By Mirsaid Ibrahimzade
The International Monetary Fund (IMF) does not negotiate with the government of Azerbaijan over borrowing issues, Natalia Tamirisa, the head of the mission of IMF to Azerbaijan, has told local media.
She emphasized that IMF has not provided loans to Azerbaijan since 2005 and Azerbaijan did not apply for financial assistance from the IMF and does not need such assistance.
A statement of IMF staff team that conveys preliminary findings after a visit to the country, recommended the government of Azerbaijan to deepen and expand structural reforms aimed at increasing the role of the private sector and improving governance and transparency.
Tamirisa stressed that the main goal of the IMF delegation’s visit to Azerbaijan in June 2019 was consultation on Article IV of the fund's Charter. She noted that such consultations are part of the fund’s policy dialogue with member countries.
The statement of IMF staff team noted that GDP growth in Azerbaijan in 2019 is forecast at 2.7 percent, and in 2020 - 2.1 percent. At the same time, the growth of the non-oil sector in 2019 and 2020 will be at 2.8 and 2.7 percent, respectively. The growth of oil GDP for 2019 is prognosticated to be 2.5 percent, and in 2020 - 1.2 percent.
Tamirisa said that within Article IV consultation, the mission of the fund assesses economic development, discusses the economic and financial situation in the country and prepares an economic review.
She pointed out that the mission meets with partners, including the country's leadership, business representatives and other interested parties and the major topics of discussion cover economic reviews and risks, fiscal and monetary policies, problems in the financial sector and structural reforms.
Earlier, after the mission’s visit to Azerbaijan, Natalia Tamirisa said that transitioning to inflation targeting would help to absorb shocks and encourage better risk management.
Azerbaijan joined the Fund on September 18, 1992. The IMF's primary purpose is to ensure the stability of the international monetary system - the system of exchange rates and international payments that enables countries and their citizens to transact with each other.
Mirsaid Ibrahimzade is AzerNews’ staff journalist, follow him on Twitter: @MirsaidIbrahim1
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