World Bank to help Azerbaijan diversify economy

The World Bank (WB) will continue to be a reliable partner of Azerbaijan in assisting the country in economic diversification in conditions of global instability, head of the WB Baku office Larisa Leshchenko said.

She made the remarks Feb. 10 on the fifth Tax Forum themed “Azerbaijani tax system: Realities and Prospects”.

Leshchenko said that the development of non-oil sector is especially important, given the fact that it’s not worth waiting for increase in oil prices in the near future. She noted that in previous years Azerbaijan took serious steps to ensure stability of the economy.

“Even with oil prices at $60 per barrel in the first half of 2015, Azerbaijan achieved significant economic growth of 5.7 percent, and in the second half of 2015, despite an even further fall in oil prices, the country was able to ensure GDP growth, though at a slower pace,” Leshchenko said.

The head of the WB Baku office said that the difficulties caused by low oil prices are at the same time good opportunity to hold serious reforms and strengthen economic resilience.

Leshchenko welcomed the steps taken by Azerbaijan to improve the tax system, noting the application of simplified tax for companies with a turnover of capital of up to 200,000 manats.

She said that this will seriously affect the development of non-oil sector of the country’s economy.

/By Trend/