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Azerbaijan’s Parliament discussed different issues at its next plenary meeting on December 1. The MPs considered amendments to the Law "On State Debt", the Tax Code and the Migration Code.

The free balance of the unrealized gain of the Central Bank of Azerbaijan (CBA) has been included in the State Debt Guarantee Fund to secure debts received under the state guarantee, according to the amendments to the Law on State Debt.

At present, the assets in the fund are accumulated through funds allocated from the state budget; a one-time uncompensated fee, received from the main borrower to provide a state guarantee; revenues to the state budget on re-agreements concluded between legal entities – principal and repetitive borrowers and the relevant executive authority, and contracts concluded with intermediary banks (agents) in connection with the use of loans; part of the costs saved during the year, and envisaged in the state budget in connection with servicing the public debt and others; income from the management of funds received by the State Debt Guarantee Fund; other sources not prohibited by Azerbaijan’s legislation.

The changes to the Law "On State Debt" have been prepared in connection with the changes introduced in the Law "On the Central Bank of Azerbaijan".

As of July 1, 2017, the volume of Azerbaijan’s foreign public debt amounted to $7.17 billion, which accounts for 18.9 percent of the country’s GDP.

Azerbaijan’s trade representatives and employees of their offices in foreign countries have been exempt from income taxes, according to the amendments to the Tax Code of Azerbaijan.

President Ilham Aliyev decreed on January 26, 2017 to appoint trade representatives of Azerbaijan in the country’s embassies and consulates abroad.

Under the decree, the country’s economy minister will appoint trade representatives in the Azerbaijani embassies and consulates abroad to facilitate business ties and increase the effectiveness of export promotion measures, represent and fully protect the trade and economic interests of the country and exporters in foreign countries, and expand the delivery of national products to foreign markets.

The trade representatives will also take measures to protect economic interests, increase exports of goods and services of Azerbaijan, promote the business and investment opportunities in the country.

To date, Azerbaijan’s trade representatives have been appointed in Russia, China and the UAE.

Moreover, the procedure for registering foreigners is simplified in Azerbaijan, in accordance with the amendments to the Migration Code.

The corresponding changes were made to Article 21 of the Migration Code. In case if a foreigner or stateless person resides in another apartment belonging to the owner of the apartment (living space) where the foreigner is registered, no need to re-register at the place of residence.

The Parliament has also approved an agreement on establishment of the Central Asia Regional Economic Cooperation (CAREC) Institute.

The CAREC program established in 1997 is a partnership of 10 countries - Azerbaijan, Afghanistan, China, Kazakhstan, Kyrgyzstan, Mongolia, Pakistan, Tajikistan, Turkmenistan, Uzbekistan - and six multilateral institutions - ADB, European Bank for Reconstruction and Development, International Monetary Fund, Islamic Development Bank, UN Development Program and World Bank.

After joining CAREC in 2002, Azerbaijan has invested around $3 billion in the program projects.

Azerbaijan has allocated around $6 billion for development of the transport corridor within CAREC. The East-West Highway reconstruction by Azerbaijan within the CAREC program has transformed the country into a more effective corridor between Caspian and Black seas, and this contributed to promotion of trade between Europe and Asia.

Further, the Parliament adopted the draft budget of the country’s unemployment insurance fund for 2018.

The fund’s revenues and expenditures for the next year are approved at 89.04 million manats ($52.37 million), according to the draft budget.

It is planned to allocate 35,802 million manats ($21.06 millon) for organization of events for self-employment, 33,478 million manats ($19.69 million) - for unemployment insurance benefits, 13,709 million manats ($8.06 million) - expenses for maintaining administration of the employment service and its local bodies, 1,788 million manats ($1.05 million) - paid public work, 1,613 million manats ($948,700) - professional training and additional education, 1.38 million manats ($811,700) - co-financing (together with an insurer) of a part of salary of those insured for a certain period, 1.15 million manats ($676,400) –career counseling, 120,000 manats ($70,500) - labor fairs and stock exchanges of the total volume of the fund’s expenditures.

The fund’s revenues are formed on the basis of insurance payments from budget organizations and their employees (17,726 million manats ($10.43 million)), insurance payments of other insurers (53.567 million manats ($31.51 million)) and other incomes (20,000 manats ($11,700)).

The law "On compulsory insurance against unemployment" will come into force in Azerbaijan starting from January 1, 2018.

Addressing the session, the country’s Finance Minister Samir Sharifov stressed that Azerbaijan is increasing expenditures of the state budget for 2018.

Besides, was adopted the law "On living wage for 2018", according to which the living wage is projected in the amount of 173 manats ($101) in Azerbaijan for 2018, which is 11.6 percent more than in 2017.

The amount will reach 183 manats ($107) for the working age population, 144 manats ($84) for pensioners, and 154 manats ($90) for children.

This year, the living wage is 155 manats ($91), namely, 164.5 manats ($96) for the working age population, 130.2 manats ($76) for pensioners, and 136.6 manats for children ($80).

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