistan sees increase in volume of cotton fiber produced
Azerbaijan shares data on number of vaccinated citizens
Azerbaijan's Alat port receives first container train from Uzbekistan
Iran's minister of industry confirms low quality of domestic cars
Azerbaijan confirms 2,468 more COVID-19 cases, 5,197 recoveries
Foundation of new road bridge across Astarachay River laid between Iran and Azerbaijan (PHOTO)
Big rise in prices negatively affects Kazakh economy - National Bank
World Bank Lauds India's Covid Vaccination efforts but says reaching next billion 'could be challenging'
Azerbaijan names vaccines delivered under COVAX initiative in 2021
Azerbaijan's Central Bank to auction its short-term notes
Uzbekistan restores electricity supply in number of its regions
Missing World War II aircraft found in India after 77 years
Iran approves creation of national cryptocurrency
Navy holds high level meeting on creation of Maritime Theatre Command
Azerbaijan's Azer Turk Bank announces net profit for 2021
Food-processing enterprises may be built on Azerbaijan's liberated lands - deputy minister
Turkey records increase in export of ready-made clothing to Azerbaijan
Turkey’s export of steel to Azerbaijan up
Azerbaijan sees rise in domestic money supply for 2021
India Inc proposes additional 1% CSR levy for booster shots
Azerbaijan to get another batch of Sputnik V vaccine against COVID-19 in 2022
Women interested in creating business on Azerbaijani liberated lands - agency
Construction costs in Georgia's Tbilisi increase
Azerbaijan, WB discuss ways to use wind energy potential of Caspian Sea (PHOTO)
Turkmengaz opens tender to buy plant equipment
Azerbaijan Children Hotline released its report for 2021 (PHOTO)
European Commission to support agriculture reform, transition to green economy in Uzbekistan
President of Azerbaijan Ilham Aliyev calls President of Ukraine
SOCAR Turkey talks on integration of innovation solutions at STAR Refinery
Pfizer and BioNTech launch trial of Omicron-targeted COVID vaccine
French Lagazetteaz.fr online newspaper renews interface (PHOTO)
Timing of Azerbaijan-Iran intergovernmental commission's next meeting revealed
Demarcation of Armenia-Azerbaijan border to make sure no armed incidents happen - ex-CSTO Sec-Gen
Head of Development Bank of Kazakhstan dismissed
All Baku-Istanbul and Istanbul-Baku flights of AZAL postponed
J&J expects up to $3.5 bln in COVID vaccine sales this year
Iran to contribute to reconstruction of liberated territories of Azerbaijan - Iranian minister
SOCAR AQS, Iraq's IDC mull opportunities for co-op in drilling
Azerbaijan names timeframe of commissioning new bridge on border with Iran
Iran aiming to boost exports of fish products to South East Asian countries
I do hope that post-war period will open new opportunities for whole region - President Ilham Aliyev
Iranian company may become resident of industrial park in Azerbaijan - deputy PM
Abu Dhabi's Chimera closes second venture capital fund at $10 bln
Confident that Iranian companies will begin to work actively in liberated lands in near future - President Ilham Aliyev
Positive trend noted in enhancement of tax administration in Azerbaijan – minister
Georgia's giant auto dealer expanding South-West, opens branches in Ukraine, UAE
Istanbul's third airport suspends its work until January 26 - Turkish Airlines
Azerbaijan Army’s Engineering Troops continue activities on clearing roads of snow - MoD (VIDEO)
Turkmen tomatoes gaining share in foreign markets
Russia records over 67,800 COVID-19 cases in last 24 hours
Azerbaijan completing work on first "smart village" in Zangilan district
Azerbaijan, Iran may simplify border crossing procedure - minister
Azerbaijan talks results of flour, bread price monitorings
Azerbaijan, Iran sign protocol on construction of new bridge over Astarachay River (PHOTO)
New bridge over Astrachay River on Azerbaijan-Iran border to be built
‘Nar’ takes the title of Azerbaijan champion (PHOTO)
SOCAR Turkey names new target markets for Petkim’s products
Turkey reports rise in leather exports to Azerbaijan for 2021
SOCAR Turkey working on improving STAR-Petkim integration
Kazakhstan Electricity Grid Operating Company turns on all "North-East-South of Kazakhstan" transmission lines
Uzbekistan resumes operation of its airports
Karabakh to become most beautiful region of Azerbaijan soon – deputy PM
President Ilham Aliyev presents Istiglal Order to Chairperson of Organization of Veterans of War, Labor and Armed Forces of Azerbaijan (PHOTO/VIDEO)
Uzbekistan begins to restore electricity supply following power outages
Turkmen agriculture ministry opens tender for supplier selection
Turkey's chemical exports to Azerbaijan increase in 2021
President of Azerbaijan Ilham Aliyev holds videoconference meeting with Iranian minister (PHOTO/VIDEO)
Azerbaijani oil prices decline
All news