“I think that in the case of coordination among OPEC members and major non-OPEC producers on reducing oil production, we can achieve some result. Regrettably, oil price falls following each OPEC meeting. Therefore, we’re concerned by the next OPEC meeting. In case there is no agreement or coordination, this situation will last,” Azerbaijani President Ilham Aliyev said Thursday at “The New Energy Equation” session held as part of the World Economic Forum in Davos.
The head of state said daily fluctuations in oil prices is a psychologically tiring in terms of both balancing the state budget and attracting investment to the non-oil sector.
“That’s the difference between states and companies. We have to keep the level of production stable in order to attract investment to the social, industrial infrastructure, and oil-gas areas. Although it’s not a suitable situation, it’s a good time for Azerbaijan to start reforms. We have begun fundamental reforms in the economic and financial areas as well as in the export-oriented non-oil sector. We are trying not to think about the oil factor,” he said.
President Ilham Aliyev said Azerbaijan is capable of overcoming the current situation.
“The economic situation in Azerbaijan is stable. Our foreign debt accounts for 12% of the GDP. Our foreign currency reserves are almost level with the GDP. I’m confident that we will be able to manage the crisis. However, we would like to a predictable future in order for us to plan our budget in the years ahead,” the president said.
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