Global crunch to open up new prospects for Azerbaijan - WB exec
The world economic crisis has not had an impact on
Azerbaijan the way it affected other countries, and the South
Caucasus republic is weathering the downturn with lesser loss, a
World Bank executive says.
The World Bank (WB) Regional Vice President Shigeo Katsu, who is on a three-day visit to Baku, said the crisis could even create new opportunities for Azerbaijan. "Thus, it could boost non-oil sector development, open jobs, and improve the business climate, competitiveness and financial management of the state."
The WB Director for the South Caucasus, Donna Dowsett-Coirolo, who completed her mission a few days ago, had also stressed the importance of developing the country`s non-oil sector.
But some analysts in Azerbaijan are less optimistic. Economist Natig Jafarli argued that although boosting non-oil sector growth has been on target for many years, the oil sector`s share in both state budget and the country`s exports has been on the rise. "This shows that, so far, tangible work has not been done to boost non-oil sector development."
Last week the European Bank for Reconstruction and Development (EBRD) cut its 2009 growth forecast for Azerbaijan to 8 percent from 15 percent, still the second best performer in the ex-communist region the bank covers, after Turkmenistan. The EBRD said, however, that the economy of the Central Asian state will also slow down and decrease to 10 percent from 12 percent.
The bank put Russia`s growth at 1 percent, while that of Turkey - at 3%. Slower growth is due to the global downturn.
The World Bank (WB) Regional Vice President Shigeo Katsu, who is on a three-day visit to Baku, said the crisis could even create new opportunities for Azerbaijan. "Thus, it could boost non-oil sector development, open jobs, and improve the business climate, competitiveness and financial management of the state."
The WB Director for the South Caucasus, Donna Dowsett-Coirolo, who completed her mission a few days ago, had also stressed the importance of developing the country`s non-oil sector.
But some analysts in Azerbaijan are less optimistic. Economist Natig Jafarli argued that although boosting non-oil sector growth has been on target for many years, the oil sector`s share in both state budget and the country`s exports has been on the rise. "This shows that, so far, tangible work has not been done to boost non-oil sector development."
Last week the European Bank for Reconstruction and Development (EBRD) cut its 2009 growth forecast for Azerbaijan to 8 percent from 15 percent, still the second best performer in the ex-communist region the bank covers, after Turkmenistan. The EBRD said, however, that the economy of the Central Asian state will also slow down and decrease to 10 percent from 12 percent.
The bank put Russia`s growth at 1 percent, while that of Turkey - at 3%. Slower growth is due to the global downturn.
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