Last week’s laws, orders and decrees in Azerbaijan (March 14-18)
Azerbaijani parliament passes bill on special funding of investment projects
The Azerbaijani parliament passed the bill "On implementation of investment projects in connection with the construction and infrastructure facilities on the basis of special funding" in the second and third readings at a plenary meeting.
In accordance with the Boot-Operate-Transfer (BOT) model provided by the law, investment costs will be reimbursed to investors through purchasing their products by authority or consumers. However, if such form of payment is wholly or party impossible, the investor will be paid financial aid. Validity of a contract concluded within the framework of BOT model cannot exceed 49 years.
Total number of licenses and permits reduced in Azerbaijan
The Azerbaijani parliament passed the bill "On Licenses and Permits" in the third reading at a plenary session. Ziyad Samadzade, Azerbaijani MP, chairman of the parliamentary committee on economic policy, entrepreneurship and industry, said that the previous version of the bill envisaged the issuance of licenses in 32 areas. "Taking into account that the House of Supervision over Financial Markets has been charged with regulating the banking and insurance sectors, as well as the securities market, we reduced the number of licensed areas up to 23 following the discussions held in the presidential administration," he said. Samadzade added that the initial version of the document envisaged the issuance of more than 300 permits, but now their number decreased up to 80.
Free trade zone to be created in Baku
Azerbaijan's President Ilham Aliyev signed a decree on measures to create a free trade zone type special economic area in the Alat township of Baku's Garadagh district.
The zone will also include the territory of the new Baku International Sea Trade Port.
The decree has been signed in order to ensure the sustainable economic development, increase the competitiveness, strengthen Azerbaijan's position as a logistics and transport center and to create a multi-vector transport infrastructure in the country.
Azerbaijan bans beer wholesale for cash
Beer wholesale for cash has been banned in Azerbaijan, according to the amendments to the Criminal Code of the country made at the plenary session of the Milli Majlis (the country's parliament). In accordance with the amendments, along with the tobacco, the wholesale price of the beer will be paid only through bank or through payment cards.
Central Bank approves new rules for currency transfer to and from Azerbaijan
Legal entities and individuals, who are residents and non-residents of Azerbaijan, can now take currency out of the country at an amount exceeding $50,000 only via transfers through banks or postal operator. This is stipulated in the regulations for residents' and non-residents' bringing in and taking out foreign currency, approved by Azerbaijan's Central Bank. Under the rules, the legal entities and individuals, who are residents and non-residents of Azerbaijan, may bring in currency in an unlimited quantity abiding by customs procedures. While transferring the foreign currency in an amount up to $10,000 from Azerbaijan, legal entities and individuals, who are residents and non-residents, must verbally declare the amount of the transferred currency at the customs bodies.
If the transferred foreign currency ranges from $10,000 to $50,000, the non-residents and residents must present a document confirming the amount's transfer in cash to Azerbaijan's territory, as well as a filled out declaration. In other cases, the foreign currency can also be transferred only through banks or the postal operator.
Azerbaijan's president approves amendments to SOFAZ budget
Azerbaijan's President Ilham Aliyev has signed a decree to make amendments to the 2016 budget of the State Oil Fund of Azerbaijan (SOFAZ). Under the amendments, SOFAZ revenues and expenditures for 2016 were set at 4,578,474,600 manats and 10,668,933,700 manats, respectively. Revenues from the sale of Azerbaijan's profit oil and gas are forecasted at 3,875,682,400 manats, and the revenues from oil and gas transit through Azerbaijan's territory at 19.278 million manats.