IMF makes forecast on Azerbaijan's economy in 2018
The International Monetary Fund (IMF) forecasts growth of Azerbaijan's economy by 2 percent in 2018, said Jihad Azour, director of the IMF Middle East and Central Asia Department.
This forecast is preliminary and may be adjusted by the end of 2017, according to Azour.
“Azerbaijan’s economy shrank by 3.1 percent in 2016. We think that by the end of 2017, recession will decrease and amount to 1 percent, and next year, the economy will resume growth and the GDP will increase by 2 percent. We also expect the draft state budget of Azerbaijan for 2018, after which our forecasts can be adjusted.”
Azour noted that after the fall in oil prices, the Azerbaijani government did a lot of work for economic recovery.
“Major reforms were implemented, and the economy began to recover. The situation is gradually returning to normal, monetary stability was achieved. Inflation is still at a two-digit level and it should be reduced to a single-digit level,” he added.
The IMF office was opened in Baku in 1992. In 1995-2005, the Fund allocated loans worth $577.3 million to Azerbaijan. Azerbaijan fully repaid the loans.
There has been no need for Azerbaijan to apply to the IMF for financial resources since 2005. Therefore, since 2006, the IMF and Azerbaijan have cooperated within the framework of consultations and technical assistance missions in main areas of macroeconomic policy.