Azerbaijan invites ADB to get stake in local companies

By Azernews

By Nigar Abbasova

Azerbaijan and the Asian Development Bank are keen to work on the expansion of cooperation and realization of more projects in mutually interesting areas.  

Economy Minister Shahin Mustafayev said that the Bank may act as a shareholder in Azerbaijani companies, underlining that the country attaches great importance to cooperation with the Bank, which provides financial support in the implementation of a number of projects in the country.

Mustafayev made the remarks while addressing a meeting with ADB Vice President Wencai Zhang, who is responsible for operations in the ADB South Asia Department and the Central and West Asia Department.

He went on saying that the financial institution has so far allocated $2.8 billion for various projects in Azerbaijan. The country, in turn, takes an active part in the ADB Central Asia Regional Economic Cooperation (CAREC) Program.

The minister underlined that Baku’s holding of CAREC ministerial conferences in 2008 and in 2011, as well as the 48th Annual Meeting of the ADB Board of Governors in 2015 is an indicator of successful cooperation.

Being a partnership of 11 countries and supported by six multilateral institutions CAREC promotes development through cooperation, leading to accelerated growth and poverty reduction.

Mustafayev also spoke about the large-scale energy and infrastructure projects being implemented in Azerbaijan, including construction of the Baku Sea Port, the International North-South Transport Corridor and the work to create a Free Trade Zone (FTZ).

The minister noted that cooperation with the Bank  in the implementation of infrastructure projects can be extended, mentioning an opportunity to implement joint projects in the FTA and industrial parks.

The third visit of Zhang to Azerbaijan was aimed at getting the latest update of economic situation in the country and discussing how ADB can provide more effective support to address current development challenges.

The business plan of the Bank for 2017-2019 is expected to be approved in the next few weeks, while rendering assistance in implementing the structural reforms will be one of the directions of the bank’s new three-year plan on Azerbaijan.

ADB’s core ongoing operations in Azerbaijan include support for transport, energy, urban infrastructure, and the private sector, as well as technical assistance and program in various areas, including knowledge sharing of best international practices on finance, education, governance and economic development. Moreover, ADB is currently seeking new potential areas for cooperation with Azerbaijan, including vocational education, urban governance and development of alternative energy sources.

ADB, based in Manila, was established in 1966 and has 67 members. Azerbaijan became the organization’s member on December 22, 1999. The country has 0.5 percent share in the bank’s capital. Since joining ADB in 1999, Azerbaijan has received grants and loans amounting to $2.8 billion.