By Ayya Lmahamad
Azerbaijan has provided local entrepreneurs support package in the amount of up to AZN 1 billion ($588.2M) during COVID-19 pandemic, Economy Minister Mikayil Jabbarov has said.
Addressing an international scientific conference on economy and management, Jabbarov said that entrepreneurs engaged in informal activities are gradually shifting to formal ones.
“It is quite natural that transfers from the private sector prevail in a number of funds established over the past two years. This is another indicator of Azerbaijan’s business environment development,” he said.
Furthermore, the minister stated that the formation of a sustainable economy in all countries passes through the formation of qualified personnel.
Jabbarov underlined that Azerbaijan faces the task of ensuring economic growth and developing a favorable environment between the state and entrepreneurs.
Earlier, the minister noted that the elimination of the consequences of COVID-19, restoration of economic activity and business would be the country’s main priorities in 2021.
It should be noted that Azerbaijan allocated over AZN 1.9 billion ($1.1bn) from its state budget to fight the coronavirus pandemic in 2020. Some AZN 1.3 billion ($764.7M) of these funds was used to reduce the pandemic’s negative impact on the country’s economy, macroeconomic stability, employment and entrepreneurship.
The measures to mitigate the pandemic in 2020 included financial support to protect jobs, introduction of periodic tax breaks, provision of soft loans and others. To this end, business entities in Azerbaijan received financial support in the amount of over AZN 358 million ($210.5M), a package of tax incentives worth AZN 115 million ($67.6M), state-guaranteed loans of AZN 169 million ($99.4M) and AZN 33 million ($19.4M) in the form of interest subsidies on existing loans.
Additionally, the State Tax Service provided financial support worth AZN 246 million ($144.7M) to employees in the country’s regions affected by the coronavirus pandemic. Financial support to micro-entrepreneurs during the COVID-19 pandemic amounted to AZN 112.2 million ($65.9M).
Ayya Lmahamad is AzerNews’ staff journalist, follow her on Twitter: @AyyaLmahamad
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