IMF announces its forecasts for 2020-2021 Azerbaijan's economy

15 April 2020 15:30 (UTC+04:00)

By Akbar Mammadov

Amid the spread of the coronavirus COVID-19, the International Monetary Fund (IMF) predicts a recession in Azerbaijan’s economy in 2020 at 2.2 percent, according to the World Economic Outlook published by the fund in April.

It should be noted that Azerbaijan's GDP growth in 2019 amounted to 2.2 percent. Similar to this figure, in October 2019, the IMF forecasted a growth of 2.1 percent in Azerbaijan's GDP.

According to the Fund’s estimates, in 2021 Azerbaijan’s GDP will grow by 0.7 percent.

According to IMF forecasts, inflation in Azerbaijan in 2020 will amount to 3.3 percent per year, in 2021 - it will slow down to 3.2 percent.

In October last year, the IMF forecast inflation for 2020 at 3 percent.

In 2020, the IMF forecasts a deficit in the balance of payments of Azerbaijan at 8.2 percent of GDP (October forecast - a surplus of 10 percent of GDP), in 2021 - the deficit will decrease to 3.7 percent of GDP.

The unemployment rate in Azerbaijan in 2020-2021 will remain at 5 percent.

The Azerbaijani government predicts a GDP growth of 3 percent for 2020.

At the same time, the government has not yet published a new forecast for the rate of GDP, taking into account the coronavirus pandemic and the cheapening of oil.

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Akbar Mammadov  is AzerNews’ staff journalist, follow him on Twitter: @AkbarMammadov97

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