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Business licensing reforms continue

25 December 2015 17:54 (UTC+04:00)
Business licensing reforms continue

By Nigar Orujova

The government of Azerbaijan continues its activities for developing the entrepreneurship with canceling more than 20 types of licenses as a next step.

A recent presidential decree has canceled 22 types of licenses, narrowing a list of the licenses required for doing business in Azerbaijan to 37, according to the Economy and Industry Ministry.

The conditions for granting licenses were also simplified. Those, who own licenses effective until signing of the decree on December 21, will be issued perpetual licenses. Owners of valid licenses will be able to receive perpetual licenses based on their appeals.

Furthermore, the fee for a license has been cut in half and the period for issuing licenses was reduced from 15 to 10 working days.

Earlier in October, the president issued a decree on simplifying licensing procedures for entrepreneurship and encouraging business transparency. Moreover, the number of inspections among entrepreneurs was also reduced for two years.

The decree also envisages rendering services for issuing business licenses by ASAN service, which has already shown itself as the easiest way to acquire documents in Azerbaijan. The service successfully serves its primary aim – fighting corruption and bribery.

Economy expert Ogtay Hagverdiyev told AzerNews that this activity is aimed to develop small and medium business. “These reforms create liberal conditions for development of entrepreneurship.”

However, the expert believes the business first needs to get rid of corruption and monopoly, saying that this would be the most efficient action.

“Registration is not the main point, of course in many countries registration is possible within an hour, while in Azerbaijan it might take to half of a year earlier,” he said.

So far, more than 19,000 licenses have been canceled, which makes about 75 percent of the licensed activities, and 25 percent of the licenses become perpetual.

No license is required for activities in such areas as alcoholic beverages and tobacco products, passenger and cargo transportation by automobile, precious metals and stones, hotels and hotel-type facilities, sale of petroleum products, etc.

Moreover, changes to the Tax Code will simplify the tax system in construction, trade and catering starting from 2016.

At a time when the oil prices lowering on the world market and the country’s national currency devaluated twice a year, the development of industry and business is not a need, but indispensable activity, experts say.

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Nigar Orujova is AzerNews’s staff journalist, follow her on Twitter: @o_nigar

Follow us on Twitter @AzerNewsAz

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