IMF: Structural reforms needed in Azerbaijan for long-term growth potential

Structural reforms are needed in Azerbaijan to boost productivity and long-term growth potential, Report informs referring to a report by the International Monetary Fund (IMF) following consultations with the Azerbaijani government under Article IV of the IMF’s Articles of Agreement.

Comprehensive structural reforms in line with the recently approved national priorities for socio-economic developments would go a long way towards promoting sustainable, inclusive, and green economic growth in the coming decade, according to IMF analysts.

“Diversifying the economy and promoting the development of a dynamic nonhydrocarbon sector is crucial for boosting Azerbaijan’s economic growth prospects and creating jobs. In this respect, recent focus on improving the governance and efficiency of state-owned enterprises is appropriate and should be supported by steps to promote competition, improve governance and transparency and access to finance, and ensure sufficient funding for education, healthcare, and social protection to help the workforce deal with the scarring from the pandemic and better prepare for the long-term challenges posed by the exhaustion of oil resources, digitalization, and climate change,” the IMF mission noted.