Azerbaijan keeps GDP high amid measures to curtail impact of COVID-19

By Azernews

By Ayya Lmahamad

Azerbaijan’s GDP increased by 0.8 percent and value-added in the non-oil and gas sector was up by 4.5 percent in January-May 2021 as a result of measures taken to mitigate the impact of COVID-19, Economy Minister Mikayil Jabbarov has said.

Addressing the 30th Annual Meeting of the European Bank for Reconstruction and Development (EBRD) on July 1, Jabbarov spoke about the large-scale support measures taken to reduce the impact of COVID-19 on Azerbaijan’s economy.

Furthermore, the minister said that the goals of EBRD’s Strategic and Capital Framework 2021-2025 are in line with the goals set for Azerbaijan’s economy, which “this creates a great potential for new opportunities of cooperation between Azerbaijan and the EBRD.”

The minister stressed that the EBRD has always been Azerbaijan’s reliable partner and expressed his gratitude for the bank’s long-term and sustained support to Azerbaijan’s economic development.

The plenary session focused on cooperation opportunities between Azerbaijan and the EBRD. The sides also rehabilitation and reconstruction work being carried out in Azerbaijan’s liberated lands, the return of Azerbaijani IDPs and the development of transportation and transit, logistics, green economy and renewable energy resources in these lands .

High on the agenda of the meeting was the reduction of the social and economic impact of COVID-19 pandemic and post-pandemic development of Azerbaijan’s economy.

Additionally, the parties exchanged views on the strategic directions of the EBRD, heard financial reports and determined the institutional composition of the Bank's Board of Directors for the next year.

It should be noted that the EBRD has invested over 3 billion euros ($3.5bn) in 177 projects in Azerbaijan’s economy.

Established in 1991, EBRD invests in projects that contribute to the transition to an open market economy, as well as the development of private and business activities.

The bank is a leading investor in Azerbaijan. The country has been cooperating with EBRD since 1992 to achieve further economic development. One of the main priorities of EBRD in Azerbaijan is to support the local corporate sector with direct financing. EBRD continues to pursue investments in energy projects, especially where there is a gap to improve efficiency and energy security.

Azerbaijan is the largest recipient of the EBRD funds in the Caucasus, as well as one of the largest recipients of this organization’s funds in the CIS and Eastern Europe.