Azernews.Az

Transparency should be stepped up in doing business and competition boosted in Azerbaijan, the European Bank for Reconstruction and Development (EBRD) chief economist has said.
Presenting the bank's 2007 report, Erik Berglof said certain problems remain in the country in the area of entrepreneurial development, which he explained by monopolies in some sectors of the national economy.
The expert said Azerbaijan held a relatively favorable position among CIS states but stressed that economic transparency should be increased and prices liberalized.
Evaluating the process of transferring state-run businesses to private ownership, Berglof said: "The conduct of small-scale privatization is satisfactory to some extent although there is a need for major improvements. But a great deal of work remains to be done in the privatization of large enterprises and regulation of banking, in particular, in bolstering the oversight system in banks."
Berglof said Azerbaijan, which is flush with oil and gas resources, should launch economic planning now, which requires investments in the education field. Moreover, assistance should be provided to institutions driving the development of entrepreneurship.
The Economic Development Ministry says suitable conditions have been provided for entrepreneurial development in the country and the latest measures taken will advance this goal further. Among examples of the progress made government experts cited introduction of the "One window" system that aims to simplify business start-up and improve conditions for entrepreneurial activity, as well as the work done to facilitate the allocation of land plots to businessmen working in the construction sector. In addition to that, the Code on Competition to be endorsed soon will foster additional mechanisms to curtail monopolistic practices.